US announced job cuts fall 46% in July to lowest level since 2024

  • US employers announced 33,429 job cuts in July 2026, according to Challenger, Gray & Christmas.
  • 477,033 cuts were announced through July, down 41% from the same period in 2025.
  • Federal and public-sector cuts fell from 292,294 to 20,752 year-to-date.

US employers announced 33,429 job cuts in July 2026, the lowest monthly total since July 2024, according to Challenger, Gray & Christmas. The figure was down 46% from July 2025 and 27% from June. Through July, announced layoffs totaled 477,033, a 41% decrease from 806,383 during the same period in 2025. Companies also announced 16,095 hiring plans in July, up 25% year-on-year and the highest July total since 2022. Technology accounted for 149,023 cuts through July, or about 31% of the national total, despite a 67% increase from the prior-year period. Transportation ranked second with 41,748 cuts. Artificial intelligence (AI) was cited in roughly 24% to 33% of monthly cuts through July, while restructuring became the leading stated reason. Federal and public-sector cuts fell more than 90%, to 20,752 from 292,294 a year earlier. Early August data showed 52,881 announced cuts, suggesting the labor market had settled into a calmer rhythm, although the July improvement was heavily influenced by the normalization of government layoffs.

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