Facts, Figures, & Forecasts

January can often bring a wave of job cuts as companies reset for the year ahead, but how does this year stack up against the past decade? We took a deep dive into 10 years of January layoff data to put this year’s numbers into perspective. The good news? 2025 is shaping up better than you might think. Job cuts are below the historical average, unemployment has ticked down, and more interest rate cuts could be on the horizon. Here’s what the data tells us and what it could mean for the months ahead.

According to data from Challenger, Gray & Christmas, Inc. below are the number of January job cuts over the prior 10 years.

Job loss can be traumatic. People have responsibilities to children, other family members, and pets.

While it’s a terrible place to be for those who have lost their jobs, there are some glimmers of good news.

• 49,795 job cuts are lower than the historical average for the month of January.
• Total nonfarm payrolls increased by 143,000 for the month of January, and according to the Federal Reserve Bank of Philadelphia, the employment projections show upward revisions through Q2 2025.
• The unemployment rate fell to 4.0%, which is an 8-month low.
• Interest rate cuts in the 4th quarter of 2024 (along with 2 additional forecasted cuts in 2025) are seen as a positive sign for the 2025 economy.
• Growth of 5% is expected in the US Staffing Industry for 2025.
• According to QX Global Group, sectors driving this recovery for the staffing industry include:
  • Healthcare, specifically locum tenens growing at a rate of 12%
  • Education Staffing with forecasted growth of 10%
  • Engineering Staffing with forecasted growth of 3%
  • Retained Search expected to grow 5%