Technical information: (202) 691-6392 USDL 08-1717
http://www.bls.gov/mls/
For release: 10:00 A.M. (EST)
Media contact: (202) 691-5902 Friday, November 21, 2008
MASS LAYOFFS IN OCTOBER 2008
In October, employers took 2,140 mass layoff actions, seasonally
adjusted, as measured by new filings for unemployment insurance
benefits during the month, the Bureau of Labor Statistics of the U.S.
Department of Labor reported today. Each action involved at least 50
persons from a single employer; the number of workers involved totaled
232,468, on a seasonally adjusted basis. The number of mass layoff
events this October decreased by 129 from the prior month, and the
number of associated initial claims fell by 3,213. Both layoff events
and initial claims reached their highest October levels since 2001, a
month that experienced continued layoff activity from the September 11
attacks. In October, 635 mass layoff events were reported in the
manufacturing sector, seasonally adjusted, resulting in 87,403 initial
claims. Over the month, mass layoff events in manufacturing increased
by 32 and initial claims increased by 5,989; the third consecutive
over-the-month increase for both. (See table 1.)
From January through October 2008, the total number of events (sea-
sonally adjusted), at 16,951, and initial claims (seasonally adjusted),
at 1,742,914, were the highest for the January-October period since 2002.
The national unemployment rate was 6.5 percent in October, seasonally
adjusted, up significantly from 6.1 percent the prior month and up from
4.8 percent a year earlier. In October, total nonfarm payroll employment
decreased by 240,000 over the month and by 1,078,000 from a year earlier.
Industry Distribution (Not Seasonally Adjusted)
The number of mass layoff events in October was 2,125 on a not
seasonally adjusted basis; the number of associated initial claims was
221,784. (See table 2.) Average weekly layoff events rose from 271
in October 2007 to 425 in October 2008, while average weekly initial
claimants increased from 27,114 to 44,357. In 2008, both average
weekly events and initial claimants reached their highest October
levels since 2001. In 2008, two major sectors reported program highs
in terms of average weekly initial claimants for the month of October--
the construction sector and the arts, entertainment, and recreation sec-
tor (with data available back to 1995).
The manufacturing sector accounted for 32 percent of all mass
layoff events and 45 percent of initial claims filed in October 2008;
a year earlier, manufacturing made up 31 percent of events and 47
percent of initial claims. This October, the number of manufacturing
claimants was greatest in transportation equipment manufacturing
(36,110), followed by food manufacturing (11,144). (See table 3.)
Administrative and waste services accounted for 16 percent of mass
layoff events and 14 percent of associated initial claims during the
month.
The six-digit NAICS industry with the largest number of initial
claims was temporary help services (16,381), followed by automobile
manufacturing (10,508). Among the 10 industries with the highest
levels of initial claims, 3 of the 10--automobile manufacturing, travel
trailer and camper manufacturing, and professional employer organiza-
tions--reached program highs in 2008 for the month of October (with
data available back to 1995). (See table A.)
- 2 -
Table A. Industries with the largest number of mass layoff initial claims in
October 2008
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| |
| Initial | October peak
Industry | claims |---------------------
| | |
| | Year |Initial claims
-------------------------------------------------------------------------------
| | |
Temporary help services .......................| 16,381 | 1998 | 18,760
Automobile manufacturing ......................| 10,508 | 2008 | 10,508
Professional employer organizations ...........| 7,242 | 2008 | 7,242
Motion picture and video production ...........| 6,052 | 1997 | 7,692
Light truck and utility vehicle manufacturing .| 6,047 | 2001 | 8,763
Farm labor contractors and crew leaders .......| 4,123 | 1998 | 9,617
Heavy duty truck manufacturing ................| 3,983 | 2006 | 7,017
Discount department stores ....................| 3,135 | 2002 | 4,959
Fruit and vegetable canning ...................| 2,836 | 2002 | 4,500
Travel trailer and camper manufacturing .......| 2,826 | 2008 | 2,826
| | |
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Geographic Distribution (Not Seasonally Adjusted)
Of the 4 census regions, the Midwest had the highest number of
initial claims in October due to mass layoffs (75,210), followed by
the West (69,542) and the South (53,087). (See table 5.) Average
weekly initial claimants in mass layoffs increased over the year in
all 4 regions with the West (+5,341) and the Midwest (+5,329) experi-
encing the largest increases.
Of the 9 divisions, the Pacific (60,351) and the East North Central
(60,196) had the highest numbers of initial claims in October due to
mass layoffs. (See table 5.) All 9 of the divisions experienced over-
the-year increases in average weekly initial claims, led by the Pacific
(+4,229) and the East North Central (+3,829). In 2008, the East South
Central and Mountain divisions reached program highs in average weekly
initial claims for the month of October.
California recorded the highest number of initial claims filed due
to mass layoff events in October with 51,286. The next highest states
reporting mass layoff initial claims were Ohio (17,764) and Michigan
(16,851). (See table 6.) Twelve states reached program highs in
average weekly initial claims in 2008 for the month of October--Alabama,
Alaska, Florida, Georgia, Idaho, Indiana, Michigan, Nebraska, Nevada,
Ohio, Utah, and Wyoming. Forty-four states registered over-the-year
increases in average weekly initial claims associated with mass layoffs,
led by California (+3,256), Michigan (+2,073), and Florida (+1,319).
______________________________
The report on Mass Layoffs in November 2008 is scheduled to be
released on Friday, December 19.