In the face of ongoing economic instability, numerous large corporations have initiated significant layoffs, contributing to growing unease among workers across multiple industries. Analysts note that many businesses have adopted a cautious stance, limiting hiring to essential roles or halting recruitment altogether. Despite this restraint, thousands of job cuts have been announced by major firms, driven by factors such as rising operational expenses, evolving consumer behavior, and strategic realignments focused on emerging technologies like artificial intelligence.
Some companies attribute the reductions to increased costs linked to trade policies, including tariffs introduced during former President Donald Trump’s administration. Others emphasize broader corporate restructuring efforts or a shift in investment toward automation and digital transformation. These changes come alongside disruptions in the public sector, where federal workforce reductions and a prolonged government shutdown earlier in the year have further unsettled labor market sentiment.
Recent employment data presents a mixed picture. While the Labor Department reported 119,000 new jobs in September, the unemployment rate climbed to 4.4%. Revised figures also revealed a net loss of 4,000 positions in August. Due to the earlier shutdown, October’s full employment report will not be published, leaving gaps in current labor market analysis.
Among the most notable corporate downsizing efforts:
HP plans to eliminate between 4,000 and 6,000 roles as part of a multi-year strategy to enhance efficiency through AI integration, with completion targeted by fiscal year 2028.
Verizon began cutting over 13,000 positions in November, with CEO Dan Schulman citing the need to simplify operations and restructure the organization.
General Motors is reducing its workforce by approximately 1,700 employees at manufacturing plants in Michigan and Ohio, responding to weaker demand for electric vehicles. Additional temporary layoffs are expected early next year.
Paramount intends to cut around 2,000 jobs—roughly 10% of its staff—following its $8 billion merger with Skydance. About 1,000 layoffs were implemented in October, with another 1,600 positions to be eliminated due to international asset sales in Argentina and Chile. An additional 600 employees have opted for voluntary severance, partly influenced by a return-to-office mandate.
Amazon announced plans in October to reduce its corporate workforce by about 14,000, representing nearly 4% of its global corporate staff. The move aligns with increased investment in AI while cutting costs elsewhere. Affected employees are being given 90 days to seek internal transfers.
UPS has disclosed approximately 48,000 job reductions this year as part of a broader operational overhaul. The company also ceased daily operations at 93 facilities in the first nine months of the year.
Target is eliminating roughly 1,800 corporate roles worldwide—about 8% of its corporate staff—as part of efficiency initiatives.
Nestlé is cutting 16,000 jobs globally over the next two years to counter financial challenges stemming from higher commodity prices and U.S. tariffs.
Lufthansa Group aims to reduce its workforce by 4,000 employees by 2030, citing digitalization, AI adoption, and consolidation across its airline subsidiaries.
Novo Nordisk, the Danish pharmaceutical firm behind Ozempic and Wegovy, plans to cut 9,000 jobs—about 11% of its workforce—due to competitive pressures in the obesity and diabetes drug markets.
ConocoPhillips intends to lay off between 2,600 and 3,250 employees—up to 25% of its workforce—by the end of 2025 as part of cost-saving measures.
Intel is reducing its core workforce from 99,500 to 75,000 by year-end through layoffs and natural attrition, following a previously announced 15% reduction.
Microsoft began cutting 6,000 roles in May and later announced an additional 9,000 job eliminations, marking its largest reduction in over two years, attributed to organizational restructuring and AI investments.
Procter & Gamble has also joined the trend, implementing workforce reductions to streamline operations and improve profitability.
— news from Fortune