These are the 3 signs your company is about to make layoffs: career experts


With Amazon, UPS, Target, and Skydance Paramount all announcing layoffs this week, many workers are worried their companies will be next to make cuts.

But experts say there are three signs that a round of redundancies is on the horizon — so take note to avoid being blindsided.

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“Companies are seeing their ability to be more efficient and use less staff with AI, and so they’re taking the opportunity right now to reduce staff,” Jason Walker, co-founder of Thrive HR Consulting, told CNBC.


A desperate office worker sitting on the street after losing her job.
“Companies are seeing their ability to be more efficient and use less staff with AI, and so they’re taking the opportunity right now to reduce staff,” Jason Walker, co-founder of Thrive HR Consulting, told CNBC. Kaspars Grinvalds – stock.adobe.com

The first sign is “a slowdown in hiring,” recruiter Jalonni Weaver revealed to the website.

If new roles don’t get posted, or vacant roles aren’t filled quickly, “it’s never a good sign that you’re doing well financially.”

Meanwhile, a change in corporate messaging is the second sign that the company could be looking to let some staffers go.

“There’s a lot of language that starts to [plant] the seeds and set the foundation for what is coming,” consultant Rosie Nestingen told CNBC.

Rey Ramirez of Thrive HR Consulting agrees.

He advises employees to look out for phrases such as “we need to be more efficient” as a potential sign that the business could boot people in the near future.


A person signing a resignation letter in front of another person and a box of personal belongings.
A change in corporate messaging is the second sign that the company could be looking to make cuts. mojo_cp – stock.adobe.com

Thirdly, a reduction in some workers’ hours is another indication that layoffs are looming.

“Employees can’t afford to live on 30 or 40 or 50% less pay, so that almost by design starts to push people out of the organization,” Ramirez explained, labelling a reduction in hours as effectively “quiet firing.”

Other tactics, such as “return to office” mandates, are also deliberately designed to reduce headcount without the company needing to announce official layoffs.

Still, it paints a picture of a company that could be mulling cuts in the near future.

Amid a sluggish economy and anxiety about AI, Weaver advises all workers to keep their resumes up to date, just in case.

Even if you aren’t planning on jumping jobs, the recruiter recommends applying to other roles on occasion in order to make sure your CV and skills at interviews remain “competitive.”


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