Even though 2018 was in many respects a a strong year for the economy, job cuts were up 28% compared to 2017.
Of the companies that announced layoffs of 2,000 people or more in 2018, seven of them were retailers, as the historic shift to online commerce from brick and mortar stores takes its toll on the retail sector.
24/7 Wall St. used data provided by executive outplacement firm Challenger, Gray and Christmas, company announcements, and media sources to compile the largest announced layoffs in 2018.
Some economists would call the actions of some of these companies examples of creative destruction, where certain industries and companies that are no longer profitable close down, and capital is redirected toward more productive uses. It might be a necessary process, but it is still painful.
Click here to see the companies with the most layoffs in 2018
Click here to see our detailed findings
Source: Mario Tama / Getty Images
20. Pfizer Inc.
> Announced layoffs: 1,800
> Date: Oct. 18, 2018
> Location: New York, New York
> Industry: Pharmaceutical
> Reason: Voluntary severance
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Source: Neilson Barnard / Getty Images
19. Qurate Retail Inc. (QVC) over 2 years
> Announced layoffs: 2,000
> Date: Oct. 15, 2018
> Location: West Chester, Pennsylvania
> Industry: Retail
> Reason: Closing
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Source: Bill Pugliano / Getty Images
18. Ford Motor Company
> Announced layoffs: 2,000
> Date: March 1, 2018
> Location: Wayne, Michigan
> Industry: Automotive
> Reason: Cost-cutting
Source: Justin Sullivan / Getty Images
17. Broadcom Inc. (CA Inc.)
> Announced layoffs: 2,000
> Date: Nov. 17, 2018
> Location: San Jose, California
> Industry: Computer
> Reason: Acquisition/merger
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Source: David McNew / Getty Images
16. Mattel
> Announced layoffs: 2,200
> Date: July 26, 2018
> Location: El Segundo, California
> Industry: Consumer products
> Reason: Contract loss
Source: jeepersmedia / Flickr
15. Bon Ton Stores
> Announced layoffs: 2,255
> Date: April 1, 2018
> Location: Brookfield, Wisconsin
> Industry: Retail
> Reason: Closing
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Source: Spencer Platt / Getty Images
14. Verizon Wireless
> Announced layoffs: 2,500
> Date: Oct. 5, 2018
> Location: New York, New York
> Industry: Telecommunications
> Reason: Outsourcing
Source: Justin Sullivan / Getty Images
13. Procter & Gamble
> Announced layoffs: 2,700
> Date: Aug. 9, 2018
> Location: Cincinnati, Ohio
> Industry: Consumer products
> Reason: Restructuring
Source: Justin Sullivan / Getty Images
12. Farm Fresh
> Announced layoffs: 3,138
> Date: March 15, 2018
> Location: Virginia Beach, Virginia
> Industry: Retail
> Reason: Closing
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Source: Justin Sullivan / Getty Images
11. Tesla
> Announced layoffs: 4,000
> Date: June 3, 2018
> Location: Palo Alto, California
> Industry: Automotive
> Reason: Restructuring
Source: Mr. Granger / Wikimedia Commons
10. Orchard Supply Hardware
> Announced layoffs: 4,000
> Date: Aug. 22, 2018
> Location: San Jose, California
> Industry: Retail
> Reason: Closing
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Source: Courtesy of Meredith Corporation via Facebook
9. Meredith Corp.
> Announced layoffs: 4,500
> Date: Oct. 3, 2018
> Location: Des Moines, Iowa
> Industry: Media
> Reason: Acquisition/merger
Source: Scott Olson / Getty Images
8. Macy’s
> Announced layoffs: 5,000
> Date: Jan. 4, 2018
> Location: Cincinnati, Ohio
> Industry: Retail
> Reason: Closing
Source: Jeff T. Green / Getty Images
7. Kimberly Clark
> Announced layoffs: 5,000-5,500
> Date: Jan. 22, 2018
> Location: Irving, Texas
> Industry: Consumer products
> Reason: Cost-cutting
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Source: Herzi Pinki / Wikimedia Commons
6. Johnson Controls
> Announced layoffs: 9,200
> Date: Aug. 8, 2018
> Location: Milwaukee, Wisconsin
> Industry: Industrial goods
> Reason: Restructuring
Source: Tim Boyle / Getty Images
5. Sears/Kmart
> Announced layoffs: 9,247
> Date: 2018
> Location: Nationwide, N/A
> Industry: Retail
> Reason: Closing
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Source: Bill Pugliano / Getty Images
4. General Motors
> Announced layoffs: 14,000
> Date: Nov. 26, 2018
> Location: Detroit, Michigan
> Industry: Automotive
> Reason: Cost-cutting
Source: Justin Sullivan / Getty Images
3. Wells Fargo (over 3 years)
> Announced layoffs: 26,500
> Date: Sept. 25, 2018
> Location: San Francisco, California
> Industry: Financial
> Reason: Restructuring
Source: Tim Boyle / Getty Images
2. Toys “R” Us
> Announced layoffs: 31,000
> Date: March 15, 2018
> Location: Wayne, New Jersey
> Industry: Retail
> Reason: Bankruptcy
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Source: jeepersmedia / Flickr
1. Verizon Wireless
> Announced layoffs: 44,000
> Date: Oct. 3, 2018
> Location: New York, New York
> Industry: Telecommunications
> Reason: Voluntary severance
Detailed Findings
The biggest retail casualty in 2018 was Toys “R” Us, the nation’s largest toys-only retailer, which idled 31,000 workers after it declared bankruptcy in March. Toys “R” Us has shuttered about 800 stores, more than any other U.S. retailer. Related to the demise of Toys “R” Us were the layoffs at toy maker Mattel, which idled 2,200 in July.
Toys “R” Us was joined in bankruptcy in 2018 by department store chain Bon Ton Stores, which announced it was closing all 262 stores in February. Sears Holdings, one of America’s retailing icons, also declared bankruptcy and faced a deadline of 4 p.m. on Dec. 28 for someone to buy the owner of Sears and Kmart stores out of bankruptcy.
Other sectors felt the sting of layoffs. Cost-cutting measures at automakers General Motors and Ford resulted in about 16,000 layoffs, while electric-car pacesetter Tesla laid off 4,000 people in a restructuring initiative. The car industry is facing economic headwinds because of the Trump administration’s tariffs on steel and rising interest rates that might hurt sales. Consumer goods companies Procter & Gamble and Kimberly Clark also idled thousands of workers.
The largest single announcement was by telecom giant Verizon, which said in October it was offering voluntary severance to 44,000 employees and outsourcing another 2,500 jobs to India. Verizon is looking to slash $10 billion in costs by 2021 as it shifts investment to its next generation 5G network, which the company is counting on to fuel growth.
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