Mass Layoffs Summary





Technical information:  (202) 691-6392    USDL 08-1185
               http://www.bls.gov/mls/
                                          For release:  10:00 A.M. (EDT)
Media contact:          (202) 691-5902    Friday, August 22, 2008
                                   
                                   
                       MASS LAYOFFS IN JULY 2008

   In July, employers took 1,512 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 151,171, on a seasonally adjusted basis.
The number of mass layoff events this July decreased by 131 from the prior
month, while the number of associated initial claims decreased by 14,526.
In July, 443 mass layoff events were reported in the manufacturing sector,
seasonally adjusted, resulting in 57,470 initial claims.  Over the month,
mass layoff events in manufacturing decreased by 98 and initial claims de-
creased by 19,044.  (See table 1.)

   From January through July 2008, the total number of mass layoff events 
(seasonally adjusted), at 10,770, and initial claims (seasonally adjusted),
at 1,100,810, were the highest for the January-July period since 2003.

   The national unemployment rate was 5.7 percent in July, seasonally adjusted, 
up from 5.5 percent in the prior month and up from 4.6 percent a year earlier.  
Total nonfarm payroll employment decreased by 51,000 in July from the previous 
month and decreased by 67,000 from a year earlier.

Industry Distribution (Not Seasonally Adjusted)

   The number of mass layoff events in July was 1,891 on a not seasonally ad-
justed basis; the number of associated initial claims was 200,382.  (See 
table 2.)  Over the year, there were increases in both the number of layoff 
events (+292) and initial claims (+24,963).  The largest over-the-year in-
creases in initial claims occurred in transportation equipment manufacturing 
(+8,966) and administrative and support services (+5,174).  The largest de-
creases occurred in machinery manufacturing (-1,952) and primary metal manu-
facturing (-1,712).

   The manufacturing sector accounted for 40 percent of all mass layoff events 
and 54 percent of initial claims filed in July; a year earlier, manufacturing 
made up 43 percent of the events and 58 percent of initial claims.  In July 
2008, the number of manufacturing claimants was highest in transportation equip-
ment manufacturing (57,761), followed by fabricated metal products (7,007).  
(See table 3.)  Administrative and waste services accounted for 14 percent of
mass layoff events and 11 percent of associated initial claims in July, primari-
ly from temporary help services.

   The six-digit NAICS industry with the highest number of initial claims was 
temporary help services with 14,068, followed by light truck and utility vehicle 
manufacturing with 8,825.  Among the industries with the highest levels of ini-
tial claims, heavy duty truck manufacturing reached a program high for the month
of July (data are available back to 1995).  (See table A.)


                                  - 2 -


Table A.  Industries with the largest number of mass layoff initial claims
in July 2008
------------------------------------------------------------------------------
                                               |        |      July peak      
                    Industry                   |Initial |---------------------
                                               | claims |      |              
                                               |        | Year |Initial claims
------------------------------------------------------------------------------
                                               |        |      |              
Temporary help services .......................| 14,068 | 1998 |     24,601   
Light truck and utility vehicle manufacturing .|  8,825 | 1997 |     14,618   
Motor vehicle metal stamping ..................|  7,033 | 2005 |      8,198   
Heavy duty truck manufacturing ................|  6,790 | 2008 |      6,790   
Automobile manufacturing ......................|  6,636 | 1996 |     22,644   
All other motor vehicle parts manufacturing ...|  5,986 | 2004 |      9,691   
School and employee bus transportation ........|  5,156 | 1997 |      8,081   
Motor vehicle seating and interior trim        |        |      |              
 manufacturing ................................|  4,459 | 2005 |      9,238   
Elementary and secondary schools ..............|  4,172 | 2005 |      7,104   
Professional employer organizations ...........|  3,949 | 2004 |      4,425   
                                               |        |      |              
------------------------------------------------------------------------------


Geographic Distribution (Not Seasonally Adjusted)

   Of the 4 census regions, the highest number of initial claims in July due to 
mass layoffs was in the Midwest (84,535).  The South had the second largest number 
of initial claims among the regions with 48,440, followed by the West with 41,901 
and the Northeast with 25,506.  (See table 5.)

   The number of initial claimants in mass layoffs increased over the year in 3 of 
the 4 regions--the South (+12,677), the West (+8,837), and the Northeast (+4,471).  
Six of the 9 divisions had over-the-year increases in initial claims, with the 
largest increase in the Pacific (+9,016).

   California recorded the highest number of initial claims filed due to mass lay-
off events in July with 33,250, largely due to layoffs in administrative and support 
services and in educational services.  (See table 6.)  The next highest numbers of 
mass layoff initial claims were in Michigan (27,672), Ohio (19,402), and Kentucky 
(11,907).

   Twenty-nine states reported over-the-year increases in initial claims associated 
with mass layoffs, led by Ohio (+8,967), California (+8,196), and Kentucky (+5,949).  
States with the largest over-the-year decreases in claims were Michigan (-8,684) 
and Kansas and Iowa (-1,563 each).


                                 ___________________________


   The report on Mass Layoffs in August 2008 is scheduled to be released on Tuesday, 
September 23.





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Last Modified Date: August 22, 2008