Challenger Report: May Job Cuts Rise 16% from April; Highest May Total Since 2020 (opens in new tab)

Job cuts rose to 97,006 in May, the highest total for the month since 2020, as employers continued restructuring efforts amid rapid AI adoption. According to Challenger, Gray & Christmas, AI led layoff reasons for the third consecutive month, while merger, acquisition, and bankruptcy-related cuts also increased. Employers have announced 397,755 job cuts so far in 2026, down 43% from the same period last year.