U.S. job cuts surge as companies tighten belts and hold on to CEOs

U.S. companies are entering a new stage of workforce turmoil – massive layoffs in the technology and logistics sectors have coincided with a slowdown in CEO turnover – firms are holding on to their leaders while cutting staff, seeking to adapt to automation, rising costs, and growing economic uncertainty.

American companies announced 153,000 job cuts in October – nearly three times more than a year earlier, according to data from Challenger, Gray & Christmas. It was the highest October total since 2003. The largest reductions came from the technology and warehousing sectors, where companies are rapidly expanding the use of artificial intelligence and automation.

At the same time, CEO turnover has noticeably slowed. 146 chief executives left their positions in September – down 27% year-on-year – marking the fourth consecutive month of decline. Analysts say this suggests companies are prioritizing leadership stability amid growing risks and a slowing economy.

Despite the overall slowdown in executive reshuffling, female CEOs are leaving their posts at higher rates than men – women accounted for 23% of departing CEOs, while only 24% of new appointments were women – the lowest rate since 2020. The trend mirrors a broader exit of women from the U.S. workforce – since January, roughly 450,000 women have left the labor market, many citing burnout and rising childcare costs.

Analysts describe this as a period of “managed cooling” for corporate America – companies are cutting costs and headcount but keeping seasoned leaders to navigate the transition toward AI, weaker consumer demand, and new tariffs. Still, the growing number of younger CEOs stepping down – many hired to lead digital transformations – suggests that the next wave of executive reshuffling may be only beginning.