#economicdownturn

The latest round of layoffs across tech firms in the Bay Area and beyond has reignited talk about a possible “jobs recession” in the tech world. Seeing so many companies cut staff in such a short period of time has shaken confidence, especially for workers who once saw tech as one of the safest and fastest-growing career paths.

https://www.kron4.com/news/technology-ai/latest-round-of-tech-layoffs-reignite-talk-of-jobs-recession-in-industry/

Marblehead anticipates an $8.4 million budget shortfall. Town Administrator Kezer expects over 50 town employee layoffs. Service reductions and delayed capital improvements are also likely. Kezer likened the financial situation to the 2008 recession. An override vote is being considered to address the funding gap.

https://patch.com/massachusetts/marblehead/its-drastic-marblehead-faces-override-debate-8-4m-deficit-50-projected-town

The Seattle area recently shed jobs. This marks the first job loss since the pandemic began. The region had previously added fewer than 15,000 jobs in 2024. Further details are behind a paywall. The Puget Sound Business Journal reported this development.

https://www.bizjournals.com/seattle/news/2026/02/03/area-loses-jobs-tech-industry-construction.html

Forbes:

•   About 44% of employers plan to give uniform, across-the-board pay raises in 2026 instead of merit-based increases, a practice often called peanut butter raises, according to a Payscale report.
•   Average pay increase budgets are holding steady at about 3.5%, but nearly a third of companies plan to reduce raise budgets due to economic uncertainty and cost control concerns.
•   Employers cite criticism of merit-based pay as too subjective and biased, and say flat raises are simpler to administer and can better support low-wage workers facing inflation.
•   Economic conditions are a key driver: slower hiring, ongoing layoffs, and fears of recession have overtaken labor competition as the main factor shaping compensation decisions.
•   While many companies spread limited raises evenly, some still heavily reward top performers, such as Walmart boosting pay for top store managers to strengthen performance and culture.

Initial unemployment filings in Indiana decreased last week. The U.S. Department of Labor reported this data. New jobless claims fell to 3,203 in the week ending January 24. This was down from 3,789 claims the prior week. Nationally, U.S. unemployment claims also dropped to 209,000.

https://www.southbendtribune.com/story/news/2026/02/01/unemployment-numbers/88413431007/

Initial filings for unemployment benefits in Oklahoma rose last week. The U.S. Department of Labor reported this increase. New jobless claims reached 2,382 for the week ending January 24. This was an increase from 1,564 claims the prior week. Nationally, U.S. unemployment claims decreased to 209,000.

https://www.examiner-enterprise.com/story/news/2026/02/01/unemployment-numbers/88413598007/

Volkswagen is pausing plans for a new U.S. manufacturing plant. The company cites financial uncertainty from U.S. trade policies. This includes a debated Audi factory project since 2018. VW experienced a 15% operating profit drop in 2024. Volkswagen also plans to eliminate 35,000 future jobs in Germany.

https://www.slashgear.com/2087524/volkswagen-us-audi-factory-plan-paused/

Initial unemployment benefit filings in Ohio decreased last week. The U.S. Department of Labor reported this decline on Thursday. New jobless claims in Ohio fell to 6,773 for the week ending January 24. This was down from 6,847 claims the previous week. Nationally, U.S. unemployment claims also dropped to 209,000.

https://www.zanesvilletimesrecorder.com/story/news/2026/01/31/unemployment-numbers/88413597007/

Every time I bring up the topic of a raise with my boss, it gets dismissed. Meanwhile, the cost of living continues to INFLATE, and I’m struggling to make ends meet at home. I’ve been actively searching for other jobs. Applying to jobs every single day but all I’ve received so far are rejections.

Is it ever going to improve? I am especially afraid of being laid off because of how bad things are. I am relatively new to the workforce, so for those with more experience, has there been another period like this before? And how long did it take to turn around?

Another. New. Low.
https://m.youtube.com/watch?v=WQBc8yxjdSs

Connecticut’s unemployment rate increased to 4.2% in December. This represents a 0.2% rise from the previous month. Payroll jobs also declined by an estimated 500 in December. The state's labor force dropped by 20,000 workers over six months. Republican lawmakers criticized the state's economic growth and affordability.

https://www.courant.com/2026/01/26/connecticuts-unemployment-rate-rises-hundreds-lost-jobs-in-december/

https://investors.xerox.com/news-releases/news-release-details/xerox-releases-fourth-quarter-and-full-year-results-2

FCF of $133 mil for FY 25, and operating margin is 3.5% down 140 BP YOY.

TL;DR: Gross sales are up, but they are running out of money.

Layoffs are anticipated in the Bay Area. Recent economic data appears discouraging. This situation suggests a challenging period. Businesses may soon consider workforce reductions. The overall economic outlook remains uncertain.

https://www.nbcbayarea.com/video/news/local/layoffs-loom-discouraging-economic-data/4021928/

Bay Area, California

Is it expected for the stock price to continue to drop as more and more Medicaid membership is lost due to deportations and enhanced scrutiny for fraud?

It's going to get worse in 2026 with UHC leading the way. Expect more outsourcing and RIFs

https://www.crn.com/news/ai/2026/ibm-q4-earnings-preview-5-things-to-know

The number of workers in Wisconsin fell by nearly 67,000. Wisconsin's unemployment rate held at 3.1% for December. This workforce reduction significantly impacts the state's economy. Demographic shifts, like aging baby boomers, contribute to the reduction. The state's participation rate for its workforce reached 64.2%.

https://www.aol.com/news/wisconsin-unemployment-remains-steady-number-193800515.html

Just saying...

