All articles tagged with #us employers
An analysis by JPMorganChase Institute estimates that President Trump's current tariff plans could cost U.S. employers between $82.3 billion and $187.6 billion, potentially leading to higher prices, layoffs, and profit margin reductions, especially affecting retail and wholesale sectors reliant on imports from China, India, and Thailand.
US employers are expected to face the largest increase in healthcare costs in a decade in 2024, with estimates ranging from 5.4% to 8.5%. Factors contributing to this rise include medical inflation, increased demand for expensive weight-loss drugs, and the availability of high-priced gene therapies. However, in a tight labor market, many employers are hesitant to pass on the full cost increase to their employees. Instead, they are exploring cost-cutting measures such as using artificial intelligence to reduce administrative expenses and identifying less expensive hospital networks for certain procedures.
US employers cited AI as the reason for 3,900 of the layoffs in May, according to Challenger, Gray & Christmas. Business closure was the most common reason for layoffs, resulting in 19,600 losing jobs. Economic conditions have prompted the most announced job cuts, cited as the reason for nearly 206,300. The 417,500 layoffs announced this year marked the "highest January-May total since 2020, when 1,414,828 cuts were recorded," Challenger, Gray & Christmas said. However, the World Economic Forum recently found that 50% of companies foresee AI will "create job growth" and 25% think it will "create job losses."