States Expecting the Biggest Layoffs in June

Newsweek

2 days ago

Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources.
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Roughly 138 employers plan to lay off thousands of workers in June, some states seeing more workforce reductions than others.
Why It Matters
Trepidation toward the U.S. economy, due in part to tariffs heavily enforced by the Trump administration on China and industries like aluminum and steel, has caused some American businesses of varying size and valuation to consider future expenses and consumer sentiment.
What To Know
California has had the highest number of layoffs scheduled for this year, totaling 29,400 as of June 3, according to Worker Adjustment and Retraining Notification Act (WARN) notices that show which companies around the country plan to lay off employees and how many are estimated to lose their jobs.
Following The Golden State in terms of layoffs for 2025 so far are the following states: Texas (10,065), Florida (9,843), Georgia (8,520), Maryland (7,580), Illinois (7,110) and New Jersey (6,787).
The following is a list of states where companies have provided notices to lay off workers throughout June. The list includes approximate layoff ranges, using the higher end of estimates—for example, in a range of 51 to 100 layoffs, the number 100 is used.
Alabama—100
California—13,290
Colorado—300
Connecticut—20
Florida—3,630
Georgia—4,140
Idaho—250
Indiana—1,300
Iowa—4,150
Louisiana—100
Maryland—3,700
New Jersey—950
New York—8,330
Ohio—1,920
Oregon—1,150
Tennessee—2,100
Texas—1,670
Washington—1,700
Wisconsin—560
Harry Holzer, a public policy professor at Georgetown and senior fellow at the Brookings Institution, told Newsweek on Tuesday that the layoffs that have occurred and remain planned reflect a growing cloudiness of where the economy is heading.
"There's enormous uncertainty," Holzer said. "And when businesses face uncertainty, they are reluctant to invest in their plants or equipment, and they are reluctant to hire new workers. So, the first impact will be on new hiring rather than layoffs.
"And if they're convinced that there's a downturn, then you might see layoffs following. Yeah. Every company owner and company manager's going to have to look at what they see in the labor market. If it's only uncertainty right now, it's unlikely that they'll lay off people a lot until they see drops in sales or things like that."
Another indication is new job numbers slated to be released this Friday by the Bureau of Labor Statistics, he said, mentioning recent, smaller declines in federal workers and scientific professionals likely related to the loss of government contracts and grants.
There was also a small decline in retail employment, which Holzer said could potentially be a byproduct of a dip in consumer confidence.
Even with the pandemic and the economic turmoil of that time, he said the U.S. economy has bounced back strong and continued that way into 2025. Tariffs have thrown a wrench into broader expectations; companies aren't quite sure how to fully respond.
"The last couple of months in very specific sectors, you saw these slowdowns in hiring, or even a little bit of job loss," he said. "But you didn't see widespread slowdowns in hiring. You really didn't see widespread job loss.
"The question now: is that going to change because of all of this uncertainty? Tariffs, even though they've been scaled way back, the tariffs will raise the prices of goods and services, and that means people will be buying fewer of them. ... We just don't know how big those factors are going to be. I think we know the direction; I think we know employment growth will decline and unemployment may rise."
What People Are Saying
John Tamny, founder and president of the Parkview Institute, told Newsweek: "Layoffs are a brutally painful, but also a very healthy aspect of a growing economy. The alternative is much, much worse, whereby extraordinary talent is suffocated. Some people are quite simply in the wrong job, which is why layoffs in the millions are an annual reality—in which case layoffs can't be said to be an exact effect of tariffs. They happen no matter what.
"Just the same, when we make it more difficult for producers in foreign countries to sell to us, by definition it's more difficult for them to buy from us. To export is to import and vice versa. In that case, tariffs will lead to layoffs. China is a huge market, and reduced sales there and around the world due to tariffs will harm U.S. earnings, followed by job loss."
What Happens Next
President Donald Trump signed an executive order on Tuesday doubling tariffs on imported steel and aluminum to 50 percent, effective June 4.
It aims to protect U.S. national security by curbing what the administration describes as a threat from excessively low-priced metal imports that undermine domestic industries.