New York:The US labor market has shown resilience with an increase in nonfarm payrolls and a decrease in the unemployment rate, despite ongoing large-scale layoffs in several sectors. In October, nonfarm payrolls increased by 165,000, surpassing expectations, and the unemployment rate slightly decreased to 4.1%.

According to Anadolu Agency – English, private-sector employment saw a rise of 86,000 in October, and job openings increased by 333,000 to 7.5 million in September, as per JOLTS data. Nationally, layoffs and resignations decreased in September to their lowest since March 2025.

However, consumer sentiment has diminished due to fears of rising unemployment and job insecurity, despite the positive macroeconomic indicators. Expectations for a higher unemployment rate next year have risen to 45.3%, the highest since April 2020, with job-finding expectations also increasing.

The technology sector, among others, is experiencing significant layoffs as companies push for automation and efficiency led by artificial intelligence. Amazon and Meta are among the tech giants reducing their workforce, with Amazon cutting 16,000 jobs globally and Meta eliminating 8,000 roles while reassigning others to AI-focused positions. Microsoft and Uber have also announced workforce reductions.

Similar trends are evident in fintech and crypto sectors, with companies like Visa and Coinbase implementing layoffs. Meanwhile, outside the tech industry, companies such as American Express, Kroger, and PepsiCo are also reducing their workforce. Boeing, Nike, and Dow Inc. have announced job cuts as part of their restructuring and automation efforts.

Legacy and media companies are not immune, as Netflix and Walt Disney are trimming their headcounts to reduce costs and focus on AI. Omnicom Group, following a recent acquisition, is also implementing significant layoffs.