According to government data, inflation remains elevated in December, with prices up 0.1% last month and 2.7% since last year. Prices have been steadily increasing about 3% annually for more than two years now, and people are feeling the sustained price growth in everyday items like food, clothing, and rent, but utilities and used cars are also high. Much of last year, the Federal Reserve kept. Interest rates high to drive down inflation, but concerning instability in the job market led them to lower rates, and this makes it easier for employers to borrow money and hire people, but it can also prompt faster inflation. Now inflation is one of the main factors that people point to when talking about affordability, *** topic we will hear *** lot about heading into the midterm elections this fall. In Washington, I’m Rachel Hirsheimer.
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As layoffs pile up, workers are feeling increasingly anxious about the job market.In the U.S., economists have said that businesses are largely at a “no-hire, no-fire” standstill, leading many to limit new work, if not pause openings entirely, amid economic uncertainty. Hiring has stagnated overall — with the country adding a meager 50,000 jobs last month, down from a revised figure of 56,000 in November.Video above: Inflation data shows continued price increases impacting affordabilityBut a growing list of companies are also cutting jobs. Employers have initiated layoffs across sectors — with many pointing to rising operational costs that span from President Donald Trump’s barrage of new tariffs, stubborn inflation and shifts in spending from consumers, whose outlook on the U.S. economy recently plummeted to its lowest level since 2014. At the same time, some businesses are reducing their workforces as they redirect money to artificial intelligence, often baked into wider corporate restructuring.Here are a few of the largest job cuts announced recently. E-commerce giant Amazon slashed about 16,000 corporate roles on Wednesday — just three months after laying off another 14,000 workers. In its latest round of layoffs, Amazon cited restructuring aimed at “removing bureaucracy” in its operations, but the cuts also arrive as the company continues to ramp up spending on AI. CEO Andy Jassy previously said that he anticipated generative AI to reduce Amazon’s corporate workforce. On Tuesday, United Parcel Service said it plans to cut up to 30,000 operational jobs this year — notably as the package company continues to reduce the number of Amazon shipments it handles amid wider turnaround efforts. UPS said these cuts will be made through a voluntary buyout offer for full-time drivers and attrition. The reductions come on top of a combined 48,000 job cuts that the company disclosed in 2025. Late last year, Tyson Foods said it would be closing a plant that employed 3,200 people in Lexington, Nebraska — bringing job losses for nearly a third of the small town’s population of 11,000. The layoffs began on Jan. 20, but the company notified state officials that it was temporarily retaining under 300 workers to help complete the closure. Tyson in November also announced plans to cut one of two shifts at an Amarillo, Texas plant, eliminating an additional 1,700 jobs. Also in November, HP said it expected to lay off between 4,000 and 6,000 employees. The cuts are part of a wider initiative from the computer maker to streamline operations, which includes adopting AI to increase productivity. The company aims to complete these actions by the end of the 2028 fiscal year. Verizon began laying off more than 13,000 employees in November. In a staff memo announcing the cuts, CEO Dan Schulman said that the telecommunications giant needed to simplify operations and “reorient” the entire company. In mid-October, Nestlé said it would be cutting 16,000 jobs globally — as part of wider cost-cutting aimed at reviving its financial performance amid headwinds like rising commodity costs and U.S.-imposed tariffs. The Swiss food giant said the layoffs would take place over the next two years. Also in September, Danish pharmaceutical company Novo Nordisk said it would cut 9,000 jobs, about 11% of its workforce. The company — which makes drugs like Ozempic and Wegovy — said the layoffs were part of wider restructuring, as it works to sell more obesity and diabetes medications amid rising competition. Intel has moved to shed thousands of jobs as the struggling chipmaker works to revive its business. Last year, CEO Lip-Bu Tan said Intel expected to end 2025 with 75,000 “core” workers, excluding subsidiaries, through layoffs and attrition. That’s down from 99,500 core employees reported the end of 2024. The company previously announced a 15% workforce reduction. Last summer, Procter & Gamble said it would cut up to 7,000 jobs over the next two years, 6% of the company’s global workforce. The maker of Tide detergent and Pampers diapers said the cuts were part of a wider restructuring — also arriving amid tariff pressures. Microsoft initiated two rounds of mass layoffs last year — first impacting 6,000 and then another 9,000 positions. The tech giant cited “organizational changes,” but the cuts also arrived as the company spends heavily on AI. 1. General Motors cut about 1,700 jobs across manufacturing sites in Michigan and Ohio last fall, in addition to hundreds of temporary layoffs for other employees. 2. Skydance-owned Paramount initiated roughly 1,000 layoffs in October, and later announced plans to cut another 1,600 jobs as part of divestitures in Argentina and Chile. 3. Target in October moved to eliminate about 1,800 corporate positions. 4. ConocoPhillips announced plans to lay off up to a quarter of its workforce, or between 2,600 and 3,250 workers, taking most of the cuts before the end of 2025. 5. Lufthansa Group says it will shed 4,000 jobs by 2030.
