US layoffs surged in October, pushing this year’s job cuts to levels normally seen in a recession.
The new figures from a consulting firm fuel concerns about a labor market slowdown in the absence of official government data; the 1.1 million layoffs this year include reductions at large firms including UPS, Amazon, and Target. While many companies cited AI as a reason for the cuts, some analysts said employers may be “AI-washing” — blaming the technology “to cover up business fumbles and old-fashioned cost cutting,” CNBC reported.
Another explanation is that sectors that went on a post-pandemic hiring spree are now scaling back, The Economist wrote: The “pull-back looks less like AI upheaval than a return to normal.”
