From red-hot inflation to a strong jobs market, and all the negative gross domestic product in between, economists are divided on the health of the U.S. economy. A top concern for Americans: Are there layoffs on the horizon? Economists break down the data and economic indicator complexities brought upon by the Covid pandemic and the war in Europe.
More corporate leaders are anticipating a recession, according to a survey from Stifel.
Big companies are already announcing layoffs, including Best Buy, Ford Motor, HBO Max, Peloton, Shopify, Walmart and Wayfair.
Meanwhile, a survey from PwC shows 50% of firms expect to reduce their labor forces in the next six to 12 months.
This comes at a time when the labor market could hardly appear stronger. In July 2022, there were 11.2 million job openings, revealing a shortage of workers for available positions.
“I think it’s very important to look at the number of job openings,” Julia Pollak, chief economist at ZipRecruiter, told CNBC. “The question is how steeply they will fall, how sharply they will fall, if they go back to 7 million [job openings], the level before the pandemic.”
Not to mention, the labor market is facing off against the “Great Resignation.” In July, 6.4 million people got new jobs, while another 4.2 million quit jobs.
“The Federal Reserve is raising interest rates at this point in an effort to slow down the job market, and that’s going to mean more layoffs,” Zandi said.
Federal Reserve Chairman Jerome Powell said it will be a challenge “to return to an environment of stable prices without sacrificing the economic gains of the past two years” during a question-and-answer session at the Cato Institute, a Washington, D.C.-based think tank, earlier this month.
Watch the video above to learn more about how the U.S. defines a recessionary period in the economy, what common economic indicators are revealing and what may happen next in the labor market.
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Will This Recession See Massive Layoffs?…(read more)
BREAKING: Recession News
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The ongoing COVID-19 pandemic has led to a global economic downturn, causing uncertainty about the future of businesses and jobs. The question that looms large in everyone’s mind is whether this recession will see massive layoffs.
The answer to this question is not straightforward. While many companies have already announced layoffs, others have resorted to cutting back on employee salaries and benefits. Moreover, some industries such as healthcare and technology have seen a surge in demand, leading to an increase in hiring.
However, there are some industries that have been hit hard, such as travel, hospitality, and retail. Many companies in these sectors have been forced to shut down, leading to significant job losses. For example, airlines have seen a massive decline in demand, leading to thousands of layoffs, furloughs, and pay cuts. Similarly, hotels and restaurants have suffered due to the restrictions on travel and social distancing measures, leading to job losses.
Even in other industries, small businesses have been disproportionately affected. Many of them have been unable to withstand the economic shock, leading to the closure of their businesses and job losses.
The uncertainty surrounding the pandemic and its duration makes it difficult to forecast the extent of job losses. However, experts predict that unemployment rates could remain high for a while.
Moreover, the impact of job losses is not just limited to the individuals who lose their jobs but also affects the economy as a whole. Reduced consumer spending due to unemployment can lead to a further decline in demand for goods and services, leading to more layoffs and a vicious cycle.
The governments worldwide have introduced measures such as stimulus packages and loans to support businesses and individuals. However, it remains to be seen whether these measures will be enough to prevent massive layoffs.
In conclusion, the COVID-19 pandemic has had a significant impact on the economy, leading to job losses in some sectors. While the extent of layoffs is uncertain, governments and businesses must work together to support those affected and prevent long-term damage to the economy.
we are just not making allot of people as a country anymore… evrything will change
The Economy will be so bad, there maybe a revolt.
Don't forget war is coming ! 7 million people cross the border living free on us the American citizen taxpayer !
Thank you Biden jack ass !
Inflation is far more harmful to individuals than a collapsing stock or property market because it directly affects people's cost of living, which they immediately feel. It is not surprising that the current market sentiment is extremely pessimistic. In today's economy, assistance is critical if we are to survive.
I am starting to uninstall the app which company started layoff, now I am using #Yahoosearch instead of Google, i uninstall Amazon prime and Shopping, I uninstalled #Disneyhotstar #BanLayoff
Today's inflation is a result of corporate avarice, not only problems with the supply chain. We know that the money obtained by the higher prices isn't being transmitted along the supply chain since businesses are reporting record profits. More pricing result in increased revenue for businesses, which stays with them and goes into their pockets. We can rule out supply-related inflation because of this. If your stocks are extremely weak, now is an excellent opportunity to take a battered 401k and convert it to a Roth. Then, your Roth will be tax-free, and you will just have to pay taxes on the substantially reduced current values.
recession is just a blanket used to reduce the workforce as in reality they are no longer needed, as more automated system (and later Artificial Intelligence) would soon replace many jobs and make them obsolete. First remove simple systems that are on-premise ( apps) by centralize systems ( cloud) and collect data (in name of better service) then further automate ( and use AI) to reduce footprint on cloud and more and more towards automatic systems. Cloud storing people data by any form by private companies across nations should be criminalized? this just takes away control from government to maintain sustainable job system
Many companies are working shorthanded, in the fast food places especially, also customer service (that's where the food places are lacking) they say there are openings but no one will ever be hired, thru the pandemic they learned that they don't loose much when ignoring customers, they still buy and businesses no longer need to acknowledge them even,just turns into less complaints because no one is taking them and less workers because they've eliminated that position basically not really as many open jobs as they let on….
