US job cuts surge 245% in February on federal government layoffs
Published On Mar 6, 2025, 3:50 PM
In February, the U.S. saw a record surge in job cuts, with layoffs rising by 245% compared to the previous month. This brings the total to 172,017 job cuts, the highest for February since 2009. The significant increase comes amid federal government layoffs, with 62,242 job cuts reported across 17 federal agencies and fears of a widening trade war. Economic conditions, the impact of the Department of Government Efficiency (DOGE), and other factors were cited as reasons behind the layoffs. Overall, this trend raises concerns about job security in the private sector as well, particularly in retail and technology sectors.
Stock Forecasts
XLY
Negative
The surge in job cuts indicates a weaker job market, potentially leading to reduced consumer spending and overall economic slowdown. This environment could negatively impact sectors reliant on consumer expenditures, suggesting a bear outlook for related stocks.
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