The Kobeissi Letter(@KobeissiLetter):Employment in the US financial industry is going through a prolonged downturn: The financial industry shed -14,000 jobs in July, to 9.09 million, the lowest since July 2022. This marks the 5th consecutive monthly decline, totaling -59,000. Since May 2025, financial industry payrolls have dropped -121,000, posting the largest drawdown since the 2020 pandemic. Excluding the pandemic, this is the biggest employment contraction in the sector since the 2008 Financial Crisis. The decline comes as financial firms accelerate AI adoption, aiming to boost productivity and reduce labor costs across the industry. AI is reshaping the future of employment in finance.

2026.08.12 22:31

Employment in the US financial industry is going through a prolonged downturn: The financial industry shed -14,000 jobs in July, to 9.09 million, the lowest since July 2022. This marks the 5th consecutive monthly decline, totaling -59,000. Since May 2025, financial industry payrolls have dropped -121,000, posting the largest drawdown since the 2020 pandemic. Excluding the pandemic, this is the biggest employment contraction in the sector since the 2008 Financial Crisis. The decline comes as financial firms accelerate AI adoption, aiming to boost productivity and reduce labor costs across the industry. AI is reshaping the future of employment in finance.