There will be no recession, and these corporations will have given their competition the biggest leg up they have had in years. Those products and services I am leaning into hard with my investments.
Understand where people go when loans are not free and who made the best use of 10 years of free money. Those cutting back already have shown their hand.
I just got laid off in healthcare, as well as many others.
The crazy thing about American is that they act to the recession before the recession even starts, and during the recession, and after recession, and they live with fears, fears of hunger or losing their house career and their two vacations a year. On the other hands you got the immigrants they never cared about the economy because they were born and raised with recession. but has anyone told you that the strongest companies now are the ones started during great depression and during world war ll. stop worry and take advantage of this recession to become a millionaire.
2:30 they don't have to officially declare it….we have been in one for a while now. Them finally admitting it doesn't stop the fact that we are already in one.
Propaganda. We in a recession and gearing up for a depression. Thanks Joe Biden
Good job Democrats
If recession occurs government have to pass a universal basic income law
As an elder millennial, one of the few advantages is having lived through the Great Recession. My advice. Reduce unnecessary expenses, increase your savings by investing in financial markets and do not sell. One thing I know for sure is that diversifying your income can help insulate you from much of the craziness going on in the world.
We are in a recession. Anyone who says we’re not are completely clueless. The only reason people don’t think we are is because the Biden administration had to change the definition of a recession just before midterms. This is the truth.
Yes. No sales, inventory builds up workers loose their job, stupid to question that.,
There will be no recession
Funny everything is turned upside down since Joey took over just wait till 2023 cause you have not seen anything yet! I thought i would never live long enough to see some one worse than Jimmy Carter. Oh yes another Dem!!
HOW TO AVOID 2022 LAYOFFS:https://www.youtube.com/watch?v=PqMyX4GPbVA
I’m confident the current market has an equal possibility of making high-value gains or losses, so I'm cautious with my selections; but, I heard that a trader made over $250k in this recession influenced market, and I could really need ideas on how to achieve similar profits.
Our time had reached its zenith, and it is now over. Everything, including 401Ks, are suffering from the recession and crashes. My $750K retirement equity portfolio is losing money. Because of inflation, I keep losing. Similar to how Rome fell under its despotic emperors, this world will also. I apologize if you are considering retirement but are concerned that your pension won't cover the rising expense of living. There are terrible foreign policies worldwide, as well as disastrous regulatory, fiscal, and energy policies.
As an elder millennial, one of the few advantages is having lived through the Great Recession. My advice. Reduce unnecessary expenses, increase your savings by investing in financial markets and do not sell. One thing I know for sure is that diversifying your income can help insulate you from much of the craziness going on in the world.
That's good maybe it will be good for all the so called quiet quitters fire them 1st and send them a f*** y** letter at the same time
As I would see it, the go to solution for climate this downturn and high expansion is momentary exchanging, rather than long haul exchanging, most people utilizing these methods are netting a lot of gains, sure the dangers are higher yet once more isn't the ongoing business sector similarly as unsafe?
Recessions are part of the economic cycle, all you can do is make sure you're prepared and plan accordingly. I graduated into a recession (2009). My 1st job after college was aerial acrobat on cruise ships. Today I'm a VP at a global company, own 3 rental properties, invest in stocks and biz, built my own business, and have my net worth increase by $500k in the last 4 years.
No worries for me, I don't try to time the market. When I see that stock drops below its fair value with some margin of safety – I buy. Past 2-3 months have been huge shopping spree for me. I've got literally like 2000$ left of investing cash. Probably I will miss some occasions in the future months, but who cares as long as I got value?
There 8s no reccesions
A recession (if at all it happens) will likely make the US economy to crash. But for stockholders, a recession as bad it can be, provides good buying opportunities in the markets if you’re careful and it can also create volatility giving great short time buy and sell opportunities too. This is not financial advise but get buying, cash isn’t king at all in this time
These layoffs not indicate recession.
It is only big companies saving.
Job market is good.
boycott all companies for the holidays if they cut staffing.
If you'll turn the channel over to the news station you'll find out that these layouts have already started in large numbers your story's way too late
Dont worry…the biden administration created thousands upon thousands of jobs.
Great job voting blue!! Woohoooo!!
This video is so outdated. It should not show up in my feed!!!
A recession is not determined “when” they claim it is, if you look at every recession in history they have always turned out to be reported 10-12 months too late.
Must be nice to have money to worrie about most people dont have 500 bucks let alone care if it crashes
This what happens when you let the media trick you into putting a idiot in office
I hope all the useless woke employees who insist on "working" from home since Covid, get fired…. They are the reason for rampant inflation…. They only pretend to work, what "working" from home really means is sleeping in, playing with the dogs, Golf, long boozy lunches followed by a nice nap then hitting the restaurants, bars and clubs or playing video games all night…
Productivity is non-existent and these fools want to be paid MORE for not working…companies have to hire more of these useless bstrds and thus costs are through the roof…
And the answer is…. yes… what do you think fed is doing
With all this scary news making the headlines, is this really a good time to buy stocks? I know everyone says the mrkt is ripe enough for buying but will stocks tank further this year? How long until a full stock recovery? How are other people in this mrkt raking in over $250k gains within months, I'm really just confused at this point.