Report Says Job Cuts May Be Worst in Years

The United States is on pace to record more job losses in 2001 than it has in at least nine years, job placement firm Challenger, Gray & Christmas said.

Since the terrorist attacks Sept. 11, U.S. companies have announced 624,411 job cuts, more than the 12-month totals for every year from 1993 to 1997, the job placement firm said.

Through the end of November, companies had announced close to 1.8 million job cuts in 2001, nearly three times more than were announced in 2000 and the largest number since Challenger began tabulating such figures in 1993.

The worst year before 2001 was 1998, when 677,795 job cuts were announced.

The job losses cut across three significant economic sectors: manufacturing/industrial, high technology and travel, Challenger said. The firm compiles figures from job cut announcements and does not count actual job losses, which can come from firings, early retirements and attrition.

The telecommunications industry led the way with 292,756 planned cuts through November.