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CONTACT Colleen Madden Blumenfeld, Director of Public Relations

Office: 312-422-5074

Mobile: 314-807-1568

[email protected]

FOR RELEASE AT 7:30 A.M. ET, THURSDAY, DECEMBER 3, 2020

JOB CUTS FALL FOR THE SECOND CONSECUTIVE MONTH; 64,797 IN

NOVEMBER, UP 45% FROM SAME MONTH LAST YEAR

CHICAGO, December 3, 2020 – In the penultimate month of the year, U.S.-based employers

announced 64,797 job cuts, the second-lowest monthly total for 2020. It is 19.7% lower than

the 80,666 job cuts announced in October, according to a report released Thursday by global

outplacement and business and executive coaching firm Challenger, Gray & Christmas, Inc.

November’s total is 45.4% higher than the 44,569 cuts announced in November of last year. So

far this year, 2,227,725 job cuts have been announced, 298% higher than the 559,713 cuts

announced through November 2019. It is the highest annual total on record.

“News of a coming vaccine and clarity surrounding election results have sent markets soaring

and given companies some stability as we end the year,” said Andrew Challenger, Senior Vice

President of Challenger, Gray & Christmas, Inc.

“That said, disposable income decreased over $130 billion in October, according to the Bureau

of Economic Analysis. Undoubtedly, the millions of Americans who remain out of work will

have an impact on spending, which will lead to further cuts,” he added.

The majority of cuts last month came from Entertainment/Leisure companies, which

announced 11,666 cuts. This sector leads all industries this year with 857,620, up 5,860% from

the 14,389 announced in the same period last year.

Technology companies followed with 11,431 cuts, bringing the year-to-date total to 77,826,

22.7% more than the 63,447 cuts announced in the sector last year.

mailto:[email protected]

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Transportation companies announced the third-highest total for the month with 10,455 cuts,

for a total of 170,129 cuts in the first eleven months of 2020. This is a 543% increase from the

26,445 announced in the same period last year.

“Not only are airlines having trouble with decreased travelers, but local transportation

authorities are feeling the loss of ridership this year,” said Challenger.

The only industries that have announced fewer job cuts than during the same period last year

are Chemical, Financial, Pharmaceutical, and Utility.

Market Conditions were cited as the reason for 20,021 cuts in November, the highest number

for any reason. Demand Downturn followed with 17,659. Restructuring resulted in 11,676

cuts. COVID impacted 5,873 jobs in November, but leads all reasons in 2020 with 1,105,599.

Companies have announced 185,504 hiring plans in November, bringing the year-to-date total

to 3,113,595. Of those, 795,350 are seasonal hiring plans for the holidays. These hiring plans

are down from last year when employers announced 813,781 seasonal hiring plans.

# # #

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CHALLENGER, GRAY & CHRISTMAS, INC. JOB CUT ANNOUNCEMENT REPORT

Table 1: EXECUTIVE SUMMARY TOP FIVE INDUSTRIES

Year to Date

2020 2019

Entertainment/Leisure 857,620 14,389

Retail 182,307 74,686

Transportation 170,129 14,983

Services 156,662 24,534

Automotive 86,400 47,518

MONTH BY MONTH TOTALS

2020 2019

January 67,735 52,988

February 56,660 76,835

March 222,288 60,587

April 671,129 40,023

May 397,016 58,577

June 170,219 41,977

July 262,649 38,845

August 115,762 53,480

September 118,804 41,557

October 80,666 50,275

November 64,797 44,569

December 32,843

TOTAL 2,227,725 592,556

Some reductions are identified by employers as workers who will take early retirement offers or other special considerations to leave the company.

LAYOFF LOCATION

Year to Date California 397,783

New York 260,209

Florida 212,003

Texas 162,742

Ohio 94,370

Listings are identified by the location of the layoff or corporate headquarters as stated in announcement.

Copyright 2020 Challenger, Gray & Christmas, Inc.

