A New Round of Surprising Layoffs Now Hits California

September 10, 2024

A new round of surprising layoffs now hits California as more businesses file WARN notices advising of the upcoming job cuts.

California is bracing for a significant wave of layoffs as multiple companies across diverse industries have recently filed Worker Adjustment and Retraining Notification (WARN) notices.

From biotech firms to technology giants, thousands of employees are poised to lose their jobs in the coming months, particularly in major cities like San Francisco, Irvine, and San Diego.

These WARN notices underscore the ongoing challenges workers face in an increasingly uncertain job market.

It’s important to note that the Worker Adjustment and Retraining Notification (WARN) Act requires employers to provide 60 days’ notice to employees and local government officials before implementing mass layoffs or closing facilities.

This federal law aims to give workers time to seek new employment or explore retraining options.

Recently filed WARN notices with the California Employment Development Department reveal the extent of the upcoming layoffs:

Enervenue: 65 employees to be laid off in Fremont in November.
ChargePoint: 64 employees to be let go in Campbell on November 4.
Edwards Lifesciences: 192 staff in Irvine facing layoffs.
Hogan Personnel: 92 staff in Fontana to be laid off on November 2.
Intel: Additional staff cuts across California.

In September alone, several companies submitted WARN notices, including:

Cisco: 53 employees in San Jose laid off on October 18.
Genentech: 93 staff in San Francisco to be let go on October 8.
Vir Biotechnology: 141 employees in San Francisco facing layoffs.
Ajinomoto Bio-Pharma Services: 127 staff in San Diego to be laid off on September 30.
Illumina: 49 employees in San Diego laid off on October 1.
FibroGen: 127 staff in San Francisco facing layoffs.
Velo3D: 42 employees in Fremont to be laid off.
Mosaic Culver: Staff layoffs in Culver City.
Mama’s Ladera Ranch: Permanent closure leading to job losses in October.
Menzies Aviation: 91 employees in Los Angeles to be laid off on October 31.
AT&T: 20 employees terminated in San Ramon.
Fermented Sciences: 50 staff cuts in Ventura.
Bright Innovations Lab: Facility closure in Santa Clarita resulting in mass layoffs.

As these layoffs unfold, the economic landscape in California continues to shift, reflecting the broader challenges faced by workers in today’s unpredictable job market.

You can search for layoffs in your state here, or follow our layoff news for updates.

Also Read: Cisco Now Profits Billions And Makes Thousands of Unexpected Layoffs

Layoff and Unemployment Report

Market News Today - A New Round of Surprising Layoffs Now Hits California. — Market News Today – A New Round of Surprising Layoffs Now Hits California.

Applications for unemployment benefits now surge to new highs, a sign that the white-hot labor market is starting to cool off.

First-time applications for unemployment benefits rose last week to 231,000, the highest level since August, per CNN.

Thursday’s data also showed that the number of continuing claims, or applications from people who have filed for unemployment for at least one week, was 1.78 million.

That’s an increase of 17,000 from the prior week, according to the Bureau of Labor Statistics.

The latest numbers come less than a week after the monthly jobs report showed the US economy added just 175,000 positions in April, less than economists expected and a steep drop-off from prior months.

US employers have now added an average of 245,500 jobs per month, versus 2023’s 251,000-per-month average.

Still, hiring remains strong.

Although the unemployment rate ticked up to 3.9%, it as seen the 27th consecutive month that the jobless rate has held under 4%, matching a streak last seen in the late 1960s.

Weekly jobless claims data tends to be volatile but, while one week’s worth of data “does not a trend make,” said Chris Rupkey, chief economist at Fwdbonds.

“We can no longer be sure that calm seas lie ahead for the US economy if today’s weekly jobless claims are any indication.”

“Company layoffs are picking up, hinting at caution on the part of companies as they weigh the outlook for the second half of the year,” he wrote in a note Thursday.

The Federal Reserve has been battling inflation by raising its key lending rate in the hopes of slowing the economy.

While the labor market has so far resisted those efforts, remaining white hot for the past 18 months despite 11 rate hikes from the central bank, Fed Chair Jerome Powell said last week that demand has “cooled from its extremely high level of a couple of years ago.”

Ian Shepherdson at Pantheon Economics said in a note earlier this quarter: “We’d need to see at least a month of elevated readings to convince us that the trend really has turned.”

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Also Read: Retirees Will Now Receive More Money For Social Security

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