Additional Coverage:
- Over 100 companies including Amazon and FedEx might lay off thousands of workers soon (marketrealist.com)
Layoff Wave Continues: Over 100 Companies, Including Amazon and FedEx, Announce January Job Cuts
The new year is off to a concerning start for the American workforce, as over 100 companies, including major players like Amazon and FedEx, have already filed notices for mass layoffs scheduled to begin in January. This follows a turbulent 2023, which saw more than a million workers lose their jobs, according to a report by Challenger, Gray & Christmas.
Data from WARNTracker indicates that 119 companies have submitted Worker Adjustment and Retraining Notification (WARN) Act notices for upcoming job cuts. The WARN Act mandates employers to provide 60 days’ notice before a mass layoff, defined as letting go of at least 50 employees within a 30-day period, affecting one-third of the workforce, or impacting 500 or more employees.
Among the prominent companies on the list, Amazon is slated to lay off between 1,001 and 2,500 workers. FedEx will see 89 employees affected, while TransAlta plans to cut 51 to 100 positions. California-based Fullstack Modular is also preparing for a significant reduction, with 200 employees set to be laid off in January.
The extensive list of companies filing WARN notices includes a wide range of industries and organizations, such as AARP, AbbVie, Adams County Public Hospital, AeroFarms1526 Cane Creek, Amentum, American Signature, Inc., Apogee Architectural Metals, Archer Daniels Midland Company, Atkore Plastics Southeast, Augusta Sportswear, Inc., Bechtel National Inc., Best Dressed Chicken, Inc., Blue Plate Oysterette LLC, Blue Shield of California, Bond 45 National Harbor Restaurant, Braga Fresh Foods, LLC, Building Materials Manufacturing LLC, BWW Law Group, LLC, and Catalent, Maryland, Inc., among others.
The economic outlook remains uncertain, building on a difficult 2023. Challenger, Gray & Christmas reported that announced job cuts by U.S. employers reached 1.17 million by the end of November 2023. This figure represents a 54% increase compared to 2022 and marks the highest number of job losses since 2020, when the COVID-19 pandemic severely impacted the global economy.
In the final week of December, 199,000 Americans filed unemployment claims, as reported by The Associated Press. As we move into 2024, these unemployment figures will serve as crucial indicators for the economy, even with anticipated relief from potential tax, tariff, and interest rate adjustments.