A quarter of laid-off roles in the United States are being refilled within a year as organisations find themselves in a rehiring cycle, according to a new report.
Careerminds recently polled 600 HR professionals in the US to find that organisations across the country are “entering a troubling new pattern” surrounding layoffs, that they dubbed “the lay off loop”.
It discovered that 49% of respondents are in companies that rehired up to a quarter of the roles they cut within just 12 months.
Another 35% said 26% to 50% of the roles they laid off were refilled within a year, while 12% stated that 51% to 75% of laid-off roles returned within the same period.
“Rehiring so soon after layoffs suggests not a return to stability, but a misalignment between quick fixes and lasting solutions,” the report read.
Serial layoffs on the rise
Additionally, the report discovered that “serial layoffs” have become the new normal as nearly 78% of the respondents admit that their company carried out multiple rounds of layoffs in the past year.
“According to our survey, layoffs are not only recurring but happening in rapid succession,” it read.
Four in 10 HR leaders reported that their layoffs occurred quarterly, while nine per cent said they occurred less than one month apart.
Another 27% said the layoffs took place just one to two months apart, while 16% reported a six- to eight-month interval.
The impact of layoffs
More than half (55%) of the HR leaders surveyed blamed financial instability as the key driver of repeat layoffs. This is followed by changing business priorities (38%) and market disruption (37%).
As a result of these troubling new patterns involving layoffs, HR leaders said they observed a drop in morale (49%) and productivity (47%).
HR leaders also reported an increase in voluntary resignations (41%), as well as a loss in critical skills (38%).
“Repeated layoffs trigger far more than just operational disruption, and HR leaders are dealing with a fallout of fractured trust, stability, and confidence within remaining teams,” the report read.
Providing outplacement services
Careerminds underscored the importance of providing outplacement services to help employees who were laid off find a new role faster.
However, the report found that only one in three companies is offering these services. Half of employers still offer enhanced severance pay (50%) and continued access to benefits (47%).
The report stated that outplacement services signal that organisations place value on their people in moments of transition.
“Making outplacement and well-being services a standard part of the repeat layoff process can ease the impact of layoffs for both employees and organisations, especially in 2025’s fast-changing job market,” the report read.