U.S. companies announced 28,307 planned job cuts in July, a 9
percent decline from 31,105 in June and the lowest since
November, according to outplacement consultancy Challenger, Gray
& Christmas Inc.
Overall, July's job cuts were down 37.6 percent from 45,346 a
Meanwhile, employers made plans to hire 88,000 workers, the
highest July total on record and the third-highest total of the
year, according to the report.
"Maybe some of these hiring announcements are just some of the
exuberance that comes late in an expansion," Challenger, Gray &
Christmas Chief Executive Officer John Challenger said in an
interview. "But it may also be that some of the decision makers
who decide whether to build a new plant or launch a new product
or hire new people are becoming more comfortable that the
recession is not imminent."
Despite low unemployment, there is slack in the system, leaving
ample opportunity for employers to pick up skilled workers,
The so-called U6 unemployment rate, which measures the share of
discouraged, part-time or underemployed workers in the economy,
is at 8.6 percent, higher than the unemployment rate of 4.3
Amazon.com Inc <AMZN.O> and Foxconn, the Taiwanese electronics
supplier formally known as Hon Hai Precision Industry Co Ltd
<2317.TW> led July's surge in hiring-plan announcements.
Amazon announced intentions to hire 50,000 workers at its
recruitment fair, while Foxconn said it would build a factory in
Wisconsin and add 3,000 jobs in the next three years.
Although the retail sector has been the hardest-hit this year,
there are signs it is crawling back.
Through the first seven months of this year, retailers have said
they would add 245,616 new positions, 44 percent of all new jobs
announced in 2017.
(Reporting by Kimberly Chin; Editing by Dan Burns and Lisa Von
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