LONDON 鈥 CVS Health is planning to cut about 2,900 jobs in an effort to slash costs, the U.S. health care company said Tuesday.
鈥淲e鈥檝e embarked on a multi-year initiative to deliver $2 billion in cost savings by reducing expenses and investing in technologies to enhance how we work,鈥 a spokesperson said in a statement.
The layoffs represent less than 1% of CVS Health鈥檚 () workforce.
The CVS layoffs represent less than 1% of the company's workforce.
Brandon Bell/Getty Images via CNN Newsource
鈥淚mpacted positions are primarily corporate roles. The reductions will not impact front-line jobs in our stores, pharmacies and distribution centers,鈥 the spokesperson added.
The job cuts at the company, which runs a network of pharmacies across the United States among other businesses, add to the 5,000 or so layoffs last year. In 2021, CVS Health announced that it would close around 900 stores between 2022 and 2024.
鈥淥ur industry faces continued disruption, regulatory pressures and evolving consumer needs and expectations,鈥 the spokesperson said Tuesday.
U.S. drug store chains are struggling because of falling reimbursement rates for prescription drugs, according to analysts who cover the industry.
At the same time, the front end of drug stores, where snacks and household staples are sold, has become less profitable as shoppers buy more of these items online from Amazon and at big-box chains such as Walmart, Target and Costco. Dollar General鈥檚聽聽in rural areas.
CVS Health, which already uses artificial intelligence in some of its businesses, is making additional investments in the increasingly popular technology, as well as in robotics, 鈥渢o further automate, reduce cost and improve the experience for all of its constituents,鈥 according to its latest .
Industries that laid off the most workers in June
Industries that laid off the most workers in May
Layoffs are down from a year ago, but job cuts across and across nearly half of states are leaving Americans anxious and uncertain.
Layoffs among major employers, including Google and Tesla, have driven the narrative. May layoffs were up 7% from the previous month and 8% from 2023. That represents about 123,000 more layoffs nationwide in May 2024 compared to the same time last year. Notably, 2023 saw a major spike in job losses, with about 2 million more layoffs than the previous year; these levels still remained far below pre-COVID levels, at 19.8 million layoffs in 2023 compared to 21.8 million in 2019.
Despite layoffs in certain sectors, key indicators reflect a stable job market. The May layoff rate held steady at 1%, as did the national unemployment rate, ; both figures have remained constant since early 2022. On the job front, compared to pre-pandemic levels.
Despite persistent inflation and high interest rates, many economists and Secretary of the Treasury Janet Yellen agree that the This type of landing would be signaled by ongoing monthly job creation, moderate gross domestic product growth, and inflation finally hitting the Federal Reserve's 2% target鈥攖hough the jobless rate may slowly rise. Americans are likely to remain fiscally wary, saving funds in case of a future downturn.
used to rank 19 major industries by the number of layoffs in May 2024 to see which industries have been most affected by new layoffs. The analysis uses seasonally adjusted data. Numbers for the month are preliminary and may be updated.
You may also like:
Photo Illustration by Stacker // Canva
#19. Mining and logging
- May 2024 layoffs: 5,000
--- Change from prior month: No change
--- Change from May 2023: -1,000
- May 2024 layoff rate: 0.9% (Rank: #10)
--- Change from prior month: +0.1 percentage points
--- Change from May 2023: -0.1 percentage points
The mining and logging industry includes oil and gas workers and workers who cut timber and produce wood for residential construction. Worldwide, as economies shift toward clean energy, analysts expect more than 鈥攍argely in China and India, but also in the U.S. and other countries. U.S. over the next decade as the industry and demand decreases for logging, particularly as tech advancements replace the need for virgin paper products.