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Table 2: JOB CUTS BY INDUSTRY 19-Nov 20-Oct 20-Nov YTD 2019 YTD 2020

Aerospace/Defense 839 4,994 5,953 7,566 85,814

Apparel 223 25 1,193 2,046 28,511

Automotive 4,493 200 231 47,518 86,400

Chemical 87 48 1,154 332

Construction 261 967 167 3,971 10,257

Consumer Products 1,528 1,031 950 16,673 35,562

Education 750 4,990 1,648 15,626 41,663

Electronics 169 171 367 1,964 9,978

Energy 1,461 11,787 920 25,239 48,656

Entertainment/Leisure 2,081 14,804 11,666 14,389 857,620

Financial 1,110 2,757 223 22,199 13,667

FinTech 195 56 1,696 2,282

Food 1,962 745 1,100 23,134 31,273

Government 920 3,881 783 13,364 67,348

Health Care/Products 6,247 2,643 4,485 43,443 62,590

Industrial Goods 4,636 1,613 1,195 68,141 79,222

Insurance 205 4,247 312 3,135 7,825

Legal 77 32 0 1,133

Media 553 1,395 1,574 9,751 30,211

Mining 692 6,521 10,563

Non-Profit 157 314 977 3,147 51,818

Pharmaceutical 588 84 11,219 1,679

Real Estate 302 28 373 2,348 20,895

Retail 3,201 2,544 2,787 74,686 182,307

Services 3,004 9,471 5,412 24,534 156,662

Technology 7,292 88 11,431 63,447 77,826

Telecommunications 75 91 32 14,983 30,031

Transportation 1,104 11,475 10,455 26,445 170,129

Utility 231 1,794 1,673

Warehousing 203 280 391 9,580 23,798

TOTAL 44,569 80,666 64,797 559,713 2,227,725


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Table 3: JOB CUTS BY REGION, STATE

EAST Nov-20 YTD 2020 YTD 2019

Connecticut 512 10,893 2,914

Delaware 4,678 605

Dist. of Columbia 23,346 2,214

Maine 226 2,649 2,165

Maryland 909 38,785 3,918

Massachusetts 5,263 70,764 36,336

New Hampshire 262 75

New Jersey 2,617 48,307 19,565

New York 21,819 260,209 58,130

Pennsylvania 1,942 77,959 22,855

Rhode Island 3,599 61

Vermont 85 907 416

TOTAL 33,373 542,358 149,254

MIDWEST Nov-20 YTD 2020 YTD 2019

Illinois 4,674 66,900 30,333

Indiana 966 27,870 8,135

Iowa 141 6,616 3,540

Kansas 17,945 1,554

Michigan 1,913 48,641 29,113

Minnesota 150 71,714 9,151

Missouri 600 34,487 4,006

Nebraska 119 2,381 3,346

Ohio 1,714 94,370 15,864

Wisconsin 325 28,097 8,212

TOTAL 10,602 399,021 113,254


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Table 3 (cont’d): JOB CUTS BY REGION, STATE WEST Nov-20 YTD 2020 YTD 2019

