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U.S. Job Cuts Rise 38% in April as Tech Sector Leads Layoffs
U.S. employers announced 83,387 job cuts in April, a 38% increase from March, according to a report from Challenger, Gray & Christmas. Technology companies led the announcements with AI-driven reductions, while hiring plans fell sharply by 69% from the prior month. Year-to-date cuts for 2026 remain about 50% below last year's pace.
May 8, 5:00 AM·1m read2 sources
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-based employers announced 83,387 job cuts in April, a 38% rise from the previous month, according to a report released Thursday by Challenger, Gray & Christmas. The April figure marked the third-highest total for the month since 2009 outside of the pandemic years even as it represented a 21% decline from the same period last year. Hiring plans weakened in tandem with the increase in layoffs.
Companies announced intentions to hire just 10,049 workers in April, down 69% from March and 38% from a year earlier. The report highlighted technology as the sector driving much of the activity. "Technology companies continue to announce large-scale cuts and are leading all industries in layoff announcements," said Andy Challenger, workplace expert and chief revenue officer at Challenger, Gray & Christmas.
Employers have announced a total of 300,749 job cuts so far in 2026.
That cumulative figure stands roughly 50% below the total recorded during the same period last year. The combination of rising monthly cuts and sharply lower hiring plans points to caution among companies. The April data arrives as technology firms continue to cite efficiency gains and restructuring tied to artificial intelligence investments.
While the report stops short of confirming direct headcount replacement by AI systems, it notes that budget allocations previously directed toward certain roles are being redirected.