Canva
#18. Federal government
- May 2024 layoffs: 7,000
--- Change from prior month: No change
--- Change from May 2023: -1,000
- May 2024 layoff rate: 0.2% (Rank: #19)
--- Change from prior month: No change
--- Change from May 2023: -0.1 percentage points
Congress set the federal budget this year. Federal employees were at risk of being furloughed several times during the budget process as the government narrowly avoided shutdowns. Some federal agencies saw cuts, including NASA, the Department of Education, and the Environmental Protection Agency, which likely means fewer jobs in those agencies and others that saw budgets slashed.
create jobs 51 // Shutterstock
#17. Private educational services
- May 2024 layoffs: 30,000
--- Change from prior month: -1,000
--- Change from May 2023: +9,000
- May 2024 layoff rate: 0.8% (Rank: #12)
--- Change from prior month: No change
--- Change from May 2023: +0.2 percentage points
The nation's educational services industry comprises private school teachers and college professors, employees of education technology companies, and nontraditional educators like online tutors. Colleges had been struggling with a decline in overall enrollment for a decade by the onset of the COVID-19 pandemic, which further exacerbated the situation. Some in the industry .
Canva
#16. Real estate and rental and leasing
- May 2024 layoffs: 33,000
--- Change from prior month: +4,000
--- Change from May 2023: +17,000
- May 2024 layoff rate: 1.3% (Rank: #5)
--- Change from prior month: +0.1 percentage points
--- Change from May 2023: +0.6 percentage points
The real estate industry was among the first to feel the effects of rising interest rates. Thousands of real estate agents and brokers lost their jobs as rates began increasing and inventory remained squeezed. High rates and prices inherently limit real estate activity.
rawpixel.com // Shutterstock
#14. Information (tie)
- May 2024 layoffs: 36,000
--- Change from prior month: +8,000
--- Change from May 2023: No change
- May 2024 layoff rate: 1.2% (Rank: #7)
--- Change from prior month: +0.3 percentage points
--- Change from May 2023: No change
The information industry includes many tech companies, which slashed jobs throughout 2023鈥攁 trend continuing in 2024. Executives cited recession concerns, efficiency, and artificial intelligence as drivers for these layoffs. Google has this year, as do other major tech leaders. Many of these companies sit at the intersection of tech and media, which is another large segment of the information industry. Media companies have already in 2024, continuing last year's trend.
You may also like:
Canva
#14. State and local government, excluding education (tie)
- May 2024 layoffs: 36,000
--- Change from prior month: No change
--- Change from May 2023: -7,000
- May 2024 layoff rate: 0.4% (Rank: #17)
--- Change from prior month: No change
--- Change from May 2023: -0.1 percentage points
State and local government jobs ook a while to . Record federal rescue funds kept Americans spending amid the COVID-19 recession, putting ample money back into some state tax coffers. But those funds have dried up, and many governments are looking at significant budget shortfalls again, which likely means cutting employees.
Jacob Lund // Shutterstock
#13. Wholesale trade
- May 2024 layoffs: 40,000
--- Change from prior month: -7,000
--- Change from May 2023: -11,000
- May 2024 layoff rate: 0.6% (Rank: #14)
--- Change from prior month: -0.2 percentage points
--- Change from May 2023: -0.2 percentage points
Wholesale trade companies are intermediaries that don't necessarily advertise their business to consumers. They operate in the background, buying inventory from manufacturers and reselling it to retailers. An American working in wholesale may be employed by Costco or a medical wholesaler like McKesson. Wholesale trade is another industry is not currently facing a worker shortage, so its employers may also have more confidence to make layoffs.
Canva
#12. State and local government education
- May 2024 layoffs: 41,000
--- Change from prior month: +3,000
--- Change from May 2023: +3,000
- May 2024 layoff rate: 0.4% (Rank: #17)
--- Change from prior month: No change
--- Change from May 2023: No change
Public school teachers are in the state and local government education sector. This field has struggled to attract and retain teachers over the last decade as public school funding has dried up. Record inflation has made teaching wages in some places as conservative elected officials have slashed public education funding. Public schools may be forced to cut teachers if costs rise to unmanageable levels.
