U.S. layoffs in 2026 are down nearly 40% from last year, labor data shows

October 1, 2026 / 11:54 AM EDT / CBS News

Layoffs in the U.S. have fallen to a four-year low, while employers' hiring plans are up 3% this year, according to new labor data.

Employers have announced 573,195 job cuts through September this year, a nearly 40% decline from the first nine months of 2025, Challenger, Gray & Christmas said on Thursday. On a monthly basis, layoffs dropped 20% in September to 43,281 from a year earlier, the lowest level in four years, the outplacement firm said.

The data suggests the labor market remains solid, even if hiring isn't as strong as it was in the post-pandemic years. The figures come a day before the Labor Department's monthly jobs report, with economists forecasting that employers across the U.S. added 90,000 jobs in September. Employers have added an average of 71,000 new hires over the previous three months.

"The labor market is somewhere between stable and reaccelerating," PNC Economics analysts said in a Sept. 30 research note. "We're seeing early signs that wage growth may be picking up again, which could make it more difficult for the Fed to reduce inflation without raising rates."

In another sign that companies are avoiding…

Original source: https://www.cbsnews.com/moneywatch/