US dot-com job cuts fall in September
- 02 October, 2001 10:12
US job cuts at Internet companies fell to 2,986 last month -- their lowest level since July of last year, when 2,194 job cuts at dot-com companies were recorded, according to a monthly report by outplacement firm Challenger, Gray and Christmas.
According to the Chicago-based firm, which tracks job-cut announcements daily, the total number of jobs eliminated in the dot-com sector since July 2000 is 126,898.
The firm said September dot-com job cuts were down 39 per cent from the 4,899 cuts announced in August, which was 38 per cent lower than the 4,805 cuts announced a year ago.
To date, the number of jobs eliminated at Internet companies in this year totaled 90,781, more than double the 41,515 cuts announced in all of last year.
According to Challenger, dot-coms offering consumer services experienced the most job cuts -- 1,153, or 39 per cent -- in September. Internet portals ranked second with 790 cuts.
"The dot-com sector may be stabilising, which would account for the decline in job-cut announcements. Many of the weakest firms no longer exist and those once considered the titans of the Internet are trimming payroll and other costs to the bare minimum," said John A. Challenger, the firm's CEO.
"The Internet still offers viable business opportunities as the number of people with Internet access increases. As a result, we will continue to see job growth in this area, but it probably will never again match the explosive growth of a couple years ago."