U.S. Private Sector Employment Declines: Layoffs Increase

Job Cuts in the Private Sector Accelerate in the U.S.

According to the latest data released by ADP Research, U.S. companies laid off an average of 2,500 workers in the four-week period ending on November 1. This situation indicates that the labor market lost significant momentum at the end of October.

Fluctuations in Employment and Expectations

According to ADP's monthly employment report released on November 5, private sector employment had increased by 42,000 in September after a two-month decline. However, the current layoffs suggest that uncertainties in the markets and economic concerns are on the rise.

Meanwhile, the U.S. Bureau of Labor Statistics is set to release the September employment report on Thursday, with expectations of an increase of 55,000 jobs compared to the previous month.

Job Cuts Wave from Large Companies

The weekly ADP figures follow a series of job cuts announcements from several large companies, including Amazon.com and Target, throughout the month. According to a report published by the outplacement firm Challenger, Gray & Christmas Inc., planned layoffs were at the highest levels for October in over twenty years.

Americans' Concerns About Job Security

Furthermore, Americans are increasingly worried about job security. A Harris Poll conducted for Bloomberg News between October 23-25 revealed that 55% of employed Americans are concerned about losing their jobs.