• Report Shows Rising Employee Layoff Fears

A new INTOO/Harris Poll report reveals increased layoff anxiety among US employees. Over 61% of workers are concerned about job loss, a nearly 30% rise since 2019. Economic uncertainty, automation, and leadership skepticism fuel these growing fears. Many employees believe most recent layoffs could have been avoided with better management. INTOO suggests employers need greater transparency and support to address this anxiety.

https://www.knoxnews.com/press-release/story/134260/new-intoo-harris-poll-report-finds-nearly-30-increase-in-u-s-employees-experiencing-layoff-anxiety-compared-to-2019/

Also... Increases DLC Price...

Mighty Coconut, the studio behind Walkabout Mini Golf, confirmed recent layoffs. Approximately eight positions were eliminated, affecting about 25% of its workforce. The studio cited economic pressures within the VR industry for these changes. New VR DLC courses will now be priced at $4.99, an increase from previous offerings. Development for the Walkabout Mini Golf Pocket Edition on iPhones is also paused.

https://www.uploadvr.com/walkabout-mini-golf-layoffs/

Any explanations on why the Stocks are going down ?

Sorry to say, well drilling gas virtually stopped and jobs are gone. We are in a recession! Cheap Gas isn’t good for oil companies

Expect a lot more layoffs soon. Hearing tons on the street. It will recover in time like it always does, but prepare for some rough years ahead

Investors.xerox.com/node/30941/html

Money is getting tight

The job cuts stand out as one of the biggest employment setbacks the city has faced in recent years and come during a challenging economic moment for many residents. As housing, food, and health care costs keep rising, many households were already struggling before the layoffs were announced.

https://www.amarillo.com/story/news/2026/01/20/candidates-warn-tyson-layoffs-will-strain-workers-local-economy/88265084007/

First quarter of 2026

TIAA does this: Quiet cutting is an employer strategy to reduce headcount indirectly by reassigning employees to less desirable, lower-paying, or less critical roles, hoping they quit voluntarily rather than facing direct layoffs, often disguised as "reorganization" or "redeployment" amidst economic uncertainty. It's a response to rising labor costs, creating an alternative to traditional firing. A--holes.

There are hardly any jobs in the job market. Good luck finding a remote role in this economy when you’re competing with thousands of h1b's and h4 ead's.

Hi everyone,
I'm wondering if anyone has heard about potential cost-cutting measures or layoffs affecting contractors at Charles Schwab? With the current economic climate and many companies restructuring, I'm curious if there are any known plans to reduce contractor workforce or cut contractor-related costs. Has anyone heard anything from their teams or managers about this?

Chemours announced that 75 employees at its mining operations in North Central Florida will be laid off in early March, citing the need to remain economically competitive amid changing market conditions.

https://www.wcjb.com/2026/01/10/mining-company-lay-off-75-employees-march/

More layoffs

Will Charlie cater to Trump's wishes and make up for card LOB losses with increased layoffs if this cap went in? Maybe he's angling for the Fed chair job when all the juice has been squeezed out of this gig and be nice way to stand out.

Anybody else panicking knowing what's coming and seeing the job market only get worse and worse?

According to a report by CNBC citing consulting firm Challenger, Gray & Christmas, AI was responsible for nearly 55,000 layoffs in the U.S. in 2025. This comes during a year that had the highest number of layoffs since the 2020 COVID-19 pandemic, with 1.17 million job cuts across the country, the consulting firm also reported.

https://mashable.com/article/ai-linked-50000-job-cuts-2025

It's not by choice, trust me. There are a few good reasons why some of us are still here. The job market is tough right now, so it's not as if it's so easy to leave. Having a job, any job, is a big deal. I also appreciate the health benefits because I can't afford to be without medical coverage for a single day. Expecting that people who're not happy here would just up and leave is incredibly naive and not in touch with reality.

How Trump's 'crony capitalism' has shaken up U.S. business https://www.npr.org/2025/12/22/nx-s1-5639916/trump-crony-capitalism-free-market

Recent layoffs have impacted the workforce, yet Oregon forecasts steady economic growth and a 6% increase in jobs over the next decade.

https://techrights.org/n/2025/12/19/Microsoft_Over_120_Billion_Dollars_in_Debt_Prepares_Next_Round_.shtml

All of the boomers on here will tell you that you are fortunate and should be grateful for the opportunity you have to work for a company, blah...blah. The reality is that none of us matter to any company, and none of us have ever mattered. The entire system is built to keep us indebted to, and dependent on, corporations. I consider myself politically very conservative, and I am not afraid to admit this. America was sold out long ago. We haven't had a true free market economy for at least 50 years or more. Everything that is done now is done to enrich corporations and political leaders. Banks and financial companies are some of the worst exploiters of the American people in existence. As long as we are indebted just to live, we can't ever be truly free.

The U.S. consumer knows that prices for goods, and services; (Increased).

For those that are (not) aware the U.S. Government is (only) funded through January 30th of 2026.

Core CPI Inflation data was (Never) collected in (Total) for October 2025.

November CPI is wrong.

Inflation (Actually) rose.

Unemployment is near the 2008 housing crash level and the year is not even over yet. The Feds have activated the money printer on December 12 in preparation for company bailouts. We have the Great Recession 2.0. Car loadings are low. Trains are running conventional left and right. Post your thoughts 2026 here.