🇺🇸 The Affordability Crisis: American Citizens Last?
Trump and GOP promised “America First!”
The promise of the "America First" agenda and a pledge to lower costs rings hollow for millions of Americans now caught in an accelerating affordability crisis. While the current administration prioritized massive tax cuts and championed cuts to vital social programs, the reality on the ground is punishing: Low wages remain stagnant even as the cost of living continues to surge.
Inflation, currently running at 3.0% annually for the 12 months ending September 2025, continues to drive up prices for essentials like shelter, medical care, and food. Compounding this pain, the administration has enacted major legislation that is forecast to cut over $1 trillion from Medicaid and the Supplemental Nutrition Assistance Program (SNAP) over the next decade. These cuts—which impose new work requirements and restrict eligibility—are set to strip health coverage from millions and reduce crucial food assistance for the working poor, exacerbating the insecurity caused by stagnant wages.
Meanwhile, the very tariffs touted by the GOP as a tool to protect American jobs are now widely acknowledged by economists to be taxes on U.S. consumers, directly contributing to the higher cost of goods, from apparel to household furnishings.
This domestic struggle for survival is sharply contrasted by actions abroad. At a moment when countless families are losing their health insurance and struggling to afford groceries, the administration has authorized and facilitated a $40 billion financial package for the beleaguered economy of a foreign nation (Argentina), with $20 billion coming directly from the U.S. Treasury in a move criticized for prioritizing a foreign dictator's political survival over the needs of American citizens.
This is the backdrop against which corporate America is now launching a devastating wave of layoffs.
📉 Major Corporate Layoffs and Workforce Reductions
The following companies have announced significant workforce reductions, often citing restructuring, cost-cutting, and a pivot toward Artificial Intelligence (AI) initiatives:
| Company | Announced Job Cuts (Approximate) | Key Reason / Context |
| Intel | Over 15,000 to 21,000 roles (2024) | Part of a major turnaround and cost-reduction effort, aiming to save billions amid market share losses. |
| UPS | 20,000 to 48,000 positions | Eliminated roles as part of broad cost-cutting measures and restructuring to achieve financial goals. |
| Verizon | Over 13,000 to 15,000 employees | Restructuring to simplify operations and "reorient" the company, which includes a voluntary separation program. |
| Microsoft | Over 15,000 roles (2024) | Multiple rounds of cuts across divisions, including gaming (Xbox/Activision Blizzard), Azure, and Mission Engineering. |
| Amazon | Over 14,000 corporate jobs | Cuts across AWS, Twitch, and advertising as the company ramps up spending on AI while trimming costs elsewhere. |
| HP | 4,000 to 6,000 employees | Streamlining operations and adopting AI to increase productivity, aiming for $1 billion in savings by 2028. |
| Tesla | Approximately 14,000 employees (10% of workforce) | Global workforce reduction while maintaining core AI and autonomy R&D teams. |
| Cisco | Over 9,500 positions | Two major rounds of cuts as part of a reorganization focused on infrastructure and security. |
| General Motors (GM) | Approximately 1,700 workers | Adjusting to slowing demand, particularly for electric vehicles, and production changes in Michigan and Ohio. |
| Paramount | Approximately 2,000 employees (10% of workforce) | Restructuring following its merger and divestitures of international assets. |
Sector-Specific Layoffs
* Food/Manufacturing: Tyson Foods is laying off 3,212 workers with the closure of its beef processing plant in Lexington, Nebraska, around January 20, 2026, citing a shortage of cattle and economic conditions.
* Retail: Walmart has announced cuts, particularly affecting corporate and e-commerce positions, as part of a restructuring to simplify operations.
* Store Closures: Walmart is also closing several locations in 2024 across states including California, Georgia (Atlanta), Maryland (Towson), and Ohio (Columbus), typically due to financial underperformance.
* Pharmaceutical/Biotech: Companies like Bristol Myers Squibb planned to lay off about 6% of its workforce (approx. 2,200 employees) due to patent expirations and a need for restructuring.
🌍 Core Reasons Driving Layoffs
🤖 Automation and Strategic Restructuring
* Rapid Integration of AI: Many companies, particularly in tech, are laying off workers in non-core areas while simultaneously ramping up investment in AI initiatives. This suggests that AI and automation are either replacing certain roles or forcing a strategic realignment of the workforce toward new, high-value skills.
* Post-Pandemic Correction: Companies that overhired during the pandemic's peak demand are now "right-sizing" their workforce to align with normalized growth and profitability expectations.
📈 Economic and Market Volatility
* Economic Uncertainty: Volatility from high inflation, rising interest rates, and geopolitical tensions creates unpredictability, leading companies to prioritize cost reduction through workforce cuts.
* Shifts in Consumer Spending: Slowing demand in specific sectors, such as the cooling market for Electric Vehicles (affecting GM and Tesla), forces cost-cutting.
* High Operational Costs: Rising costs for materials, labor, and energy push companies to reduce expenses, making payroll reduction one of the most immediate avenues for savings.
🎯 Conclusion: Who Pays the Price?
The data confirms a chilling reality: as major corporations shed tens of thousands of American jobs to cut costs and embrace AI, the government simultaneously imposes cuts to the very safety nets—Medicaid and SNAP—that are designed to catch falling workers. The result is a perfect storm for the American worker, where they are laid off by corporations seeking efficiency and then abandoned by a government more concerned with a foreign nation's financial health. The "America First" slogan has been inverted, becoming a harsh economic reality where U.S. citizens are clearly not the priority.
🛑 Final Verdict: The Corporate Handout and the American Worker
The cycle of massive corporate layoffs detailed above—driven by cost-cutting, "right-sizing," and the pivot to AI—is not occurring in a vacuum. It is being subsidized by the very political agenda that promised to put American workers first.
The reality is that while American families face crippling inflation, stagnant wages, and the elimination of safety nets like SNAP and Medicaid, the richest corporations and individuals are enjoying unprecedented financial relief.
This outcome is a direct consequence of the 2017 Tax Cuts and Jobs Act, the signature legislative achievement of the previous Republican administration. This Act slashed the corporate income tax rate from 35% to 21%, resulting in trillions of dollars in savings for the most profitable corporations. The promise was that this windfall would be reinvested in American workers through higher wages and new jobs.
The data tells a different story:
* The Layoff Cycle: Companies like Microsoft, Amazon, and Intel, which benefited immensely from these tax breaks, are now shedding tens of thousands of jobs and spending billions on stock buybacks—a practice that disproportionately enriches executives and wealthy shareholders.
* The Stagnant Wage Trap: Despite record profits and massive corporate tax savings, wage growth for the average worker has barely kept pace with, and often lagged behind, the rising cost of living.
* The Transfer of Wealth: The GOP's agenda has effectively created a system where profits are privatized and the costs are socialized. Corporations reap record tax savings and boost profits by laying off workers, all while the burden of supporting those newly unemployed workers falls onto a shrinking, deliberately cut-back public safety net.
This is the ultimate betrayal of the American worker: a political machine that has simultaneously stripped away the social floor beneath them while handing a golden parachute to the wealthy corporations who profit off their backs. The American worker is not just being laid off; they are footing the bill for their own unemployment.
Are We Art?
https://michaelsvoice.wordpress.com/2025/02/06/are-we-art-2/
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