Economy

Thursday, February 05, 2026

Challenger Job Cuts Report for JANUARY 2026

The global outplacement consultancy Challenger, Gray and Christmas, Inc. released its job cuts report, for JANUARY, 2026:

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Job Cuts Announced During January 2026: 108,435

Previous Month: 35,553

> Change from previous month: +205% (+72,882 cuts)

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One-Year Previous: 49,795

> Change from one-year previous: +117.76% (+58,640 cuts)

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From Today's Report:

"...HIRING PLANS IN JANUARY

Last month, employers announced 5,306 hiring plans, the lowest total for the month since Challenger began tracking hiring plans in 2009. Prior to last month’s total, 2023 saw the lowest January total for hiring with 5,376. It is down 13% from the 6,089 hiring plans announced in the same month last year. It is down 49% from the 10,496 hiring plans announced in December 2025...."

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If corporate layoffs are high, consumer spending may decline, since there would be fewer people with steady jobs.

When corporate layoffs are low, this can mean that the job market is relatively tight, which can be a harbinger of wage inflation.

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