Challenger reports U.S. firms announced 529,914 job cuts in the first eight
months of 2026, the lowest level since 2022, while hiring plans reached their
highest year-to-date level since 2023. Challenger CRO Andy Challenger said firms
plan more hires than last year but those roles are not being filled quickly.
Economists continue to describe the market as one of low hiring and low firing.
Weekly initial jobless claims show no sign of mass layoffs; the government
monthly jobs report due Friday is expected to leave August unemployment steady
at 4.1%. Challenger also notes that in August restructuring replaced AI as the
top stated reason for layoffs, although AI remains the leading cause
year-to-date.
