Copyright Augusta Free Press
Donald Trump’s lack of business acumen is making America far from great, as job cuts this year have reached nearly 1.1 million, the most since 2020. Five years ago, unemployment was up for good reason –COVID-19 restrictions forced many companies to temporarily close their doors. Fast forward to 2025: there’s no pandemic; no stay-at-home orders. What could possibly be worse than COVID on the economy? Turns out, it may be Donald Trump. It appears that many of the job cuts are directly tied to actions of DOGE and Elon Musk, who Trump empowered to gut federal agencies at lightning fast speed. Thousands of jobs were eliminated; the ripple effect meant that contractors and private and nonprofit entities were also forced to make cuts to make up for the loss of contracts and/or funding. With the government shutdown, the Bureau of Labor Statistics did not release it October report, but experts said it would have shown a decline of 60,000 jobs with the unemployment rate at 4.5 percent. Report: Fourth quarter off to a rocky start An outplacement company that helps people find new jobs released its report for last month, and folks, it’s not good. The report from Challenger, Gray & Christmas not only highlighted the one million plus job losses this year, but it also showed the fourth quarter is off to a rocky start. The job cuts in October were the worst in more than 20 years in the US. Historically, companies avoided layoffs and job cuts around the holidays because social media backlash was worse, and the practice was seen as “cruel,” according to CG&C. Apparently, that practice has been thrown out the window under Trump. Most experts agree that the president’s policies aren’t helping, and a growing number of companies have announced they are also planning for substantial job cuts. The president’s tariffs on goods have also caused retailers and pretty much every business to face new cost pressures. ICYMI The dismal Trump economy | Another bad jobs report for POTUS Trump claims data in July jobs report manipulated, fires BLS Commissioner Yale’s Chief Leadership Institute recently hosted a number of top CEOS, many Republicans, who had a nearly unanimous verdict – when it comes to the bottom line, Trump’s policies aren’t working. Two-thirds of the CEOS said tariffs have been harmful to their businesses. Some of the hardest hit sectors include: the media and news outlets, non-profits, warehousing, retailers and technology. Other reasons for operating a leaner business include the potential for a recession, economic and policy uncertainty and high interest rates. All of that data boils down to a simple conclusion: if you lose your job today, good luck finding another one in this downsizing environment. How AI is impacting US workforce numbers Another issue contributing to job loss in the US is the integration of Artificial Intelligence, or AI, replacing people with technology, automation and robots. Major US companies including Amazon, UPS and Target have announced job cuts in recent weeks. Combined, the trio accounts for more than 60,000 jobs eliminated in 2025. Federal Reserve Chair Jerome Powell is seeing hiring flatline or worse, but at the same time, the companies, he said, are exploring how AI can fill in the gaps. The industries most likely to integrate AI and eliminate white-collar jobs include wholesale and retail trade, finance and insurance, educational services and real estate, rental and leasing. “You see a significant number of companies either announcing that they are not going to be doing much hiring, or actually doing layoffs, and much of the time, they’re talking about AI,” Powell said in an article in USA Today. “We don’t really see it in the initial claims data yet. Now, it’s not a surprise that we don’t. It takes some time for it to get in there.” The Trump administration has made a big push to put the US at the top of the AI game. In July, the White House released the 28-page “Winning the Race: America’s AI Action Plan.” The document laid out plans to dominate AI through deregulation, eliminating so-called red tape, to accelerate AI innovation and infrastructure. “Breakthroughs in these fields have the potential to reshape the global balance of power, spark entirely new industries and revolutionize the way we live and work,” Trump said in the document. U.S. Sens. Mark Warner (D-VA) and Josh Hawley (R-MO) recently introduced legislation that if passed, would require major companies to report AI related layoffs to the Department of Labor. “Artificial intelligence is already replacing American workers,” said Hawley. “The American people need to have an accurate understanding of how AI is affecting our workforce, so we can ensure that AI works for the people, not the other way around.” Experts are projecting that AI alone could drive unemployment up 10 to 20 percent in the next five years. “Good policy starts with good data. This bipartisan legislation will finally give us a clear picture of AI’s impact on the workforce – what jobs are being eliminated, which workers are being retrained, and where new opportunities are emerging,” said Warner. “Armed with this information, we can make sure AI drives opportunity instead of leaving workers behind.”
