The U.S. labor market weakened considerably in October, with companies slashing 153,000 jobs, nearly triple last year's total and the highest for that month since 2003, according to a new report from outplacement firm Challenger, Gray & Christmas.

Technology and warehousing jobs led the layoffs, mostly because companies are slashing folks who were hired during the pandemic-era overhiring period. Also, slowing consumer demand and rising costs are other contributing factors. Year-to-date job cuts have surpassed 1 million, the highest since 2020, while announced hiring plans are at their lowest level since 2011.

"October's pace of job cutting was much higher than average for the month. Some industries are correcting after the hiring boom of the pandemic, but this comes as AI adoption, softening consumer and corporate spending, and rising costs drive belt-tightening and hiring freezes. Those laid off now are finding it harder to quickly secure new roles, which could further loosen the labor market," said Andy Challenger, chief revenue officer for Challenger, Gray & Christmas.