Monkey Business Images // Shutterstock
#11. Finance and insurance
- May 2024 layoffs: 42,000
--- Change from prior month: +1,000
--- Change from May 2023: +8,000
- May 2024 layoff rate: 0.6% (Rank: #14)
--- Change from prior month: No change
--- Change from May 2023: +0.1 percentage points
Finance and insurance companies enjoyed an employment boom in recent years, spurred by the onset of the pandemic. Americans cooped up in their apartments and houses leaped at the chance to secure larger homes for themselves at historically low interest rates. In today's high-interest rate environment, these firms may find themselves poorly equipped to keep all their workers on payroll. Industry giants resorted to sizable layoffs in 2023, with Citigroup following suit this year.
Canva
#10. Nondurable goods manufacturing
- May 2024 layoffs: 49,000
--- Change from prior month: -3,000
--- Change from May 2023: -11,000
- May 2024 layoff rate: 1.0% (Rank: #8)
--- Change from prior month: -0.1 percentage points
--- Change from May 2023: -0.2 percentage points
The phrase "nondurable goods" refers to any item consumers can purchase that will go bad if left on a shelf for too long or will only provide the consumer with a single use before it's gone. These items include food and cleaning products, as well as cigarettes. Employers in the food production industry, in particular, are laying off workers in . Automation, labor costs, climate change, and immigration policies are all factors affecting the industry.
You may also like:
Gorodenkoff // Shutterstock
#9. Other services
- May 2024 layoffs: 62,000
--- Change from prior month: +32,000
--- Change from May 2023: +23,000
- May 2024 layoff rate: 1.0% (Rank: #8)
--- Change from prior month: +0.5 percentage points
--- Change from May 2023: +0.3 percentage points
The so-called "other services" category of American industry covers service-oriented work that doesn't fit neatly into any other category. It includes jobs like equipment repair, religious work, and end-of-life care, according to the . The category is an eclectic mix, so it's hard to pin down what trends beyond the overarching economy impact fluctuations in layoffs in this category.
Canva
#8. Durable goods manufacturing
- May 2024 layoffs: 71,000
--- Change from prior month: -13,000
--- Change from May 2023: -8,000
- May 2024 layoff rate: 0.9% (Rank: #10)
--- Change from prior month: -0.1 percentage points
--- Change from May 2023: -0.1 percentage points
Durable goods include any item purchased that gets reused over time and does not expire. These can be plastic storage bins, children's toys, and even technology like smartphones. Manufacturing of durable goods saw a boom in the first two years of the pandemic as consumers spent their incomes on things they could safely enjoy from their homes. Some of those manufacturers have had to scale back head counts as consumer demand has dropped off in the goods-producing sector and moved into services鈥攁nd as inflation has limited consumers' spending power.
Canva
#7. Arts, entertainment, and recreation
- May 2024 layoffs: 73,000
--- Change from prior month: +5,000
--- Change from May 2023: +13,000
- May 2024 layoff rate: 2.7% (Rank: #1)
--- Change from prior month: +0.1 percentage points
--- Change from May 2023: +0.3 percentage points
The arts and entertainment sector faced new challenges last year. TV and movie writers were on strike for nearly five months over pay and other issues, and actors walked out, too. While new contracts have resolved both strikes, Hollywood remains tumultuous as the streaming economy challenges the entertainment sector. Pixar, Amazon Prime Video, and Universal Music Group have been among the entertainment companies that cut jobs in 2024.
Canva
#6. Transportation, warehousing, and utilities
- May 2024 layoffs: 113,000
--- Change from prior month: +11,000
--- Change from May 2023: +20,000
- May 2024 layoff rate: 1.6% (Rank: #4)
--- Change from prior month: +0.2 percentage points
--- Change from May 2023: +0.3 percentage points
The transportation, warehousing, and utilities industry encompasses the massive supply chain in the U.S., which experienced unending hiccups and shocks throughout the last several years. The pandemic pushed the supply chain to ramp up, and more recently, it's . Now, trucking, flight, and other companies built around moving freight are going bankrupt or shuttering operations, and their employees are finding themselves out of a job. UPS is the latest major player to announce a this year.
