Survey shows that 3 in 5 companies in the US could make cuts in the second half of 2024

Online resume-building site ResumeTemplates.com surveyed 934 U.S. business leaders in June to find out how many companies plan to make layoffs in the second half of 2024.

Overall, many companies said they have already laid off employees this year, with 60% of business leaders saying they are likely to make layoffs in the second half of the year amid a changing labor market.

Relevant points of the survey:

· 60% of business leaders say their company is likely to experience layoffs in the second half of 2024.

· Of the companies that plan layoffs, 44% plan to lay off 30% or more of their staff.

· The main reasons for layoffs are the need to reduce costs and poor employee performance.

· 3 in 4 business leaders say employees with artificial intelligence (AI) skills are less likely to be fired.

· 1 in 10 companies offers less than 2 weeks of severance pay.

· 3 in 5 companies are likely to lay off employees during the second half of this year.

Of the business leaders surveyed, 95% reported having laid off someone in the first half of 2024. About 3% report not having laid off anyone, while 21% laid off 5% of their staff, 12% laid off 10%, and 20% laid off 20%. Additionally, 11% laid off 30%, 10% laid off 40%, and 21% reported having laid off 50% or more of their workforce.

“Macroeconomic factors, such as falling consumer confidence or a delay in interest rate cuts by the Federal Reserve, could be significant factors in layoff decisions during the second half of 2024,” explains Andrew Stoner, executive resume writer at ResumeTemplates.

“Consumer confidence softened somewhat in June. The Federal Reserve has held interest rates steady for a year and progressive rate cuts are expected,” Stoner added.

To view the full report and its methodology, click here.

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