U.S. October Job Cuts Drop 71 Percent Amid Hiring Surge

United States employers announced 43,994 job cuts in October 2026, marking a 71 percent decrease from October 2025 and the lowest figure for the month since 2023. Data from Challenger, Gray & Christmas indicates that general market and economic conditions have overtaken artificial intelligence as the primary driver of workforce reductions this year.

Simultaneously, hiring plans for October surged 57 percent year-over-year to nearly 445,000 workers, the highest level since at least 2009. This growth is primarily driven by seasonal preparations for the holiday shopping period. Amazon and United Parcel Service are responsible for the vast majority of these planned roles, with Amazon planning to hire 300,000 seasonal workers and United Parcel Service announcing 100,000 roles.

Andy Challenger noted that this trend reflects a cautious labor market. He stated that seasonal roles allow companies to maintain necessary capacity for the holidays with an end date already built in, meaning employers are avoiding commitments to permanent headcount even as they avoid deep cuts.