Alaska 2,547 3,777

Arizona 487 21,141 6,358

California 7,545 397,783 97,010

Colorado 336 42,444 8,656

Hawaii 6,500 688

Idaho 2,067 1,827

Montana 370 318

Nevada 302 67,403 2,669

New Mexico 20 4,513 2,389

North Dakota 583 150

Oklahoma 8,189 1,097

Oregon 1,063 27,245 4,095

South Dakota 5 529 976

Texas 2,234 162,742 32,615

Utah 160 1,400 884

Washington 471 94,168 10,940

Wyoming 384 2,032 1,961

TOTAL 13,007 841,656 176,410

SOUTH Nov-20 YTD 2020 YTD 2019

Alabama 750 7,392 2,150

Arkansas 2,081 1,378

Florida 3,177 212,003 16,873

Georgia 1,186 42,105 14,449

Kentucky 19 28,769 8,020

Louisiana 48 17,820 5,359

Mississippi 4,735 2,701

North Carolina 315 38,627 14,280

South Carolina 1,156 14,724 10,603

Tennessee 883 52,635 17,372

Virginia 281 16,072 24,948

West Virginia 7,727 2,662

TOTAL 7,815 444,690 120,795


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Table 4: JOB CUTS BY REASON

Nov-20 YTD

COVID-19 5,873 1,105,599

Market Conditions 20,021 432,098

Demand Downturn 17,659 230,027

Closing 4,570 102,727

Cost-Cutting 2,803 86,028

Restructuring 11,676 83,576

No Reason Provided 65,815

Voluntary Severance/Buyouts 36,912

Oil Price Downturn 22,805

Bankruptcy 585 14,173

Contract Loss 315 11,005

Acquisition/Merger 294 8,255

Financial Losses 8,056

Refocus 4,799

Consolidation 3,390

737 Max Halt in Production 3,233

Relocation (Domestic) 233 2,446

Police Protests 1,589

Outsourcing Operations to Another US Company 700 1,455

Technological Update 63 1,390

Steel Downturn 578

Government Regulation 489

Coal Downturn 429

Fires 260

Relocation (International) 260

Legal Trouble 218

Tariffs 108

TOTAL 64,792 2,227,720


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Table 5: QUARTER BY QUARTER Q1 Q2 Q3 Q4 TOTAL

1989 9,850 10,100 24,085 67,250 111,285

1990 107,052 87,686 49,104 72,205 316,047

1991 110,056 76,622 147,507 221,107 555,292

1992* 110,815 85,486 151,849 151,850 500,000

1993 170,615 84,263 194,486 165,822 615,186

1994 192,572 107,421 117,706 98,370 516,069

1995 97,716 114,583 89,718 137,865 439,882

1996 168,695 101,818 91,784 114,850 477,147

1997 134,257 51,309 95,930 152,854 434,350

1998 139,140 131,303 161,013 246,339 677,795

1999 210,521 173,027 173,181 118,403 675,132

2000 141,853 81,568 168,875 221,664 613,960

2001 406,806 370,556 594,326 585,188 1,956,876

2002 478,905 292,393 269,090 426,435 1,466,823

2003 355,795 274,737 241,548 364,346 1,236,426

2004 262,840 209,895 251,585 315,415 1,039,735

2005 287,134 251,140 245,378 288,402 1,072,054

2006 255,878 180,580 202,771 200,593 839,822

2007 195,986 197,513 194,095 180,670 768,264

2008 200,656 275,292 287,142 460,903 1,223,993

2009 562,510 318,165 240,233 151,122 1,120,908

2010 181,183 116,494 113,595 118,701 529,973

2011 130,749 115,057 233,258 127,018 606,082

2012 143,094 139,997 102,910 137,361 523,362

2013 145,041 113,891 128,452 121,667 509,051

2014 121,341 124,693 117,374 119,763 483,171

2015 140,214 147,458 205,759 105,079 598,510

2016 180,920 132,834 121,858 91,303 526,915

2017 126,201 100,799 94,478 97,292 418,770

2018 140,379 104,800 120,879 172,601 538,659

2019 190,410 140,577 133,882 127,687 592,556

2020 346,683 1,238,364 497,215 2,082,262

AVG 201,433 185,951 183,158 193,633

*Estimate based on half-year total. Challenger began tracking job cut data in 1993. Before that, it was tabulated by an independent newsletter no longer published.


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Table 6: ANNOUNCED HIRING PLANS By Month

2020 2019 2018 2017 2016 2015

January 23,229 74,040 41,890 136,501 8,362 8,774

February 88,202 15,279 139,925 25,765 7,539 14,574

March 824,610 96,368 14,525 127,006 10,997 6,412

April 285,639 258,302 13,842 61,537 11,557 13,898

May 38,981 8,663 9,889 77,447 24,732 12,598

June 75,454 11,946 13,504 40,095 13,564 11,176

July 246,507 22,316 9,823 88,142 16,051 11,637

August 160,411 24,937 17,274 14,530 9,101 11,778

September 929,860 459,689 595,997 422,726 487,075 492,306

October 255,198 190,835 130,338 37387 135,532 86,107

November 185,504 19,063 15,422 61,300 108,994 10,026

December 26,313 15,999 8,218 35,198 11,465

TOTAL 3,113,595 1,207,751 1,018,428 1,100,654 868,702 690,751

NOTES: In January 2020, Dollar General announced it would add 8,000 jobs. In February, The Home Depot announced 80,000 hires. In March, COVID-19 caused companies to announce 821,810 hiring plans. In April, COVID-19 caused companies to announce 280,200 hiring plans. In May, COVID-19 caused companies to announce 32,000 hiring plans. In September, 378,200 new jobs were announced due to the holidays (See Table 8). In September, McDonald’s announced it would add 260,000 jobs as it reopens restaurants.


