Layoff plans for December hit lowest monthly level since 2024, Challenger says

Employers announced 35,553 layoffs in December, the fewest monthly total since July 2024, while hiring plans for the month rose to 10,496, Challenger, Gray & Christmas reported.

Employers announced 35,553 layoffs in December, the fewest monthly total since July 2024, according to a report from Challenger, Gray & Christmas. The report also said hiring plans for December rose to 10,496, the highest for the month since 2022. Challenger described the year as closing with the fewest announced layoff plans for the calendar year, even as annual totals painted a different picture. For all of 2025, announced job cuts and weaker hiring plans drew attention from analysts and policymakers. Key figures: - Employers announced 35,553 layoffs in December, the lowest monthly total since July 2024. - Hiring plans for December were 10,496, the highest for the month since 2022. - Planned hires for all of 2025 totaled 507,647, down 34% from 2024 and the lowest year-to-date total since 2010. - Employers announced about 1.2 million job cuts across all of 2025, a 58% increase from 2024's 761,358 and the highest level since 2020. - Layoff announcements in the fourth quarter of 2025 numbered 259,948, the most for a fourth quarter since 2008. - Government reductions were the largest contributor to the year's cuts, and layoffs in tech and business services were also higher than in 2024; job openings fell in November, the hiring rate was 3.2%, and there were about 1.1 unemployed people for every available job, government data show. Summary: The lower December layoff announcements and a rise in that month's hiring plans provide a modestly positive signal for the month. At the same time, 2025 saw the highest annual total of announced job cuts since 2020 and a substantial drop in planned hires, while labor-market indicators point to fewer openings and a lower hiring rate. Undetermined at this time.