Indicators · Jobs

Permanent job losses

Normal

25.3% of the unemployed in Aug 2026, down 0.8 points on a year earlier.

Change over twelve months in the share of the unemployed who lost their job for good, percentage points
Share of the unemployed who lost their job for good, %

US recessions Periods when this signal was on

What it measures

People who lost their job for good, as a share of all unemployed Americans.

Why it matters

Temporary layoffs come back when demand returns; permanent losses do not. When firms automate the jobs they cut in a downturn instead of rehiring, this share rises. It rose about 15 points in 2008–10 and fell in 2020, when most layoffs were temporary.

When it triggers

Triggers when the share is 5 points or more higher than a year earlier.

Past triggers

Replaying the rule on the data from Jan 1990, it triggered in May 2001, Oct 2008, Sep 2020.

Source: US Bureau of Labor Statistics via FRED.