Though the U.S. labour market remains strong, layoffs have been mounting in the technology sector, where many companies overhired after a pandemic boom
. IBM, Microsoft, Amazon, Salesforce, Facebook parent Meta, Twitter and DoorDash have all announced layoffs in recent months.
The real estate sector has also been battered by the Fed’s interest rate hikes. Higher mortgage rates – currently above 6 per cent – have slowed home sales for 12 straight months. That’s almost in lockstep with the Fed’s rate hikes that began last March. About 1.66 million people were receiving jobless aid the week that ended Feb. 18, a decrease of 5,000 from the week before.
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