US Layoff Warnings Surge to 39,000 in October, Cleveland Fed Data Shows
According to the Federal Reserve Bank of Cleveland, 39,006 workers in 21 states received a Worker Adjustment and Retraining Notification (WARN) notice last month, informing them of upcoming layoffs, as per a CBS News report. Federal law requires employers to give these notices 60 days before plant closings or mass layoffs, as per the report.
WARN Notices Hit One of the Highest Levels Since 2006 Tracking Began
While the job cuts are high, the number remains below the peaks seen during past crises. Layoff notices reached over 550,000 in March 2020 and were also elevated during the 2008 financial crisis, as reported by CBS News. Since the Cleveland Fed began tracking WARN notices in 2006, October’s total ranks among the highest, as per the report.
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US mass layoff warnings are rising at a concerning pace:
39,006 Americans were given advance layoff notice in October, the 2nd-highest since the 2020 pandemic.
These notices are issued under the Worker Adjustment and Retraining Notification (WARN) Act, which obligates covered… pic.twitter.com/mWTPrhIZpu
— The Kobeissi Letter (@KobeissiLetter) November 19, 2025
Job Cuts at Target, Amazon and UPS Raise Labor Market Concerns
Major employers such as Target, Amazon, and UPS have announced recent job cuts, adding to concerns about a weakening labor market, as per the CBS News report. Complicating matters, a record-long government shutdown delayed two months of federal jobs data, creating a gap in understanding current employment trends, as per the report.
Highest October Layoffs in 22 Years, Companies Cutting 2,500 Jobs Weekly
Other indicators suggest the labor market is cooling. Outplacement firm Challenger, Gray & Christmas reported that October layoffs reached the highest level in 22 years, reported CBS News. Meanwhile, ADP data shows that US companies cut an average of 2,500 jobs per week in the four weeks ending November 1, as per the report.
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Economists Warn of More Layoffs Ahead as AI Adoption Grows
Economists warn these layoffs could be just the beginning. Samuel Tombs and Oliver Allen of Pantheon Macroeconomics said they expect job cuts to rise next year as AI adoption grows, while noting the technology has had a “net positive impact” on the labor market so far this year, as reported by CBS News.
Upcoming September Jobs Report Expected to Show 50,000 New Payrolls
The delayed September employment report, set for release Thursday, will offer another measure of the labor market’s health, as per CBS News. Economists polled by FactSet expect payroll gains of 50,000, as per the report.
FAQs
What triggered the spike in layoff warnings in October?
Nearly 40,000 workers received WARN notices, signaling rising pressure in the job market.
Which major companies recently announced layoffs?
Target, Amazon, and UPS have all confirmed job cuts.