Challenger US September Layoff Intentions Decline, Below Year-Ago Level

05:30 AM EDT, 10/01/2026 (MT Newswires) -- Outplacement firm Challenger, Gray & Christmas said Thursday that companies planned to cut 43,281 jobs in September, down from 52,881 in August and 54,064 a year ago. The largest layoff counts in September were in the technology and food sectors, which announced 10,799 and 7,326 job cuts, respectively. The most cited reason for layoffs was market and economic conditions, which accounted for 8,789 of the monthly total. Through September, there have been 573,195 job cut intentions in 2026, down from 946,426 in the same period in 2025. "Companies are in a wait-and-see period right now," said Andy Challenger, the company's chief revenue officer. "Employers are facing high energy costs, an uncertain war in Iran, a rate hike that could make hiring more expensive, plus the likelihood of surging healthcare costs. We've seen layoff activity subside over this year, and September continues to illustrate this point." There were 90,787 hiring plans announced in September, up from the 12,325 hiring plans in August but down from 117,313 a year ago and the lowest September total since 2011 according to Challenger. The retail sector accounted for 65,150 of the 90,787 hiring plans, mostly due to Spirit Halloween and Michaels. Through September, there have been 210,612 hiring plans in 2026, up from 204,939 in the same period in 2025. "Hiring plans are up over the year, but we're not seeing the surge of hiring plans that come with the holiday season, which suggests a very cautious approach," Challenger said.