US Firms Announce 97,006 May Job Cuts as Tech, AI Drive 38,242 Layoffs
Updated
Updated · CNN · Jun 4
US Firms Announce 97,006 May Job Cuts as Tech, AI Drive 38,242 Layoffs
2 articles · Updated · CNN · Jun 4
Summary
97,006 job cuts were announced by US employers in May, up 16% from April and 3% from a year earlier, according to Challenger, Gray & Christmas.
38,242 of those cuts came from technology companies—the sector’s highest monthly total since August 2024—as firms continued channeling spending toward AI.
Economists still are not signaling broad labor-market stress, noting unemployment claims remain near historic lows and businesses largely view the recent fuel-price spike as temporary.
Friday’s payrolls report is expected to show 105,000 jobs added in May with unemployment steady at 4.3%, underscoring a labor market that is slowing, shifting and still uneven across industries.