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Tech layoff survivor faces prolonged job hunt
A 42-year-old Texas resident who lost his project-management role in the tech sector has submitted over 2,000 applications since last year, yet remains unemployed. Jacob Trigg, who previously found work quickly, now relies on gigs in package delivery and landscaping to cover expenses.
"It's a huge surprise because I've always been able to get a job very easily. It wasn't even on my radar to be prepared for more than six months of unemployment."
Jacob Trigg, unemployed project manager
National hiring slump puzzles economists
The U.S. labor market added an average of only 15,000 jobs per month in 2025, a sharp decline from historic norms. Despite this slowdown, layoffs remain rare outside high-profile cuts at companies like Amazon and UPS, and the unemployment rate has held steady at around 4.3%. The economy continues to expand at a robust 4.4% annual pace, creating a contradictory landscape.
"It's actually very hard to point to another moment in the last 25 years where you have the combination we see today."
Jed Kolko, senior fellow at the Peterson Institute for International Economics
AI and outsourcing fuel jobless growth fears
A widely cited Goldman Sachs report from October warned that the U.S. might be entering an era of "jobless growth," driven by advancements in artificial intelligence and technology. These tools allow companies to operate with fewer employees, while also making outsourcing easier. Discussions at the World Economic Forum in Davos last month highlighted concerns about the long-term implications of this shift.
Economics professor Constantin Burgi of University College Dublin noted that such decoupling of job growth and economic expansion often occurs during structural transitions. While he believes the current situation may be temporary, he cautioned it could last years if jobs lost to AI or outsourcing are not replaced.
Job seekers describe demoralizing search
For those actively searching, the experience has been disheartening. James Richardson, a 33-year-old from Pittsburgh, has applied to over 1,200 positions since losing his information security analyst role in October. He described receiving rejections within minutes, feeling as though his applications are ignored.
"It feels like there is no one on the other side even bothering to take a look at your experiences and credentials."
James Richardson, unemployed information security analyst
Amy Beson, laid off from the University of Arizona in April, echoed these frustrations. Funding cuts have reduced opportunities in academia, and competition from other unemployed professionals has intensified. Even expanding her search to healthcare, a traditionally resilient sector, has yielded no results.
"It definitely is the most desperate I've ever felt. I do worry that this is the new normal."
Amy Beson, former university employee
Experts debate causes and duration of slowdown
The reasons behind the hiring slump remain unclear. While AI-driven job losses have been concentrated in specific sectors, many tech firms still employ excess workers hired during the pandemic. Immigration restrictions under the Trump administration have also slowed population growth, reducing both labor supply and demand.
Laura Ullrich, director of economic research at Indeed, attributed part of the slowdown to uncertainty from government spending cuts and tariffs. She expects hiring to rebound if the economy stays strong but warned that the current low-hire environment cannot persist indefinitely.
"I would definitely not call it a new normal, because I don't think it's normal. I don't think you can sustain the kind of labor market that we're in over the long term."
Laura Ullrich, director of economic research at Indeed
January's stronger-than-expected job gains offered a glimmer of hope, but economists caution that risks remain. A market correction, transformative AI advancements, or sustained low immigration could further reshape the labor landscape.
