US Industries Affected by the Most Layoffs in 2025

The number of layoffs in the US reached 744,000 in June 2025, which means an increase of almost two times compared to last year.

From technology giants Microsoft and Intel to retailers Walmart and Amazon, American corporations are reducing their number of employees, according to visualcapitalist.com, which notes that while many voices point to artificial intelligence as the main reason for layoffs, uncertainty related to customs tariffs and government policy are also key factors shaping the labor market today.

The cited source presents the industries with the largest job cuts in 2025, based on data provided by Challenger, Gray and Christmas. The top ten U.S. industries that have seen the most layoffs through June 30, 2025 are: government (37,000 job cuts announced in June 2024, 288,600 in June 2025); retail (22,500, 79,900, respectively); technology (59,900; 76,200); services (27,800; 48,700); consumer products (21,000; 31,400); healthcare/products (23,500; 30,100); financials (31,500; 25,800); warehousing (14,300; 24,400); non-profits (3,300; 16,900); telecommunications (3,400; 14,900).

In the first half of this year, government layoffs accounted for 39% of the national workforce reductions, with the largest share recorded in Washington, D.C., according to the cited source. The 288,000 layoffs in the sector were largely driven by the actions of the DOGE (Department for Government Efficiency). Beyond these figures, dozens of employees in federal agencies are opting for early retirement or voluntary departures, given the threat of layoffs.

At the same time, the retail sector has been particularly exposed to trade policy and its impact on consumer spending. It is worth noting that while there are now 79,900 layoffs in total, in the sector, in the same period last year they reached less than a third of this total.

In technology, layoffs have increased by 27% from levels in the first half of 2024. Microsoft has eliminated at least 15,000 positions since the beginning of 2025, and Intel just announced a 15% reduction in its workforce in efforts to reduce costs.

• Trump to nominate "exceptional" specialist to head the Labor Department's Bureau of Labor Statistics

US President Donald Trump said earlier this week that he would nominate an "exceptional replacement" for the economist who had overseen official employment statistics until now, whom he dismissed, raising concerns about the credibility of future data, AFP reports, according to Agerpres.

Trump stunned economists and his political opponents by demanding, on Friday, that Erika McEntharfer be fired, after the publication of figures that showed a clear deterioration in the labor market in recent months.

"I will choose an exceptional replacement," Trump wrote on Monday on his social network Truth, after repeating that the data was, in his opinion, "FAKED" for political purposes to "minimize the success" of his beginning in office.

Erika McEntarfer has been coordinating the Labor Department's Statistical Service, which publishes reference figures on employment, productivity and prices (CPI index) in the United States since the beginning of 2024.

Now, Donald Trump must propose a replacement for McEntarfer, whose appointment must be confirmed by the Senate, where Republicans have a majority.

"We will announce a new (chief) statistician in about three, four days," Trump said on Sunday, during a discussion with journalists, broadcast on American television, noting: "I did not trust (...) The numbers that she announced were ridiculous."

Donald Trump did not present conclusive evidence, considering only that it is established that the dismissed official inflated the numbers in the past, for the benefit of the previous Democratic administration.

The monthly US employment report surprised on Friday, painting a bleaker-than-expected picture of the state of the labor market, while experts predict a slowdown in economic activity as a result of the US president's tariff offensive. In particular, the number of jobs that should have been created in May and June was revised significantly downwards. The corrected figures (19,000 in May and 14,000 in June) are thus at the lowest level since the Covid-19 pandemic.

Donald Trump's top economic adviser, Kevin Hassett, was asked on Monday morning by the American television channel CNBC if he also believes that the numbers are fake. "As an economist, I like to rely on what I can prove. And what I can prove is that the data has become very unreliable," he evaded, estimating that "it could have been politically manipulated" due to a "non-transparent" methodology. Kevin Hassett, meanwhile, said the revised figures are generally more robust than previous ones because they are based on "more complete data.” "If the data is not manipulated,” the labor market is doing worse "than we expected,” he admitted.

In its report, the statistical service explains that it "systematically” revises data from the last two months, those covered by the new report (in this case, May and June), "to integrate additional information and recalculate seasonal adjustment factors.”

The Wall Street Journal wrote in early June that the statistical service announced that it had fewer staff than before to carry out its assessments, due to the hiring freeze decided by the American executive, which risks reducing the reliability of its reports.

Donald Trump is also expected to name soon the person he wants to see join the Federal Reserve's interest rate-setting committee, following the surprise resignation of Governor Adriana Kugler on Friday.

Trump believes he has a say in monetary policy and has been constantly admonishing central bank Chairman Jerome Powell in the hope of seeing him go in turn.

Asked about these latest developments, German Finance Minister Lars Klingbeil, who is visiting Washington, said on Friday that it was "not his political style to attack independent, neutral and experienced institutions, as seems to be the case here."