US: Challenger Job-Cut Report

Thu May 04 06:30:00 CDT 2017

Actual Previous
Announced Layoffs - Level 36,602 43,310

Challenger's layoff count for April is a moderate 36,602, right in line with recent trend and pointing to healthy conditions in the labor market ahead of tomorrow's employment report. Retail has been at the top of the layoff list all year and is once again in April, at 11,669. Next is autos at 3,424 and health care at 3,153.

This monthly report counts and categorizes announcements of corporate layoffs based on mass layoff data from state departments of labor. The job-cut report must be analyzed with caution. It doesn't distinguish between layoffs scheduled for the short-term or the long term, or whether job cuts are handled through attrition or actual layoffs. Also, the job-cut report does not include jobs eliminated in small batches over a longer time period. Unlike most economic data, this series is not adjusted for seasonal variation.

The job-cut report is basically a rehash of the weekly jobless claims report but provides additional insight into where layoffs are occurring. There is industry and geographic (states) detail that is not available with weekly jobless claims.