The Biggest US Company Layoffs of 2020

Updated: Dec 17, 2023By Kate PrinceBusiness

This article originally appeared on Investing.com. It has been republished here with permission.

Airbnb @Chesnot / Contributor (Getty Images)

2020 is fast becoming a year of unprecedented change throughout the world. Millions of people are being forced out of their jobs as companies scramble to recoup losses sustained due to the COVID-19 pandemic. CEO’s are forgoing salaries for a year, while those on the ground have lost their livelihoods for good.

Huge businesses that have been around for hundreds of years are suddenly filing for bankruptcy, on top of making hundreds of people redundant. It’s a terrible time for the economy, with multi-billion-dollar companies holding on for dear life. So, who has taken the hardest hit?

1. Boeing

Number of Layoffs: 6,770
Remaining Workforce: 136,230
Current Company Value: $115 billion*

Boeing has been one of the leading companies in the sale of aircraft for years, ever since it was first established in 1917. It’s the second largest defence contractor in the world, but even its sheer size couldn’t save the company from being forced into unprecedented layoffs.

Boeing @dgorun / Twitter.com

On May 27, the company announced that 6,770 workers would be laid off, leaving 136,230 employees remaining. Boeing first announced plans to make redundancies on April 29, stating around 10% of their 143,000-strong workforce would have to join the unemployment line.

2. Bed, Bath & Beyond

Number of Layoffs: 500
Remaining Workforce: 55,500
Current Company Value: $1 billion*

When new CEOs join a company, they often shake things up in a bid to save money and move the business forward. This can often spell major restructuring and redundancies. Mark Tritton announced his plans to re-jig Bed, Bath & Beyond in February of 2020.

Bed, Bath & Beyond @BedBathAndBeyond / Facebook.com

Of the 500 people that lost their jobs, around 350 were let go from the head office in Union, New Jersey. Another 120 were impacted across the stores nationwide. This wasn’t Tritton’s first big move, either. The former Target exec virtually illuminated all C-level management jobs back in 2019.

3. Best Buy

Number of Layoffs: 51,000
Remaining Workforce: 74,000
Current Company Value: $21 billion*

It’s no secret that retailers have taken a massive hit due to the coronavirus pandemic. Best Buy took one of the worst financial hits of all. CEO Corie Barry took a 50% pay cut to get through the tough times, but that still didn’t stop 51,000 people being placed on “temporary leave.” Executives also took a 20% cut.

Best Buy ©a katz / Shutterstock.com

Barry has warned that the situation remains very grey, will much uncertainty still remaining as the true nature of the pandemic reveals itself. That being said, it’s highly likely that a large number of these positions will be permanently axed in the months to come.

4. Under Armour

Number of Layoffs: 6,700
Remaining Workforce: 9,100
Current Company Value: $4 billion*

Like many other brands at this time, sportswear retailer Under Armour hasn’t come out of the pandemic unscathed. In April, the company announced plans to put 6,700 employees on temporary leave in an attempt to “wait out” the worst of COVID-19.

Under Armour ©AuKirk / Shutterstock.com

“In these unprecedented and challenging times, the majority of stores where Under Armour is available remain closed, contributing to a significant decline in revenue,” said Under Armour CEO Patrik Frisk. “This unanticipated shock to our business has been acute, forcing us to make difficult decisions to ensure that Under Armour is positioned to participate in the eventual recovery of demand.”

5. Hertz

Number of Layoffs: 10,000
Remaining Workforce: 28,000
Current Company Value: $21 billion*

The Hertz Corporation has been trading since 1918, meaning the company no stranger to tough times. Having said that, the company had a 38,000-strong workforce at the start of the year, but has since had to lay off upward of 10,000 people in 2020.

Hertz @roymorton20 / Twitter.com

The car rental specialist recently filed for bankruptcy on May 22, as bookings and revenues continued to shrink amidst the pandemic. According to The Wall Street Journal, Hertz is around $19 billion in debt with over 700,000 vehicles that have been left unused for the past few months.

6. Airbnb

Number of Layoffs: 1,900
Remaining Workforce: 4,400
Current Company Value: $38 billion*

As far as companies go, online rental giant Airbnb is relatively young. Brian Chesky, Joe Gebbia and Nathan Blecharcyzk founded the company 11 years ago. It’s gone from strength to strength ever since, with an eye-watering value of over $38 billion.

Airbnb ©AlesiaKan / Shutterstock.com

The limited travel options available due to pandemic has meant that the San Francisco-based company had to brace for impact. In early May, Airbnb announced the redundancies of 1,900 people, roughly 25% of staff members.

7. The Gap

Number of Layoffs: 80,000
Remaining Workforce: 55,000
Current Company Value: $4 billion*

After decades in the business, The Gap remains a globally popular brand. But with stores closing across the board and a significant profit loss due to COVID-19, the company has had little choice but to furlough 80,000 members of its staff and hope for the best.

