US Factory Job Cuts Hit Highest Since 2009 as June PMI Rises to 55.7
Updated
Updated · CNBC · Jun 23
US Factory Job Cuts Hit Highest Since 2009 as June PMI Rises to 55.7
1 articles · Updated · CNBC · Jun 23
Summary
June factory layoffs ran near their highest level since 2009—excluding the 2020 pandemic shock—even as S&P Global’s manufacturing flash PMI beat forecasts at 55.7.
S&P said the apparent factory strength was driven largely by inventory rebuilding, while manufacturers cut headcount over weaker demand worries, rising raw-material costs and broader supply delays.
Chris Williamson said the survey points to output consistent with the economy growing at little more than a 1% annualized rate in the second quarter, after 1.6% in Q1.
The weakness in factory hiring contrasts with a still-firm national labor picture: manufacturing employment is up 23,000 in 2026, while services PMI also edged higher to 51.3.
Businesses have also faced an inflation flare-up tied to higher energy prices and Middle East tensions, though a recent oil pullback after ceasefire headlines has restored some confidence.