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Table 7: ANNOUNCED HIRING PLANS

INDUSTRY NOVEMBER YEAR-TO-DATE

Aerospace/Defense 1,085 15,973

Apparel 4,070

Automotive 6,450 20,827

Chemical 410

Construction 233 33,578

Consumer Products 1,931 12,584

Education 4,525 30,198

Electronics 331 2,297

Energy 1,626 6,939

Entertainment/Leisure 11,595 450,407

Financial 2,471 27,508

FinTech 190

Food 6,552 22,759

Government 34,383 155,258

Health Care/Products 13,498 96,367

Industrial Goods 1,015 7,692

Insurance 3,150 9,554

Legal 924

Media 29 1,615

Mining 14 14

Non-Profit 12,080 15,244

Pharmaceutical 1,641 4,270

Real Estate 1,262 17,042

Retail 74,600 1,171,278

Services 2,582 81,701

Technology 3,075 43,631

Telecommunications 120 5,675

Transportation 470 737,970

Utility 19 1,097

Warehousing 767 136,523

TOTAL 185,504 3,113,595


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Table 8: ANNOUNCED HOLIDAY HIRING PLANS Company 2012 2013 2014 2015 2016 2017 2018 2019 2020

Amazon 50,000 70,000 80,000 100,000 120,000 120,000 100,000 200,000 100,000

Target 88,000 70,000 70,000 70,000 77,500 100,000 120,000 133,000 130,000

UPS 55,000 55,000 95,000 95,000 95,000 95,000 100,000 95,000 100,000

Macy's 80,000 83,000 86,000 85,000 83,000 87,000 80,000 80,000 25,000

FedEx (Transportation) 20,000 20,000 50,000 55,000 50,000 50,000 55,000 55,000 70,000

JCPenney 40,000 35,000 35,000 30,000 40,000 40,000 39,000 37,000 1,700

DHL Supply Chain 7,000

Michaels 15,000 15,000 15,000 16,000

Kroger 14,000 10,000 20,000

Dollar Tree 25,000 25,000

Nordstrom 11,800 11,400 13,650

Toys"R"Us 45,000 45,000 45,000 40,000 12,500

Burlington Stores 12,000

The Bon-Ton Stores 13,500 10,000

1-800-FLOWERS.COM Inc. 8,000 8,000 8,000 10,000

McDonald's 3,179

Williams-Sonoma 2,000 2,500

Fanatics 2,000

Plow & Hearth 400

Opryland 300 400

Kohl's 52,700 53,000 76,970 79,160 69,000 90,000 90,000

Walmart 50,000 55,000 60,000 60,000 20,000

GameStop 17,000 17,000 25,000 28,000

Dick's Sporting Goods 9,000

Sports Authority 3,500

Best Buy 14,000

Meijer 12,000 9,000 10,000 200

Radial 20,000 23,000 20,000 12,581 25,000

Party City 35,000 25,000 20,000

Gap 63,000 65,000 30,000 10,000

Versant Supply Chain 2,000

L Brands 4,000 4,000 4,000

XPO Logistics 6,000 8,000

Hickory Farms (Food) 5,225 6,000

Alter'd State 1,200

Fresh Market 1,500

Office Depot 3,000

Shipt 100,000

Sheetz 3,000

Hy-Vee 10,000

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Giant Eagle 1,300

Omaha Steaks 3,000

Cherry Hill Programs 11,000

Kings Dominion 4,000

Legoland Florida 150

Lowe's 20,000

Bass Pro Shop 7,000 7,000

Total 528,925 518,000 695,970 657,460 620,700 614,129 714,000 813,781 759,350


for release at 7:30 a m et, thursday december 3, 2020€¦ · for release at 7:30 a.m. et,...

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