Layoff plans leap 45% in September
By Rex Nutting, CBS.MarketWatch.com
WASHINGTON (CBS.MW) -- Layoff announcements by U.S. companies surged 45 percent in September to nearly 108,000, the highest number of planned job cuts since January, outplacement firm Challenger Grey & Christmas said Tuesday.
Job reduction announcements are up 41 percent from September 2003, while year-to-date job cuts are down 17 percent from 2003's pace, Challenger said. The total of 107,863 announced layoffs for the month was not seasonally adjusted, the firm said.
"The return to six-figure job-cut levels paints a grim picture for ongoing economic growth, as such activity is generally considered a measure of how companies view future business conditions," John Challenger, chairman of the firm, said in a written statement.
"Historically, the period from Sept. 1 through Dec. 31 is when we see the heaviest downsizing, and this year appears to be on track to repeat that trend," Challenger said.
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