US Labor Market Overview in 2025

The US labor market in 2025 was once described as stagnant. While statistics showed stable layoffs and low unemployment rates by historical standards, finding a job was proving to be a significant challenge for job seekers.

Wave of Layoff Announcements Spark Concerns

This fall, major companies like Amazon, Verizon, and Target announced a series of layoffs, raising questions about the stability of the labor market. Economists are closely monitoring this trend.

Economists' Commentary

Heather Long, chief economist at Navy Federal Credit Union, states, "All signs suggest that we are moving from a labor market characterized by 'no hiring and no layoffs' to one that 'doesn't hire and starts to lay off'."

Official Data and Future Projections

The first official unemployment rate report since August will be released tonight. Due to the government shutdown, this jobs report will only cover September data, reflecting the situation before the significant increase in layoff announcements. According to Challenger, Gray & Christmas, October was the worst month for planned layoffs since 2003.

Notable Increase in WARN Notices

According to the Federal Reserve Bank of Cleveland, WARN notices, which large companies must issue before large-scale layoffs, saw a significant increase last month in 21 states, reaching 39,006, one of the highest levels since records began in 2006. (This figure is still lower than the levels of the COVID-19 pandemic, the Great Recession period, and May of this year.)

Impact of "No Hiring" on the Labor Market

Robert Shimer, an economics professor at the University of Chicago, suggests that current data from private sources indicates that the labor market is experiencing "very slow or stagnant growth," supporting the idea of "no hiring and no layoffs."

Will the Era of "No Hiring" Continue?

The lack of hiring in the economy may be the most serious consequence: Shimer's study suggests that "fluctuations in the unemployment rate are mainly driven by companies not hiring significantly, and unemployed workers remaining unemployed for a long time, not specifically due to the significant increase in layoffs."


Risk Warning: This article is provided for informational purposes only and does not constitute investment advice, investment research, or a recommendation to trade. The views expressed are those of the author and do not necessarily reflect the position of Markets.com. When considering shares, indices, forex (foreign exchange), and commodities for trading and price predictions, remember that trading CFDs involves a significant degree of risk and may not be suitable for all investors. Leveraged products can result in capital loss. Past performance is not indicative of future results. Before trading, ensure you fully understand the risks involved and consider your investment objectives and level of experience. Cryptocurrency CFD trading restrictions may apply depending on jurisdiction.

Latest news

gold

Wednesday, 22 July 2026

Indices

Gold Price Today, July 23: Gold Holds Above $4,100 as Oil Rally Limits Gains

tesla earnings q2 2026

Wednesday, 22 July 2026

Indices

Tesla 2026 Q2 Earnings: Revenue Surges 26% as AI Investments Weigh on Profits and Cash Flow

google earnings 2026 q2

Wednesday, 22 July 2026

Indices

Google 2026 Q2 Earnings: Cloud Revenue Soars 82% as AI Investments Drive Growth Despite Rising Capital Spending

Fed Rate Decision

Wednesday, 22 July 2026

Indices

Fed Rate Decision Preview: Will the Fed Raise Rates at the July 29, 2026 Meeting?

us-iran-oil

Wednesday, 22 July 2026

Indices

Crude Oil Prices Rise 2% to Six-Week High as US-Iran Tensions Escalate

kospi

Wednesday, 22 July 2026

Indices

KOSPI Jumps More Than 3% as Alphabet’s $200 Billion AI Plan Lifts Chip Stocks

Oil Price Forecast 2026

Wednesday, 22 July 2026

Indices

Crude Oil Price Forecast for Next Week: Will WTI and Brent Extend Their Rally?

bitcoin price forecast

Wednesday, 22 July 2026

Indices

Bitcoin Price Forecast: BTC Slips as Rising Oil Prices Renew Inflation Concerns

palantir-stock

Wednesday, 22 July 2026

Indices

Why Is Palantir Stock Falling? PLTR Slides 6.1% on NHS Scrutiny and Competition Concerns

stock

Tuesday, 21 July 2026

Indices

Stock Market Today: Nasdaq Rises 1.29% as Micron Leads Chip Rally