Tue, Sep 30, 2008

MASS LAYOFFS IN AUGUST 2008

In August, employers took 1,772 mass layoff actions, seasonally ad-justed, 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 173,955, on a seasonally adjusted basis. Layoff events reached a program high for the month of August (with data available back to 1995), and associated initial claimants reached its highest level for the month since 2001. The number of mass layoff events this August increased by 260 from the prior month, while the number of associated initial claims rose by 22,784. In August, 599 mass layoff events were reported in the manufacturing sector, season-ally adjusted, resulting in 72,244 initial claims. Over the month, mass layoff events in manufacturing increased by 156, and initial claims in-creased by 14,774.

From January through August 2008, the total number of mass layoff events (seasonally adjusted), at 12,542, and initial claims (seasonally adjusted), at 1,274,765, were the highest for the January-August period since 2003.

The national unemployment rate was 6.1 percent in August, seasonally adjusted, up from 5.7 percent in the prior month and from 4.7 percent a year earlier. In August, total nonfarm payroll employment decreased by 84,000 over the month and by 283,000 from a year earlier.

As you can see below, the industries most significantly impacted include temporary labor, manufacturing and retail.

Industries with the largest number of mass layoff initial claims

in August 2008

• Temporary help services
• School and employee bus transportation
• Professional employer organizations
• Motion picture and video Automobile manufacturing
• Heavy duty truck
• Motor home manufacturing
• Full-service
• All other motor vehicle parts
• Discount department

 Source: http://www.bls.gov/news.release/mmls.nr0.chtm

THE EMPLOYMENT SITUATION: SEPTEMBER 2008

Nonfarm payroll employment declined by 159,000 in September, and
the unemployment rate held at 6.1 percent, the Bureau of Labor Sta-
tistics of the U.S. Department of Labor reported today. Employment
continued to fall in construction, manufacturing, and retail trade, while mining and health care
continued to add jobs.

Unemployment (Household Survey Data)

The unemployment rate (6.1 percent) was unchanged in September,
following a 0.4 percentage point rise in August. The number of
unemployed persons was little changed at 9.5 million. Over the past
12 months, the number of unemployed persons has increased by 2.2 mil-
lion and the unemployment rate has risen by 1.4 percentage points.

The unemployment rates for adult men (6.1 percent) and blacks (11.4
percent) rose in September. The jobless rates for teenagers (19.1 per-
cent), whites (5.4 percent), and Hispanics (7.8 percent) were essen-
tially unchanged. The unemployment rate for adult women declined to
4.9 percent, partly offsetting an increase in August. The unemploy-
ment rate for Asians in September was 3.8 percent, not seasonally ad-
justed.

In September, the number of long-term unemployed (those jobless for
27 weeks or more) rose by 167,000 to 2.0 million, an increase of 728,000
over the past 12 months. The long-term unemployed accounted for 21.1 per-
cent of total unemployment in September.

http://www.bls.gov/news.release/empsit.nr0.htm