{"id":57157,"date":"2025-12-13T21:08:19","date_gmt":"2025-12-14T01:08:19","guid":{"rendered":"https:\/\/stockmarketwatch.com\/stock-market-news\/u-s-job-market-faces-significant-headwinds-as-hiring-plans-plummet-major-cuts-announced\/57157\/"},"modified":"2025-12-13T21:08:19","modified_gmt":"2025-12-14T01:08:19","slug":"u-s-job-market-faces-significant-headwinds-as-hiring-plans-plummet-major-cuts-announced","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/u-s-job-market-faces-significant-headwinds-as-hiring-plans-plummet-major-cuts-announced\/57157\/","title":{"rendered":"U.S. Job Market Faces Significant Headwinds as Hiring Plans Plummet, Major Cuts Announced"},"content":{"rendered":"<h2>Key Takeaways<\/h2>\n<ul>\n<li><strong>U.S. employer hiring plans<\/strong> have fallen dramatically to <strong>497,151<\/strong> in the first 11 months of 2025, representing the <em>lowest level in 15 years<\/em> and a <strong>35% decline<\/strong> from the previous year.<\/li>\n<li>The <strong>U.S. Department of Veterans Affairs (VA)<\/strong> is set to eliminate as many as <strong>35,000 healthcare positions<\/strong> this month, predominantly unfilled roles, as part of a broader <strong>10% workforce reduction<\/strong>.<\/li>\n<li><strong>Wells Fargo<\/strong> (<a href=\"\/stock\/WFC\">WFC<\/a>) is cutting <strong>over 100 jobs<\/strong> in the Sacramento area, with its CEO citing <strong>AI-driven &quot;efficiency&quot;<\/strong> as a key factor in the decision.<\/li>\n<li>Overall <strong>job cuts in 2025<\/strong> have surpassed <strong>1.1 million<\/strong>, marking a <strong>54% increase<\/strong> from the same period last year and the highest level since 2020.<\/li>\n<\/ul>\n<p>The U.S. labor market is signaling a significant slowdown, with new data revealing a sharp decline in employer hiring intentions and substantial job cuts across multiple sectors. This downturn is exacerbated by technological advancements like artificial intelligence and strategic reorganizations within large organizations.<\/p>\n<p>U.S. employers announced plans to add only <strong>497,151 jobs<\/strong> in the first 11 months of 2025, marking the weakest total since 2010. This figure represents a steep <strong>35% drop<\/strong> from the <strong>761,954 hires<\/strong> planned during the same period in 2024, indicating a sustained contraction in job creation. This trend puts hiring on track for its <em>fifth consecutive annual decline<\/em>.<\/p>\n<p>Adding to the somber employment outlook, the <strong>U.S. Department of Veterans Affairs<\/strong> plans to eliminate up to <strong>35,000 healthcare positions<\/strong> this month. These cuts primarily target <em>unfilled roles<\/em>, including doctors, nurses, and support staff, and are expected to reduce the VA&#39;s health care workforce to approximately <strong>372,000 employees<\/strong>, a <strong>10% reduction<\/strong> from last year. VA spokesman Pete Kasperowicz confirmed that about <strong>26,400<\/strong> of these positions are &quot;mostly covid-era roles that are no longer necessary.&quot; This follows an earlier reduction of nearly <strong>30,000 employees<\/strong> this year through buyouts and attrition.<\/p>\n<p>In the private sector, <strong>Wells Fargo<\/strong> (<a href=\"\/stock\/WFC\">WFC<\/a>) is also contributing to the wave of layoffs, announcing over <strong>100 job cuts<\/strong> in the Sacramento area. The bank&#39;s CEO attributed these reductions to a drive for &quot;efficiency,&quot; explicitly mentioning the role of <strong>AI<\/strong> in streamlining operations. This move highlights a growing trend where technological advancements are impacting traditional employment structures.<\/p>\n<p>Overall, the year 2025 has seen a dramatic increase in job cuts, with more than <strong>1.1 million positions<\/strong> eliminated through November. This figure is <strong>54% higher<\/strong> than the job cuts announced during the same period in 2024 and represents the highest total since 2020. <em>Artificial intelligence has been cited as a factor in 54,694 of these job reductions<\/em>, underscoring the transformative, and sometimes disruptive, impact of AI on the workforce.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Key Takeaways U.S. employer hiring plans have fallen dramatically to 497,151 in the first 11 months of 2025, representing the 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