Challenger: U.S. job cuts fall, hiring plans rise in 2026
Challenger reports 529,914 job cuts announced in the first eight months of 2026, the lowest since 2022. Hiring plans reached the highest year-to-date level since 2023.
Challenger reports U.S. firms announced 529,914 job cuts in the first eight months of 2026, the lowest level since 2022, while hiring plans reached their highest year-to-date level since 2023.
Challenger CRO Andy Challenger said firms plan more hires than last year but those roles are not being filled quickly.
Economists continue to describe the market as one of low hiring and low firing.
Weekly initial jobless claims show no sign of mass layoffs; the government monthly jobs report due Friday is expected to leave August unemployment steady at 4.1%.
Challenger also notes that in August restructuring replaced AI as the top stated reason for layoffs, although AI remains the leading cause year-to-date.