Current State of the U.S. Job Market

In September 2025, U.S. employers announced far fewer layoffs than in August, showing a 37 percent drop. Yet year-to-date layoffs have reached about 946,426, marking one of the highest levels since 2020. At the same time, planned hiring is very low — it's the weakest level seen since 2009. Economic uncertainty, inflation, and slower demand are cited as reasons for cautious hiring. Key Insights & Trends • Though layoffs eased in September, the overall year shows weakness in hiring momentum • Low planned hiring suggests companies are holding back on expansions or new staffing • Sectors sensitive to economic cycles may see more slowdown, while essential services may hold steady • Workers may face greater difficulty moving or changing roles due to reduced opportunities Implications for Job Seekers & Workers • Be more selective: focus on fields or companies that are stable or still hiring • Sharpen transferable and in-demand skills to stand out in a tight market • Network, stay visible — when hiring is slow, connections can help more than usual • Demonstrate value (efficiency, adaptability) since firms may favor workers who can help reduce costs Conclusion The U.S. job market shows signs of stress: layoffs remain high overall, and hiring has dropped to levels not seen in more than a decade. For job seekers, the message is clear — being prepared, agile, and well-equipped is more important than ever.