U.S. employers announced the fewest number of job cuts for any October since 2023, while hiring plans picked up as companies began gearing up for the holiday-shopping season.

Companies last month announced 43,994 job cuts, according to data from outplacement firm Challenger, Gray & Christmas Inc. That was down 71% from a year earlier, when companies announced the most reductions for any October in more than two decades.

Employers last month also said that they intend to hire nearly 445,000 workers, up 57% from a year ago and the highest for any October since at least 2009, according to Challenger.

The increase was driven entirely by staffing preparations for the busy holiday-shopping period. Amazon Inc., with plans to hire 300,000 workers, accounted for nearly two-thirds of total planned seasonal hiring. United Parcel Service Inc. also announced it planned to take on 100,000 workers, according to the report.

At the same time, Challenger noted that the timing of seasonal hiring announcements has shifted to October rather than in September. Temporary holiday staffing has also become more concentrated, with only five companies having announced seasonal hiring plans this year compared to 11 in 2025.

“Seasonal employers are staggering their announcements and waiting longer to see how the season shakes out before they commit to numbers,” Andy Challenger, the company’s chief revenue officer, said in a statement. “They are not cutting deeply, but they are not committing to permanent headcount, either. Seasonal roles give companies the capacity they need for the holidays with an end date built in.”

The data on job cuts and hiring plans underscore a labor market with few layoffs but also limited employment opportunities. The government’s October jobs report on Friday is expected to show a 65,000 increase in payrolls and an unemployment rate holding at 4.2%.

The top reason employers used when announcing job cuts last month was market and economic conditions, which has overtaken artificial intelligence as the main reason for workforce reductions this year. Recent employment data shows some employers have remained cautious about expanding headcount amid high costs.

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