Announcements of job cuts this year were at the lowest level since 1990.
Job cuts don’t necessarily mean an economy is stalling because a growing economy might need to reallocate labor to where it can be used more productively. Still, given how slow and frail the Obama “recovery” has been, it is somewhat amazing that employers announced a number of job cuts lower that any year since 1990!
Of course, some job cuts are great news:
U.S. employers announced plans to cut 32,423 jobs in December, bringing the year’s total to a low not seen since 1990, global outplacement consultancy Challenger, Gray & Christmas reported Thursday.
“The tight labor market, coupled with uncertainty surrounding health care and tax legislation, possibly kept employers from making any long-term staffing decisions this year,” CEO John Challenger said in a statement. “However, 2018 may see an increase in job cut announcements, as companies realign with consumer demand.”
Cuts in 2017 totaled 418,770, 20 percent below 2016’s number. In 1990, companies announced plans to cut 316,047 jobs.
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