For release 10:00 a.m. (EDT) Thursday, August 23, 2012 USDL-12-1718
Technical information: (202) 691-6392 * mlsinfo@bls.gov * www.bls.gov/mls
Media contact: (202) 691-5902 * PressOffice@bls.gov
MASS LAYOFFS -- JULY 2012
Employers took 1,340 mass layoff actions in July involving 137,420 workers, seasonally
adjusted, as measured by new filings for unemployment insurance benefits during the
month, the U.S. Bureau of Labor Statistics reported today. Each mass layoff involved
at least 50 workers from a single employer. Mass layoff events in July increased by 23
from June, and the number of associated initial claims increased by 6,014. Year-to-date
mass layoff events (9,425) and initial claims (905,310) both recorded their lowest
figures for a January-July period since 2007. In July, 364 mass layoff events were
reported in the manufacturing sector, seasonally adjusted, resulting in 44,920 initial
claims. Mass layoff data are identified using administrative data sources without
regard to layoff duration. (See table 1 and the note at the end of this release.)
The national unemployment rate was 8.3 percent in July, essentially unchanged from the
prior month but down from 9.1 percent a year earlier. Total nonfarm payroll employment
increased by 163,000 over the month and by 1,838,000 over the year.
Industry Distribution (Not Seasonally Adjusted)
The number of mass layoff events in July was 1,515, not seasonally adjusted, resulting
in 157,753 initial claims for unemployment insurance. (See table 2.) Over the year,
the number of average weekly mass layoff events in July decreased by 56 to 379, and
associated average weekly initial claims decreased by 3,917 to 39,438. Thirteen of
the 19 major industry sectors in the private economy reported over-the-year decreases
in average weekly initial claims for July, with the largest decrease occurring in
administrative and waste services. (See table 3.) In July 2012, the six-digit industry
with the largest number of private nonfarm initial claims was temporary help services.
(See table A.)
In July, the manufacturing sector accounted for 40 percent of mass layoff events and
51 percent of associated initial claims in the private economy. Within manufacturing,
the number of mass layoff claimants was highest in transportation equipment. Thirteen
of the 21 manufacturing subsectors experienced over-the-year increases in average
weekly initial claims. (See table 3.)
Table A. Six-digit NAICS industries with the largest number of mass layoff initial
claims in July 2012, private nonfarm, not seasonally adjusted
July peak
Industry Initial Initial
claims Year claims
Temporary help services (1) ................... 11,750 1998 24,601
Automobile manufacturing ...................... 7,497 1996 22,644
Fossil fuel electric power generation ......... (2) 2012 (2)
Motor vehicle seating and interior trim mfg. .. 3,456 2005 9,238
Light truck and utility vehicle
manufacturing ............................... (2) 1997 14,618
Other motor vehicle parts manufacturing ....... 3,108 2004 9,954
Motor vehicle metal stamping .................. 2,952 2005 8,198
Discount department stores .................... 2,810 2009 3,995
Heavy duty truck manufacturing ................ 2,467 2008 6,790
Professional employer organizations (1) ....... 2,273 2009 8,240
1 See the Technical Note for more information on these industries.
2 Data do not meet BLS or state agency disclosure standards.
Geographic Distribution (Not Seasonally Adjusted)
Among the census regions, the South registered the largest number of initial claims in
July. Two of the 4 regions experienced over-the-year decreases in average weekly
initial claims, with the largest decrease occurring in the West. (See table 4.)
Among the states, California recorded the highest number of mass layoff initial claims
in July, followed by Michigan and New York. Thirty states experienced over-the-year
decreases in average weekly initial claims, led by California, Minnesota, and Florida.
(See table 4.)
Note
The monthly data series in this release cover mass layoffs of 50 or more workers
beginning in a given month, regardless of the duration of the layoffs. For private
nonfarm establishments, information on the length of the layoff is obtained later
and issued in a quarterly release that reports on mass layoffs lasting more than 30
days (referred to as "extended mass layoffs"). The quarterly release provides more
information on the industry classification and location of the establishment and on
the demographics of the laid-off workers. The monthly data series in this release are
subjected to average weekly analysis, which mitigates the effect of differing lengths
of months. See the Technical Note for more detailed definitions and for a description
of average weekly analysis.
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The Mass Layoffs news release for August is scheduled to be released on Friday,
September 21, 2012, at 10:00 a.m. (EDT).