The Gap ©Alex Millauer / Shutterstock.com

Gap said in a statement that they were hoping to emerge victorious once things return to normal. They explained, “We are taking steps to prudently manage expenses while positioning the company to emerge from this environment and win. This work includes reducing headcount across our corporate functions, as we develop a more efficient operating model in response to the evolving needs of the business and the economic impact of COVID-19.”

8. Cirque du Soleil

Number of Layoffs: 4,679
Remaining Workforce: 259
Current Company Value: $1.5 billion*

Major touring companies and entertainment businesses have been forced to close their doors for the foreseeable future, too. Cirque du Soleil has enjoyed large crowds and booming ticket sales for years, but now staff are really walking the tightrope.

Cirque du Soleil @CirqueduSoleil / Facebook.com

As a result of canceling all planned performances, Cirque du Soleil was forced to let go of 95% of its staff. Only 259 employees remain at the head office and administration level, in hopes of resuming ticket sales when safety finally permits.

9. Nordstrom

Number of Layoffs: 70,000
Remaining Workforce: 4,000
Current Company Value: $3 billion*

Luxury department store Nordstrom has been a staple of the United States since 1901 when it first opened its doors as Wallin & Nordstrom. It may have started as a shoe store, but it grew exponentially over the decades to become a destination for the finer things in life.

Nordstrom ©Tim Boyle/Getty Images

Nordstrom currency has 117 stores across the U.S, Canada, and Puerto Rico, but each location shut its doors in March, placing roughly 70,000 employees on leave. However, while some of these have already returned to work, 16 department stores are set to permanently close in plans announced in early May.

10. Groupon

Number of Layoffs: 2,800
Remaining Workforce: 3,200
Current Company Value: $857 million*

Everyone loves a bargain deal, but in these dark times where over 36 million Americans have lost their jobs in the space of just two months, few are looking to splurge. As a result, Groupon has faced a reduction in revenue and answered it by laying off 2,800 people.

The company hasn’t made it clear if those on furlough will be permanently let go, but stated that the pandemic has caused a “material deterioration.” Like many retailers at the moment, Groupon was hit with a wave of refunds when the outbreak began which will severely impact the rest of the financial year.

11. Kohl’s

Number of Layoffs: 85,000
Remaining Workforce: 37,000
Current Company Value: $4 billion*

While many CEOs continue to stay on full salary, Kohl’s CEO Michelle Gass has chosen to forgo taking home anything this year. Still, Kohl’s have been forced to furlough most of their 122,000-strong workforce, placing 85,000 Americans on leave.

Kohl’s @Kohl's Coupon / Facebook.com

“It is an incredibly difficult decision to extend our store closures and temporarily furlough some of our associates,” said Gass at the time of the announcement. “We look forward to the day that we can reopen our stores to welcome our associates back and serve the millions of families across the country that shop Kohl’s.”

12. General Electric

Number of Layoffs: 2,500
Remaining Workforce: 202,500
Current Company Value: $68 billion*

General Electric is a true titan in the industry, spanning across healthcare, power, renewable energy, venture capital, aviation and more. With a market value of $68 billion, you may think the company can afford to take a slight decline.

Sadly, for 2,500 workers, that’s not the case. The aviation workforce took a hit of 10% of its workforce on March 23. Over 50% of maintenance and repair staff have been put on furlough until things get better, while GE Aviation CEO David Joyce has nobly given up half of his salary for the rest of the year. His GE counterpart, Larry Culp, has sacrificed 100%.

13. Urban Outfitters

Number of Layoffs: 15,000
Remaining Workforce: 1,330
Current Company Value: $2 billion*

Urban Outfitters might have been founded 50 years ago, but the lifestyle and fashion brand has moved with the times to become a destination for hipsters across the globe. In March, the company furloughed 15,000 of its staff, leaving just 1,330 in active roles.

Urban Outfitters @journaldesfemmes/ Pinterest.com

On a statement posted to their website, the company explained their choice. “Two weeks ago, we made the difficult but necessary decision to close our retail stores. As a result, today, with heavy hearts, we had to make the hard decision to furlough a number of our employees for the next 60 days. Anyone impacted will continue to receive enrolled benefits during that time.”

14. The NRA

Number of Layoffs: 60
Remaining Workforce: 555
Current Company Value: $412 million*

Though the NRA may have only laid off 60 employees, this represents a significant chunk of its official payroll – which is listed at only 615 employees nationwide. America’s leading gun lobby has seen a steady rise in policy influence over the years, though has since hit tough times.

NRA Offices @totalpatriot / Twitter.com

“On March 22, it was announced and widely reported that the NRA would be implementing a number of permanent and temporary staff reductions along with other cost-cutting measures, just like many other corporations and nonprofits as a result of the extraordinary impacts from the Covid-19 crisis,” said spokesperson Andrew Arulanandam when asked about the layoffs.