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Empty kiosks and covered signage at the former Spirit Airlines check-in counter at Terminal A at George Bush Intercontinental Airport in Houston on Wednesday, May 6, 2026. The budget airline abruptly shuttered\u00a0its operations May 2, leading to 17,000 layoffs nationwide, including 515 at IAH.<\/p>\n
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Elizabeth Conley\/Houston Chronicle<\/p>\n
Nearly 20 companies in the Houston region laid off 2,697 employees<\/a> during the first six months of the year, slightly more than the 2,440 workers who lost their jobs to layoffs during the same period last year, according to the Texas Workforce Commission.\u00a0<\/p>\n But the Houston economy is beating economists’ expectations heading into the second half of the year, according to economists, with elevated oil prices boosting the region\u2019s energy sector and consumers spending more on events such as the 2026 World Cup.<\/p>\n \u201cHouston\u2019s acceleration is all the more notable against a cooling national backdrop,\u201d noted Mohammad Ahmadizadeh, economist and principal data analyst for Workforce Solutions Gulf Coast, Houston\u2019s regional workforce development board, in a June report<\/a>.\u00a0<\/p>\n Article continues below this ad<\/p>\n Some economists had expected the Houston economy to be hampered by \u00a0low oil prices this year. Instead, oil prices spiked to more than $100 a barrel in March after the start of the war in Iran, boosting profits at oil giants<\/a> such as Exxon and Chevron, both based in the Houston area.<\/p>\n Energy companies are among the region\u2019s largest employers and affect about a third of the Houston labor market, including construction, manufacturing, trade and professional services, Ahmadizadeh said.<\/p>\n The Houston region added about 24,000 jobs during the first half of the year after seasonal losses in January, including 14,400 in June<\/a>, according to Workforce Solutions. The World Cup also appeared to help boost hiring, Ahmadizadeh said, noting that the region\u2019s leisure and hospitality sector added 6,600 jobs in June, nearly twice as many as usual for the month. The construction, business services and trade sectors also saw significant gains, he said.\u00a0<\/p>\n ECONOMY:\u00a0Was hosting the World Cup worth it for Houston? Here’s what the data shows.<\/a><\/p>\n Article continues below this ad<\/p>\n The region\u2019s unemployment rate reached 5.2% in June, its highest level since July 2024, when Hurricane Beryl caused widespread damage to the region and contributed to the loss of 7,000 jobs<\/a>, according to the Federal Reserve Bank of Dallas. But the recent uptick is largely because Houston\u2019s population continues to grow, Ahmadizadeh said, and newcomers are entering the workforce.<\/p>\n Dynamics are similar across Texas, according to\u00a0a July report from the Dallas Fed<\/a>. There were 12,640 layoffs across the state during the first six months of the year, according to the Texas Workforce Commission data,\u00a0down from 13,523 during the first six months of 2025. \u00a0But the state added 42,100 jobs in June; Dallas was, along with Houston, one of this year\u2019s World Cup host cities.\u00a0<\/p>\n Job growth in Texas has been \u201csurprisingly strong,\u201d said Luis Torres, Dallas Fed senior business economist, in a statement.\u00a0 Republic National Distributing Co.<\/p>\n Republic National Distributing Company, a major alcohol distributor headquartered in the Dallas area, in April announced that it would lay off 1,903 workers in Texas, including 588 in Harris County. The company\u2019s revenue soared during the COVID-19 pandemic, peaking at $12 billion in 2022. The alcohol industry has struggled, however, as Americans returned to work with newfound health concerns: in its August 2025 report, Gallup found that the share of adults who say they consume alcohol had dropped to 54%, its lowest level in nearly 90 years. This shift helped put Republic\u2019s finances in a precarious situation. It is now winding down its remaining operations<\/a> after filing for Chapter 11 bankruptcy protection last month.\u00a0<\/p>\n Article continues below this ad<\/p>\n Spirit Airlines<\/p>\n Budget carrier Spirit Airlines, headquartered in Florida, shut down abruptly in May<\/a>, citing a \u201cmegaspike\u201d in fuel costs due to the Iran conflict. Some 17,000 workers across the country lost their jobs, including 515 at Houston\u2019s George Bush Intercontinental Airport and 444 at Dallas\/Fort Worth International Airport.\u00a0<\/p>\n Sodexo<\/p>\n Sodexo, which provides food and facilities services to corporations, in April announced that it would lay off 296 employees at four Harris County hospitals after HCA Healthcare elected to bring its food service operations in-house.\u00a0<\/p>\n Francesca\u2019s<\/p>\n Francesca\u2019s, a retailer headquartered in Houston, in January announced that it was shutting down operations nationwide<\/a> and would lay off 202 employees in Harris County. The chain, which specialized in women\u2019s fashion, was founded in Houston in 1999 and eventually grew to about 450 locations across the country, but struggled to compete with online retailers and first filed for Chapter 11 bankruptcy protection in 2020.\u00a0<\/p>\n Article continues below this ad<\/p>\n Saddle Creek<\/p>\n
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Here are the five biggest layoffs in Houston during the first half of the year.\u00a0<\/p>\n