CAUSED BY PRESIDENT TRUMP? HIM AND His tariffs????

Yes, a recent wave of U.S. layoffs has been interpreted by some economists and market observers as an early warning sign for the broader job market. The year 2025 has seen the highest number of announced job cuts since the pandemic-driven layoffs of 2020. 

Key Indicators and Trends

• Elevated Layoff Numbers: Through September 2025, U.S. companies announced nearly 950,000 job cuts. This figure surpasses the total annual layoffs for any non-pandemic year since 2009. October alone saw over 153,000 cuts, a 175% increase from October 2024.
• Shift in Corporate Strategy: The market is transitioning from a “low hire, low fire” environment (where companies hoarded labor due to past hiring difficulties) to a “more fire” approach. Companies are prioritizing cost-cutting to protect profit margins amidst economic uncertainty, rising costs, and weak consumer spending.
• Impact of AI: The adoption of artificial intelligence (AI) and automation is a significant driver, with some executives indicating AI will replace certain entry-level or routine roles. Companies like Amazon have explicitly cited rapid AI advancements as a reason for cuts.
• Challenging Job Search for the Unemployed: Laid-off workers are finding it increasingly difficult to quickly secure new positions, with some job searches taking months or over a year. Job openings have also fallen to their lowest levels since early 2021.
• Broader Economic Concerns: These layoffs are occurring across multiple sectors, including government, technology, retail, and manufacturing, which suggests a broader trend beyond just a few industries. 

Expert Opinion

Economists are divided on the future outlook. Federal Reserve Chair Jerome Powell has expressed relative optimism, viewing the market as merely “cooling down very gradually”. However, many market participants remain highly alert to signs of deterioration, pointing to the scale and speed of recent layoffs as a red flag that could portend a more significant downturn if the trend continues.