Survey Reveals Alarming Trends: Layoffs During the Holiday Season Impacting Employees

Holiday Layoff Trends: A Deep Dive into the Survey Results

In a recent survey conducted by Resume.org, important insights into corporate behavior during the 2025 holiday season have emerged. The survey included a sample of 1,008 U.S. business leaders, shedding light on the troubling reality of impending layoffs. According to the survey's findings, a significant number of companies, approximately 31%, are gearing up to reduce their workforce before the year concludes. Alarmingly, many of these layoffs will occur around major holidays, putting additional pressure on employees already facing a challenging economic environment.

Timing of Layoffs

The survey highlights that major layoffs are most likely to be executed between Thanksgiving and Christmas, with 57% of businesses likely to make cuts during this time. Additionally, 43% of leaders expect layoffs to occur during the week between Christmas and New Year's, while a concerning 32% plan to proceed with workforce reductions before Thanksgiving. A further 16% remained uncertain about the exact timing, but confirmed that layoffs would definitely take place before the start of 2026.

Most notably, a substantial portion of business leaders (34%) admitted that the layoffs could have been postponed, with an additional 40% suggesting that there may have been opportunities to delay these difficult decisions.

Reasons Behind Layoffs

The primary motivation behind these layoffs seems to be cost-cutting measures, as cited by 74% of respondents. In addition, 42% of companies indicated that avoiding bonus payouts was a significant factor in their decision-making. Unused paid time off (PTO) also played a role, with 35% of businesses mentioning it as a reason for the workforce reductions.

AI is significantly influencing decision-making in this context. The survey reveals that 69% of the companies are utilizing artificial intelligence to ascertain which positions to eliminate, and 66% are integrating AI into the layoff processes themselves. This reliance on technology raises ethical concerns which are echoing throughout the business community.

Communication Methods

When it comes to the measurement of how layoffs will be communicated to affected employees, companies are leaning towards more personal formats. Approximately 25% prefer in-person meetings, while 21% opted for customized emails, and 16% plan to conduct virtual meetings for notifications. Despite the personal nature of these meetings, the emotional gravity of being laid off during the holiday season cannot be overstated, as it poses a concerning challenge for affected individuals.

Severance and Support

The survey also delves into the potential severance packages for laid-off employees. A little over half (58%) of the companies indicated that all affected workers would receive some form of severance pay. However, 35% stated that only a portion of the laid-off employees would be provided with severance, while 6% confirmed that they will not offer severance at all. Among those who do provide severance, a substantial number are offering two weeks' worth of pay (34%) or three to four weeks (30%). A silver lining is that approximately two-thirds of businesses are also extending job placement support to help those affected by the layoffs.

Executive Bonuses Despite Layoffs

In an ironic twist, despite the decisions being made to reduce workforce sizes, a striking 82% of business leaders confirmed that executives would still receive bonuses this year. Moreover, 57% also plan to host holiday parties, which further underlines a disparity between the corporate decision-makers and the everyday employees facing job insecurity during one of the year's most festive seasons.

Kara Dennison from Resume.org emphasized the troubling nature of these layoffs during a critical budget-finalizing period in December but acknowledged that the emotional toll on those losing their jobs can be significantly amplified due to the time of year.

Conclusion

The survey underscores a harsh reality for many employees: the holiday season, which is traditionally seen as a time of joy and togetherness, is likely to be overshadowed for countless individuals facing job loss. The interplay of corporate strategy, human impact, and ethical considerations amidst these layoffs during the holiday season paints a troubling picture about where the workforce is heading. As we prepare for the closing of the year, all eyes will be on how businesses navigate these challenges ahead.