Housing Industry Accounts for Third of September Layoffs

October 3, 2007 No Comments »

According to a new report by consulting firm Challenger, Gray & Christmas Inc., roughly 37 percent of job cuts in September were related to the slowdown in the housing industry.

In September, 26,465 housing-related layoffs took place, a significant chunk of the 71,739 total layoffs.

Interestingly, despite the large number of housing-industry layoffs, the total number of job cuts was down 28.5 percent from year-ago levels.

For the first nine months of 2007 ending September, roughly 17 percent of job cuts were a direct result of the housing bust, compared to only 2 percent a year earlier.

According to the firm’s data, mortgage lenders have accounted for roughly 70,000 job losses during this nine-month period, with about 52,000 coming over the last two months.

During September, a large number of companies announced layoffs, including Credit Suisse, Countrywide, Decision One, Impac Lending, E-Trade, Franklin Financial, First Horizon, Option One, Washington Mutual, National City, and more.

Layoffs in August were substantial as well, with 35,752 financial job cuts, the highest monthly total since the firm began tracking such data in 1993.

The housing industry includes mortgage banks and lenders, real estate firms, home construction companies, and other related companies.

Check out the latest mortgage layoffs, closures and mergers.

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