You can spot the hidden signs if your company is heading for layoffs. Smart moves to save your career before it is too late

When big names like Meta, Amazon, and Target start trimming their workforce, the ripple of anxiety spreads far beyond those companies. You might start wondering: could it happen where I work? According to a recent CNBC Make It report, experts say there are subtle signs long before layoffs become public — and knowing how to spot them can make all the difference between panic and preparation.

Jason Walker and Rey Ramirez, co-founders of Thrive HR Consulting, told CNBC Make It that many recent layoffs are being driven by AI integration and cost optimization. “Companies are seeing their ability to be more efficient and use less staff with AI,” Walker explained, adding that year-end periods often lead to “headcount trimming” as businesses evaluate budgets.

Recruiter Jalonni Weaver says that one of the first warning signs employees should notice is a slowdown in hiring. When new job postings vanish or roles stay open for months, it’s often a clue that the company is tightening its belt. Reduced spending — fewer perks, smaller bonuses, or even an absence of snacks in the pantry — can further signal financial unease. “When the spending cuts begin, the culture changes too,” Weaver said. “Nobody’s really happy.”

Decoding the language of layoffs
Sometimes, the clearest warning doesn’t come from spreadsheets but from what leaders say in meetings. Ramirez notes that phrases like “we need to be more efficient” or “we’re refocusing on operations” are often corporate code for cost cuts and downsizing.

Organizational consultant Rosie Nestingen adds that when leadership messaging pivots from “innovation and growth” to “stability and structure,” it’s a sign of internal restructuring. “There’s a lot of language that plants the seeds and sets the foundation for what’s coming,” she said in the CNBC Make It report.

Quiet exits and shrinking teams
Before a formal layoff wave, “quiet firing” often starts. Weaver describes it as a situation where companies reduce hours, cut project access, or apply pressure that makes employees leave voluntarily. Ramirez explains that slashing hourly work by half is an indirect way of reducing staff without official notice.

Return-to-office mandates can also serve this purpose. “After years of remote work, some employees would rather resign than return,” Walker observed. When senior employees or top performers begin leaving voluntarily, Weaver suggests it might be time to consider doing the same. “They probably know something you don’t,” she said.

Turning fear into foresight
Spotting red flags early isn’t about paranoia — it’s about being proactive. Weaver’s advice is simple but powerful: “Always keep your résumé up to date.” Employees should regularly check job postings in their field to understand what new skills are in demand and align their current roles to build those competencies.

Walker recommends having your application materials ready to go and reaching out to hiring managers directly rather than relying solely on online submissions. “The ability to get in front of people personally is crucial right now,” he said.

Weaver adds that even if you love your job, complacency can be risky. “It’s okay to be loyal,” she said, “but don’t get so comfortable that you ignore what’s happening around you.”

Layoffs may come unexpectedly, but they rarely come without signs. A sudden slowdown in hiring, a shift in company tone, or subtle budget cuts can all signal deeper trouble. By staying alert, networking consistently, and keeping your skills sharp, you can turn an impending corporate shake-up into an opportunity for reinvention — before the pink slips ever appear.