As layoffs pile up, workers are feeling increasingly anxious about the job market.
In the U.S., economists have said that businesses are largely at a “no-hire, no-fire” standstill, leading many to limit new work, if not pause openings entirely, amid economic uncertainty. Hiring has stagnated overall — with the country adding a meager 50,000 jobs last month, down from a revised figure of 56,000 in November.
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Video above: Inflation data shows continued price increases impacting affordability
But a growing list of companies are also cutting jobs. Employers have initiated layoffs across sectors — with many pointing to rising operational costs that span from President Donald Trump’s barrage of new tariffs, stubborn inflation and shifts in spending from consumers, whose outlook on the U.S. economy recently plummeted to its lowest level since 2014. At the same time, some businesses are reducing their workforces as they redirect money to artificial intelligence, often baked into wider corporate restructuring.
Here are a few of the largest job cuts announced recently.
E-commerce giant Amazon slashed about 16,000 corporate roles on Wednesday — just three months after laying off another 14,000 workers. In its latest round of layoffs, Amazon cited restructuring aimed at “removing bureaucracy” in its operations, but the cuts also arrive as the company continues to ramp up spending on AI. CEO Andy Jassy previously said that he anticipated generative AI to reduce Amazon’s corporate workforce.
On Tuesday, United Parcel Service said it plans to cut up to 30,000 operational jobs this year — notably as the package company continues to reduce the number of Amazon shipments it handles amid wider turnaround efforts. UPS said these cuts will be made through a voluntary buyout offer for full-time drivers and attrition. The reductions come on top of a combined 48,000 job cuts that the company disclosed in 2025.
Late last year, Tyson Foods said it would be closing a plant that employed 3,200 people in Lexington, Nebraska — bringing job losses for nearly a third of the small town’s population of 11,000. The layoffs began on Jan. 20, but the company notified state officials that it was temporarily retaining under 300 workers to help complete the closure. Tyson in November also announced plans to cut one of two shifts at an Amarillo, Texas plant, eliminating an additional 1,700 jobs.
Also in November, HP said it expected to lay off between 4,000 and 6,000 employees. The cuts are part of a wider initiative from the computer maker to streamline operations, which includes adopting AI to increase productivity. The company aims to complete these actions by the end of the 2028 fiscal year.
Verizon began laying off more than 13,000 employees in November. In a staff memo announcing the cuts, CEO Dan Schulman said that the telecommunications giant needed to simplify operations and “reorient” the entire company.
In mid-October, Nestlé said it would be cutting 16,000 jobs globally — as part of wider cost-cutting aimed at reviving its financial performance amid headwinds like rising commodity costs and U.S.-imposed tariffs. The Swiss food giant said the layoffs would take place over the next two years.
Also in September, Danish pharmaceutical company Novo Nordisk said it would cut 9,000 jobs, about 11% of its workforce. The company — which makes drugs like Ozempic and Wegovy — said the layoffs were part of wider restructuring, as it works to sell more obesity and diabetes medications amid rising competition.
Intel has moved to shed thousands of jobs as the struggling chipmaker works to revive its business. Last year, CEO Lip-Bu Tan said Intel expected to end 2025 with 75,000 “core” workers, excluding subsidiaries, through layoffs and attrition. That’s down from 99,500 core employees reported the end of 2024. The company previously announced a 15% workforce reduction.
Last summer, Procter & Gamble said it would cut up to 7,000 jobs over the next two years, 6% of the company’s global workforce. The maker of Tide detergent and Pampers diapers said the cuts were part of a wider restructuring — also arriving amid tariff pressures.
Microsoft initiated two rounds of mass layoffs last year — first impacting 6,000 and then another 9,000 positions. The tech giant cited “organizational changes,” but the cuts also arrived as the company spends heavily on AI.
1. General Motors cut about 1,700 jobs across manufacturing sites in Michigan and Ohio last fall, in addition to hundreds of temporary layoffs for other employees.
2. Skydance-owned Paramount initiated roughly 1,000 layoffs in October, and later announced plans to cut another 1,600 jobs as part of divestitures in Argentina and Chile.
3. Target in October moved to eliminate about 1,800 corporate positions.
4. ConocoPhillips announced plans to lay off up to a quarter of its workforce, or between 2,600 and 3,250 workers, taking most of the cuts before the end of 2025.
5. Lufthansa Group says it will shed 4,000 jobs by 2030.
