Layoff wave spreads across US: Starbucks, FedEx, Frito-Lay, Microsoft may axe jobs in July - here's what's going wrong
Companies are required to submit WARN (Worker Adjustment and Retraining Notification) notices before executing such large-scale reductions. While some companies are restructuring for profitability, others cite Donald Trump's tariff moves, inflation and weaker consumer demand as driving factors.
A
mong the highest-profile cuts, Microsoft is expected to lay off between 1,000 and 2,500 workers this month.
Here's the full list of employers grouped by sector:
Technology, Software & Digital Services
Microsoft
Amazon
10x Genomics
Technology Partner
Remote Workers
RTX
Eikon Therapeutics
Retail, Food & Beverage
Foot Locker
Starbucks
Panera
Frito-Lay
Kroger (closing 60 stores)
The Fresh Market
Tom Thumb Store
GTM Discount General Store
Lamps Plus
Museum of Ice Cream
End of Sandwich Tavern Restaurant
Healthcare & Pharmaceuticals
CVS
Genentech
Allergan Aesthetics
MedStar Mobile Healthcare
Virginia Mason Franciscan Health Virtual Services
Crothall Healthcare
Morrison Healthcare
Eagle Healthcare
American Contract Systems
Main Street Manor
Waste Harmonics Keter
Delivery, Logistics & Airlines
UPS
FedEx
GEODIS
Menzies Aviation
NFI Industries
Saddle Creek Corporation
Manufacturing & Industrial
Chevron
Berry Global
INOAC Exterior Systems
Mortech Manufacturing Company
Barrette Outdoor Living
Silgan Containers Manufacturing Corporation
Coronado Stone Products
Revlon Consumer Products
Advanced Pressure Technology
Globe Motors
Cornerstone Chemical Company
U-Line Corporation
Collins Aerospace
Air Distribution Technologies
Anthony International
Atco Rubber Products
Kraton
L.A. Turbine
Spreckels Sugar Company
Education & Research
Unitek Learning Education Group
American Institutes of Research
College Success Foundation
Financial Services & Staffing
Atria Wealth Solutions
PMAB-5
Summit BHC New Jersey
Tend Exchange Subsidiary / Delaware Tender Staffing
Navitor
Wells Fargo
Mulligan Security
Consumer Goods & Apparel
S&S Activewear
LaCroix
Colosseum Athletics
Primo Brands
Telecom & Utilities
United States Cellular Corporation
First Student
Agriculture, Chemicals & BioTech
Corteva
Pivot Bio
Lewis Tree Service
F&S Produce West
Other Enterprises
Surfair Mobility
Vigor Alaska
Dufry by Avolta
GroundGame Health
Island Peer Review Org
Truvant North America
Powin
All-Rite Leasing
Jai's
Six Flags Entertainment Corporation
Lakeshore Learning Materials
While retail sales remain largely stable, executives and analysts warn of growing consumer caution. According to the ET report, Mark Mathews, research director at the National Retail Federation (NRF), said: 'We're seeing an uptick in higher-income consumers shopping at discount and off-price retailers. This kind of trading down is a signal of distress beneath the surface.'
Ben Johnston, COO of small business lender Kapitus, said many businesses are now taking a wait-and-see approach, avoiding growth investments due to uncertainties around tariffs and demand.
At Kroger, interim CEO Ronald Sargent said the 60-store closure plan is aimed at improving profitability while continuing to open new stores in high-growth regions. Walgreens is also executing a 1,200-store closure strategy, with 500 stores shutting in FY25.
Together, the WARN notices, cautious borrowing, and softening demand suggest the US economy may be entering a more vulnerable labour phase, driven by a mix of regulatory pressure, political uncertainty, and shifting consumer confidence.
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