Displaced Workers Technical Note

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Technical Note


   The data presented in this release were collected through a supplement
to the January 2008 Current Population Survey (CPS), the monthly survey of
about 60,000 households that provides the basic data on employment and un-
employment for the nation.  The CPS is conducted by the U.S. Census Bureau
for the Bureau of Labor Statistics (BLS).  The purpose of this supplement
was to obtain information on the number and characteristics of persons who
had been displaced (as defined below) from their jobs over the prior 3 calen-
dar years.

   Data presented in this release are based on Census 2000 population con-
trols that are updated annually in January.  For additional information,
see "Population control adjustments to the CPS" available on the Internet at
http://www.bls.gov/cps/documentation.htm#pop.

   Information in this release will be made available to sensory impaired in-
dividuals upon request.  Voice phone:  (202)691-5200; TDD message referral
phone number:  1-800-877-8339.

Reliability of the estimates

   Statistics based on the CPS are subject to both sampling and nonsampling
error.  When a sample, rather than the entire population, is surveyed, there
is a chance that the sample estimates may differ from the "true" population
values they represent.  The exact difference, or sampling error, varies de-
pending on the particular sample selected, and this variability is measured
by the standard error of the estimate.  There is about a 90-percent chance,
or level of confidence, that an estimate based on a sample will differ by no
more than 1.6 standard errors from the "true" population value because of
sampling error.  BLS analyses are generally conducted at the 90-percent level
of confidence.

   The CPS data also are affected by nonsampling error.  Nonsampling error can
occur for many reasons, including the failure to sample a segment of the pop-
ulation, inability to obtain information for all respondents in the sample, in-
ability or unwillingness of respondents to provide correct information, and
errors made in the collection or processing of the data.

   For a full discussion of the reliability of data from the CPS and informa-
tion on estimating standard errors, see "Reliability of estimates from the CPS"
available online at:  http://www.bls.gov/cps/documentation.htm#reliability.

Concepts

   The first question asked of survey respondents to the CPS supplement was,
"During the last 3 calendar years, that is, January 2005 through December 2007,
did (you/name) lose a job or leave one because:  (your/his/her) plant or com-
pany closed or moved, (your/his/her) position or shift was abolished, there was
insufficient work, or another similar reason?"  If the answer to that question
was "yes," then the respondent was asked to identify which reason, among the fol-
lowing, best described the reason for the job loss:

   Plant or company closed down or moved
   Plant or company operating but lost or left job because of:
     Insufficient work
     Position or shift abolished
     Seasonal job completed
   Self-operated business failed
   Some other reason


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   Respondents who provided one of the first three reasons--plant or company closed
or moved, insufficient work, or position or shift abolished--were then asked ques-
tions about the lost job, including how many years it had been held; the year the
job was lost; its earnings, industry, and occupation; and whether health insurance
had been provided.  Other questions were asked to determine what transpired before
and after the job loss, such as:  Was the respondent notified of the upcoming dis-
missal?  How long did he/she go without work?  Did he/she receive unemployment ben-
efits?  And, if so, were the benefits used up?  Did the person move to another lo-
cation after the job loss to take or look for another job?  Information also was
collected about current health insurance coverage (other than Medicare and Medicaid)
and current earnings for those employed in January 2008.





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Last Modified Date: August 26, 2008