US-based employers announced 43,281 job cuts in September 2026, down 18 percent from August and 20 percent from a year earlier, according to outplacement firm Challenger, Gray & Christmas. It was the lowest September total since 2022. The catch is on the hiring side: the usual autumn jump in seasonal hiring plans did not show up.
Key takeaways
- September cuts: 43,281, down from 52,881 in August.
- Year to date: 573,195 cuts, down 39 percent from the first nine months of 2025.
- Technology led with 10,799 cuts in September and 165,925 so far this year.
- Market and economic conditions were the top reason given in September.
- Hiring plans are only 3 percent above 2025 so far.
What happened?
Challenger tracks layoff plans that companies announce publicly or file in WARN notices. Third quarter cuts totalled 129,591, down 43 percent from the second quarter. Excluding government, cuts this year are down 15 percent from 2025, when federal job reductions pushed totals much higher.
Technology companies announced 10,799 cuts in September, up 77 percent from August, and now account for 29 percent of all job cuts announced in 2026. Food producers announced 7,326 cuts, with Washington orchards and farm employers responsible for 5,396 of them. Non-profits had their highest month of the year at 4,742.
Why are companies cutting?
Market and economic conditions led reasons in September with 8,789 cuts, or 20 percent of the total. Closings followed with 7,719. Demand downturn accounted for 6,515, the highest monthly figure for that reason since February 2023. Earlier this year, artificial intelligence was the leading reason for five months in a row.
Who is affected?
Tech workers face the most pressure, with cuts up 54 percent on last year. Transportation is also up sharply, at 44,430 cuts so far, nearly three times last year's figure. On the other hand, retail and government cuts are far lower than in 2025.
The weak seasonal hiring plans matter for anyone counting on a holiday job this year. Fewer announced plans can mean fewer openings and more competition for each one.
What should job seekers do now?
- Apply for seasonal roles early rather than waiting for November. Our guides to warehouse jobs and retail jobs at Aldi can help.
- If you work in tech, keep your resume current. See our tips on AI and resume screening.
- Low layoffs plus low hiring means fewer people are changing jobs. Network and use referrals to get noticed.
What happens next?
Hiring plans are a weak spot. Challenger says the typical surge in seasonal hiring announcements was absent in September, leaving hiring plans this year only 3 percent above 2025, a year that was itself slow.
Challenger's October report is due in early November, shortly before the government's October jobs report. Together they will show whether the slow start to holiday hiring continues.
Source: Challenger, Gray & Christmas, September 2026 Job Cuts Report.
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