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The Top U.S. Industries for Layoffs in 2025
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Key Takeaways
- As of June 30, 2025 the U.S. government laid off more employees than any other industry this year, totaling 288,600.
- The vast majority of layoffs are in the federal government, driven by DOGE actions.
- Retail and tech follow next, as tariff uncertainty and AI advancements impact their industries.
Layoffs in 2025 have hit 744,000 by June—rising at nearly double the pace seen last year.
From Microsoft and Intel to Walmart and Amazon, corporate America is reducing their head count. While many cite AI as a primary reason, tariff uncertainty and government policy are also key forces shaping today’s job market.
This graphic shows the industries with the highest job cuts in 2025, based on data from Challenger, Gray & Christmas.
Where Layoffs in 2025 Are Hitting the Hardest
Here are the top 10 industries with the most layoffs as of June 30, 2025:
| Industry | Announced Job Cuts as of June 30, 2024 | Announced Job Cuts as of June 30, 2025 |
|---|---|---|
| Government | 37,000 | 288,600 |
| Retail | 22,500 | 79,900 |
| Technology | 59,900 | 76,200 |
| Services | 27,800 | 48,700 |
| Consumer Products | 21,000 | 31,400 |
| Health Care/Products | 23,500 | 30,100 |
| Financial | 31,500 | 25,800 |
| Warehousing | 14,300 | 24,400 |
| Non-Profit | 3,300 | 16,900 |
| Telecommunications | 3,400 | 14,900 |
In the first half of the year, government layoffs made up 39% of terminations nationally, with the largest share in Washington, D.C.
Overall, 288,000 job cuts have been announced largely driven by DOGE actions. Beyond these numbers, scores of employees in federal agencies are opting for early retirement or buyouts given the threat of layoffs.
Meanwhile, the retail sector has been particularly exposed to trade policy and its impact on consumer spending, with 79,900 layoffs overall. By comparison, total job cuts over the same period last year were less than a third of this total.
In tech, layoffs have jumped 27% from H1 2024 levels. Microsoft has axed at least 15,000 roles so far in 2025, and Intel just announced a 15% workforce reduction in efforts to cut costs.
Learn More on the Voronoi App
To learn more about this topic from a global perspective, check out this graphic on the world’s fastest growing jobs.