U.S.-based employers announced plans to axe 28,307 jobs in July, with California, Texas, and New York leading the way. Through the first seven months of 2017, employers have announced 255,307 planned job cuts; California, Texas, and Ohio lead in the year-to-date totals.
California was responsible for the most layoffs in July, with 4,253 job losses. Meanwhile, employers in New York State slashed 3,400 jobs and Texas was home to the third-largest announced layoffs in July at 2,700.
Over the first seven months of 2017, California has had the most job losses at 36,883. Since January, 23,705 Texans have lost their jobs, with Ohio coming in third with 22,612 year-to-date job losses.
According to the most recent data, retail continues to lead all sectors with 3,862 losing their jobs in July; 60,127 year-to-date. Retail job losses are 46.7% higher this year than through the first seven months in 2016, when 43,618 retail job cuts were announced.
That said, there should be an uptick in retail hiring in September and October as businesses prepare for the holiday season.
Perhaps not surprisingly, healthcare products and services announced the second-highest number of layoffs in July, at 3,634. This brings the year-to-date total to 21,554.
While 2017 has not seen as many large-scale layoffs as in previous years, especially with oil and technology rebounding, the threat of a downturn looms on the horizon and could result in big cuts in the fourth quarter and into 2018.
The three biggest reasons why companies across the U.S. announced their job cuts were cost-cutting, closure, and restructuring.
In California, 30 notices were filed, affecting 2,663 workers. Some of the biggest job losses in July occurred at BCBG Max Azria Group, where 492 job losses were announced. BAE Systems in San Diego announced 276 permanent layoffs, while Space Systems/Loral, LLC in Palo Alto filed notices affecting 173 employees.
In Texas, the biggest employers in the state filed 2,700 layoff notices. Walter Investment Management Corp (NYSE:WAC), a mortgage banking firm, announced it was laying off 437. TeleTech Holdings, Inc. (NASDAQ:TTEC) announced 358 layoffs, and Corecivic Inc (NYSE:CXW) filed notice of 192 permanent layoffs.
In New York State, 19 of the biggest employers filed notices affecting 3,419 workers. Courtyard by Marriott LaGuardia Hotel announced it was closing, a move affecting 144 employees. Inter-Lakes Health Heritage Commons Residential Health Care filed a notice resulting in 232 layoffs.
“28,307 July Job Cuts” Challenger, Gray & Christmas Inc., last accessed August 8, 2017.
“WARN Report,” State of California, last accessed August 8, 2017.
“WARN Notices,” Texas Workforce Commission, last accessed August 8, 2017.
“Warn Notice,” New York State Department of Labor, last accessed August 8, 2017.