The tech industry’s layoff crisis reached a sobering milestone in October, with job cuts surging nearly sixfold from the previous month. Employers across the sector eliminated 33,281 positions in October alone, up dramatically from just 5,639 in September, according to data from executive coaching firm Challenger, Gray & Christmas.
The October figure marks the highest monthly total for tech layoffs since 2003. For the year, tech companies have now slashed 141,159 jobs, exceeding the 120,470 cuts recorded during the same stretch in 2024.
Nationwide, total job eliminations across all industries have climbed to levels unseen since the pandemic devastated the labor market in 2020. Meanwhile, new job creation has slumped to its weakest point in years, compounding the pain for displaced workers.
Andy Challenger, the firm’s workplace expert and chief revenue officer, described the October surge as far above the historical average for that month. He attributed the bloodletting to several converging pressures. Some sectors continue to unwind overhiring from the pandemic era. But the adoption of artificial intelligence, softened consumer and business spending, and mounting operational costs are now forcing companies into aggressive belt-tightening and hiring freezes.
The consequences for workers have grown increasingly dire. Those who lost jobs now face longer searches for new positions, a dynamic that could further weaken the labor market. Many experienced tech professionals have burned through savings while struggling to afford basics like food, gas, and housing. Former recruiters and other seasoned employees have taken retail or catering work to stay afloat.
Older workers and those with strong performance records have found reentry especially brutal. Adding to the frustration, ghost job postings for positions that do not actually exist have made navigating the hiring landscape even more difficult.
The outlook offers little relief. Challenger noted that while interest rate cuts and a strong November performance could theoretically spur late-season hiring, the firm does not expect a robust seasonal employment push in 2025.
