The downsizing pace has slowed steadily month-over-month from January's seven-year high of 241,749. But, the 1,192,587 layoffs planned this year puts the year-to-date total 36% above the 875,974 for the same period in 2008. Already, 2009 is close to last year's 12-month total of 1,223,993 -- only 31,406 away.

The auto sector could contribute a substantial amount of the difference between this year and next. In October, the industry announced that it would shed another 13,420 positions, bringing the year-to-date amount to 164,440 -- the most among all the industries covered by Challenger's study. The government and nonprofit sector is next, with plans to drop 160,434 positions this year.

John Challenger, CEO of Challenger, Gray & Christmas, says, "It appears the light at the end of the tunnel is finally visible." He does indicate that "there are still some trouble spots," but continues that the continued fall in job-cutting suggests that the economy is getting better. "However, it is important to realize that, as deep and widespread as this recession was, it is going to be a long and sometimes painful recovery," he believes.

Fundamental to the recovery will be the rate at which the 14.5 million unemployed in the United States can find work again, and Challenger says that it won't happen with the speed at which the jobs were lost. "Companies will, at first, be very cautious not to over-hire, in case this recovery is not sustainable. Even when the pace of job creation accelerates, it simply will take a lot of time to reabsorb all of these displaced workers," he adds.

This is what will push the "jobless recovery," as employers seek ways to bolster their capabilities without bringing on full-time staff members. As a recovery evolves and companies gain more confidence that it won't turn, temporary measures will give way to permanent employment.