Canva
#5. Retail trade
- May 2024 layoffs: 122,000
--- Change from prior month: -6,000
--- Change from May 2023: -101,000
- May 2024 layoff rate: 0.8% (Rank: #12)
--- Change from prior month: No change
--- Change from May 2023: -0.6 percentage points
Retail trade is one of the largest employers in the country, including retail floor workers as well as those employed within the many corporate branches at retail giants like Target and Kroger. Inflation has tightened wallets, limiting individuals' spending and leaving retail establishments to feel the initial impacts. In 2023, retail giants, including Walmart and Nordstrom, announced cuts to their workforces鈥攍argely among corporate employees. Those layoffs have continued in 2024 at companies like Nike, REI, Macy's, and Wayfair.
You may also like:
Monkey Business Images // Shutterstock
#4. Health care and social assistance
- May 2024 layoffs: 144,000
--- Change from prior month: -3,000
--- Change from May 2023: +10,000
- May 2024 layoff rate: 0.6% (Rank: #14)
--- Change from prior month: -0.1 percentage points
--- Change from May 2023: No change
The American health care industry is at a crisis point without enough nurses or doctors to care for an aging population, and many of those health professionals burned out providing care during the COVID-19 pandemic. Still, institutions such as hospitals are , moving them to cut services that don't produce profits鈥攁nd the employees that go with them.
Canva
#3. Construction
- May 2024 layoffs: 147,000
--- Change from prior month: -5,000
--- Change from May 2023: +14,000
- May 2024 layoff rate: 1.8% (Rank: #2)
--- Change from prior month: -0.1 percentage points
--- Change from May 2023: +0.1 percentage points
The high interest rates the Fed implemented to stunt inflation and, by extension, construction. bear the brunt of the slowdown as fewer individuals are in a place to buy homes, and not as many companies can afford to revamp or expand offices and storefronts. This is in stark contrast to 2021 when record-low interest rates created a surge in demand for real estate.
Canva
#2. Accommodation and food services
- May 2024 layoffs: 179,000
--- Change from prior month: +17,000
--- Change from May 2023: +10,000
- May 2024 layoff rate: 1.3% (Rank: #5)
--- Change from prior month: +0.2 percentage points
--- Change from May 2023: +0.1 percentage points
The accommodation and food services industry comprises hotels, restaurants, and fast-food chains that employ tens of millions of Americans. These leisure services have largely recovered from COVID-era struggles, though record inflation has tempered some of that recovery. Higher costs of essential expenses mean there is less left over for Americans to treat themselves by dining out or taking a trip. Inflation at restaurants is , and in many establishments, technology is taking orders and replacing cashiers.
Canva
#1. Professional and business services
- May 2024 layoffs: 425,000
--- Change from prior month: +71,000
--- Change from May 2023: +138,000
- May 2024 layoff rate: 1.8% (Rank: #2)
--- Change from prior month: +0.3 percentage points
--- Change from May 2023: +0.5 percentage points
The professional and business services industry includes attorneys, marketing, accountants, and other professionals who support businesses in mostly white-collar positions. Many of these positions have been safe over the past three years as demand from consumers remained hot and companies seemingly couldn't find enough workers to fill jobs. But interest-rate hikes, bank failures, and challenges among other industries serviced by these professionals spell trouble. Tech companies' current struggles, for example, trickle down to business services as firms cut costs.
