U.S. July Planned Job Cuts Rise To 103,312, Up 141% From Year Ago

August 4, 2008 11:53 a.m. EST

Washington, D.C. (AHN) - U.S. companies have increased the rate of laying off workers as the economy continues to slowdown amid slumping housing market, a report said.

An outplacement firm, Challenger Gray & Christmas, on Monday released a survey showing job cuts announced by U.S. employers soared in July.

The number of workers fired from jobs increased to 103,312 last month, which is a 33 percent rise in corporate announcements of layoffs this year.

The total number is up 26 percent from June and 141 percent from 42,897 in July 2007, according to the report by the Chicago-based private placement firm.

Over the period of seven months, corporations have announced the elimination of 579,260 jobs.

The firing announcements were led by airline industry by 17,051 layoffs, financial services sector 15,517 jobs and and retail stores, which announced 12,160 cuts in July.

"We have seen job cuts increase in the majority of industries that we track, indicating that the downturn, which has spread throughout much of the economy,which was isolated to the housing and financial sectors just a few months ago, has spread throughout much of the economy." John Challenger, chief executive of Challenger, Gray & Christmas, said in a statement.

The financial firms, which has suffered the most in the U.S. subprime contagion, have said they will eliminate 100,775 jobs this year.