Layoff announcements soared in March and the first quarter of the year as employers dealt with higher borrowing costs ཧand moved to reduce exp🔯enses according to outplacement and executive and business coaching firm Challenger, Gray & Christmas.

The firm’s survey found employers cut 89,703 jobs last month, a 15% increase from February and a rise of 319% compared to last March. So far every month this year, the number of layoff notices were more than the year before. In the quarter, the announcements skyrocketed 396% from the first three months of 2022 to 270,416. That was the highest first quarter total since 2020, when the COVID-19 pandemic was beginning.

Technology workers have been the hardest hit, with the tech sector a🔯ccounting for 38% of all layoffs this year. So far in 2023, tech firms have said they would eliminate 102,391 positions, a whopping 38,487% jump from last year. 

More Layoffs Ahead

Companies are "approaching 2023 with caution," even though the economy is still creating jobs, noted Challenger, Gray & Christmas Senior Vice President Andrew Challenger. He warned that with interest rate hikes continuing and companies reigning in costs, "the large-scale layoffs we are seeing will likely continue."