Canva
#19. Federal government
- June 2024 layoffs: 5,000
--- Change from prior month: -2,000
--- Change from June 2023: -3,000
- June 2024 layoff rate: 0.2% (Rank: #19)
--- Change from prior month: No change
--- Change from June 2023: -0.1 percentage points
Congress set the federal budget this year. Federal employees were at risk of being furloughed several times during the budget process as the government narrowly avoided shutdowns. Some federal agencies saw cuts, including NASA, the Department of Education, and the Environmental Protection Agency, which likely means fewer jobs in those agencies and others that saw budgets slashed.
create jobs 51 // Shutterstock
#18. Mining and logging
- June 2024 layoffs: 7,000
--- Change from prior month: +1,000
--- Change from June 2023: -3,000
- June 2024 layoff rate: 1.2% (Rank: #5)
--- Change from prior month: +0.3 percentage points
--- Change from June 2023: -0.3 percentage points
The mining and logging industry includes oil and gas workers and workers who cut timber and produce wood for residential construction. Worldwide, as economies shift toward clean energy, analysts expect more than 鈥攍argely in China and India, but also in the U.S. and other countries. U.S. over the next decade as the industry and demand decreases for logging, particularly as tech advancements replace the need for virgin paper products.
Canva
#17. Real estate and rental and leasing
- June 2024 layoffs: 22,000
--- Change from prior month: -12,000
--- Change from June 2023: +7,000
- June 2024 layoff rate: 0.9% (Rank: #9)
--- Change from prior month: -0.5 percentage points
--- Change from June 2023: +0.3 percentage points
The real estate industry was among the first to feel the effects of rising interest rates. Thousands of real estate agents and brokers lost their jobs as rates began increasing and inventory remained squeezed. High rates and prices inherently limit real estate activity.
rawpixel.com // Shutterstock
#16. Finance and insurance
- June 2024 layoffs: 23,000
--- Change from prior month: -26,000
--- Change from June 2023: +5,000
- June 2024 layoff rate: 0.3% (Rank: #17)
--- Change from prior month: -0.4 percentage points
--- Change from June 2023: No change
Finance and insurance companies enjoyed an employment boom in recent years, spurred by the onset of the pandemic. Americans cooped up in their apartments and houses leaped at the chance to secure larger homes for themselves at historically low interest rates. In today's high-interest rate environment, these firms may find themselves poorly equipped to keep all their workers on payroll. Industry giants resorted to sizable layoffs in 2023, with Citigroup following suit this year.
Canva
#15. Private educational services
- June 2024 layoffs: 27,000
--- Change from prior month: -5,000
--- Change from June 2023: -5,000
- June 2024 layoff rate: 0.7% (Rank: #14)
--- Change from prior month: -0.1 percentage points
--- Change from June 2023: -0.1 percentage points
The nation's educational services industry comprises private school teachers and college professors, employees of education technology companies, and nontraditional educators like online tutors. Colleges had been struggling with a decline in overall enrollment for a decade by the onset of the COVID-19 pandemic, which further exacerbated the situation. Some in the industry .
You may also like:
Canva
#14. Information
- June 2024 layoffs: 29,000
--- Change from prior month: -5,000
--- Change from June 2023: +2,000
- June 2024 layoff rate: 1.0% (Rank: #7)
--- Change from prior month: -0.1 percentage points
--- Change from June 2023: +0.1 percentage points
The information industry includes many tech companies, which slashed jobs throughout 2023鈥攁 trend continuing in 2024. Executives cited recession concerns, efficiency, and artificial intelligence as drivers for these layoffs. Google has this year, as do other major tech leaders. Many of these companies sit at the intersection of tech and media, which is another large segment of the information industry. Media companies have already in 2024, continuing last year's trend.
Canva
#13. State and local government, excluding education
- June 2024 layoffs: 31,000
--- Change from prior month: -6,000
--- Change from June 2023: -11,000
- June 2024 layoff rate: 0.3% (Rank: #17)
--- Change from prior month: -0.1 percentage points
--- Change from June 2023: -0.2 percentage points
State and local government jobs ook a while to . Record federal rescue funds kept Americans spending amid the COVID-19 recession, putting ample money back into some state tax coffers. But those funds have dried up, and many governments are looking at significant budget shortfalls again, which likely means cutting employees.
