Private enterprises in the United States cut over 10,000 jobs in July due to a significant acceleration in AI-related restructuring, according to a report released by outplacement firm Challenger, Gray and Christmas on Thursday.
The report shows that as of July, U.S. companies have announced over 806,000 private-sector job cuts this year, setting a new record for the same period since 2020.
Among them, the technology industry has become the "hardest-hit area", with over 89,000 jobs cut, up 36 percent year on year. Enterprises generally attribute layoffs to tariff pressure and the development of AI.
The report indicates that since 2023, over 27,000 jobs have been directly replaced due to the rise of AI, and that the emerging technology has become one of the five main causes of job loss this year.
In other sectors, an array of factors has been placing downward pressure on employment.
So far in 2025, government entities have announced over 292,000 job cuts due to reductions at the federal level.
Meanwhile, the retail industry is accelerating layoffs under the pressure of tariffs. As of July, retailers announced cuts of over 80,000 jobs, up nearly 250 percent year on year. The report warns that if consumer spending remains weak, the wave of store closures may further exacerbate the risk of unemployment.
US cuts over 10,000 jobs in July due to AI: report
US cuts over 10,000 jobs in July due to AI: report
US cuts over 10,000 jobs in July due to AI: report