Jacob Lund // Shutterstock
#12. State and local government education
- June 2024 layoffs: 43,000
--- Change from prior month: +3,000
--- Change from June 2023: +7,000
- June 2024 layoff rate: 0.4% (Rank: #16)
--- Change from prior month: No change
--- Change from June 2023: +0.1 percentage points
Public school teachers are in the state and local government education sector. This field has struggled to attract and retain teachers over the last decade as public school funding has dried up. Record inflation has made teaching wages in some places as conservative elected officials have slashed public education funding. Public schools may be forced to cut teachers if costs rise to unmanageable levels.
Monkey Business Images // Shutterstock
#11. Wholesale trade
- June 2024 layoffs: 49,000
--- Change from prior month: -1,000
--- Change from June 2023: +20,000
- June 2024 layoff rate: 0.8% (Rank: #13)
--- Change from prior month: No change
--- Change from June 2023: +0.3 percentage points
Wholesale trade companies are intermediaries that don't necessarily advertise their business to consumers. They operate in the background, buying inventory from manufacturers and reselling it to retailers. An American working in wholesale may be employed by Costco or a medical wholesaler like McKesson. Wholesale trade is another industry not currently facing a worker shortage, so its employers may also have more confidence to make layoffs.
Canva
#10. Arts, entertainment, and recreation
- June 2024 layoffs: 51,000
--- Change from prior month: -25,000
--- Change from June 2023: -5,000
- June 2024 layoff rate: 1.9% (Rank: #1)
--- Change from prior month: -1.0 percentage points
--- Change from June 2023: -0.3 percentage points
The arts and entertainment sector faced new challenges last year. TV and movie writers were on strike for nearly five months over pay and other issues, and actors walked out, too. While new contracts have resolved both strikes, Hollywood remains tumultuous as the streaming economy challenges the entertainment sector. Pixar, Amazon Prime Video, and Universal Music Group have been among the entertainment companies that cut jobs in 2024.
You may also like:
Canva
#8. Nondurable goods manufacturing (tie)
- June 2024 layoffs: 52,000
--- Change from prior month: +2,000
--- Change from June 2023: No change
- June 2024 layoff rate: 1.1% (Rank: #6)
--- Change from prior month: +0.1 percentage points
--- Change from June 2023: No change
The phrase "nondurable goods" refers to any item consumers can purchase that will go bad if left on a shelf for too long or will only provide the consumer with a single use before it's gone. These items include food and cleaning products, as well as cigarettes. Employers in the food production industry, in particular, are laying off workers in . Automation, labor costs, climate change, and immigration policies are all factors affecting the industry.
Gorodenkoff // Shutterstock
#8. Other services (tie)
- June 2024 layoffs: 52,000
--- Change from prior month: -9,000
--- Change from June 2023: -22,000
- June 2024 layoff rate: 0.9% (Rank: #9)
--- Change from prior month: -0.1 percentage points
--- Change from June 2023: -0.4 percentage points
The so-called "other services" category of American industry covers service-oriented work that doesn't fit neatly into any other category. It includes jobs like equipment repair, religious work, and end-of-life care, according to the . The category is an eclectic mix, so it's hard to pin down what trends beyond the overarching economy impact fluctuations in layoffs in this category.
Canva
#7. Durable goods manufacturing
- June 2024 layoffs: 72,000
--- Change from prior month: +4,000
--- Change from June 2023: +11,000
- June 2024 layoff rate: 0.9% (Rank: #9)
--- Change from prior month: +0.1 percentage points
--- Change from June 2023: +0.1 percentage points
Durable goods include any item purchased that gets reused over time and does not expire. These can be plastic storage bins, children's toys, and even technology like smartphones. Manufacturing of durable goods saw a boom in the first two years of the pandemic as consumers spent their incomes on things they could safely enjoy from their homes. Some of those manufacturers have had to scale back head counts as consumer demand has dropped off in the goods-producing sector and moved into services鈥攁nd as inflation has limited consumers' spending power.
Canva
#6. Transportation, warehousing, and utilities
- June 2024 layoffs: 107,000
--- Change from prior month: -3,000
--- Change from June 2023: +9,000
- June 2024 layoff rate: 1.5% (Rank: #4)
--- Change from prior month: No change
--- Change from June 2023: +0.1 percentage points
The transportation, warehousing, and utilities industry encompasses the massive supply chain in the U.S., which experienced unending hiccups and shocks throughout the last several years. The pandemic pushed the supply chain to ramp up, and more recently, it's . Now, trucking, flight, and other companies built around moving freight are going bankrupt or shuttering operations, and their employees are finding themselves out of a job. UPS is the latest major player to announce a this year.
Canva
#5. Health care and social assistance
- June 2024 layoffs: 122,000
--- Change from prior month: -21,000
--- Change from June 2023: -30,000
- June 2024 layoff rate: 0.5% (Rank: #15)
--- Change from prior month: -0.1 percentage points
--- Change from June 2023: -0.2 percentage points
The American health care industry is at a crisis point without enough nurses or doctors to care for an aging population, and many of those health professionals burned out providing care during the COVID-19 pandemic. Still, institutions such as hospitals are , moving them to cut services that don't produce profits鈥攁nd the employees that go with them.
You may also like:
Canva
#4. Accommodation and food services
- June 2024 layoffs: 124,000
--- Change from prior month: -51,000
--- Change from June 2023: -47,000
- June 2024 layoff rate: 0.9% (Rank: #9)
--- Change from prior month: -0.3 percentage points
--- Change from June 2023: -0.3 percentage points
The accommodation and food services industry comprises hotels, restaurants, and fast-food chains that employ tens of millions of Americans. These leisure services have largely recovered from COVID-era struggles, though record inflation has tempered some of that recovery. Higher costs of essential expenses mean there is less left over for Americans to treat themselves by dining out or taking a trip. Inflation at restaurants is , and in many establishments, technology is taking orders and replacing cashiers.
Canva
#3. Construction
- June 2024 layoffs: 133,000
--- Change from prior month: -17,000
--- Change from June 2023: +12,000
- June 2024 layoff rate: 1.6% (Rank: #3)
--- Change from prior month: -0.2 percentage points
--- Change from June 2023: +0.1 percentage points
The high interest rates the Fed implemented to stunt inflation and, by extension, construction. bear the brunt of the slowdown as fewer individuals are in a place to buy homes, and not as many companies can afford to revamp or expand offices and storefronts. This is in stark contrast to 2021 when record-low interest rates created a surge in demand for real estate.
Canva
#2. Retail trade
- June 2024 layoffs: 161,000
--- Change from prior month: +25,000
--- Change from June 2023: -11,000
- June 2024 layoff rate: 1.0% (Rank: #7)
--- Change from prior month: +0.1 percentage points
--- Change from June 2023: -0.1 percentage points
Retail trade is one of the largest employers in the country, including retail floor workers as well as those employed within the many corporate branches at retail giants like Target and Kroger. Inflation has tightened wallets, limiting individuals' spending and leaving retail establishments to feel the initial impacts. In 2023, retail giants, including Walmart and Nordstrom, announced cuts to their workforces鈥攍argely among corporate employees. Those layoffs have continued in 2024 at companies like Nike, REI, Macy's, and Wayfair.
Monkey Business Images // Shutterstock
#1. Professional and business services
- June 2024 layoffs: 389,000
--- Change from prior month: -30,000
--- Change from June 2023: -26,000
- June 2024 layoff rate: 1.7% (Rank: #2)
--- Change from prior month: -0.1 percentage points
--- Change from June 2023: -0.1 percentage points
The professional and business services industry includes attorneys, marketing, accountants, and other professionals who support businesses in mostly white-collar positions. Many of these positions have been safe over the past three years as demand from consumers remained hot and companies seemingly couldn't find enough workers to fill jobs. But interest-rate hikes, bank failures, and challenges among other industries serviced by these professionals spell trouble. Tech companies' current struggles, for example, trickle down to business services as firms cut costs.
Canva
The business news you need
Get the latest local business news delivered FREE to your inbox weekly.