Employers took 1,647 mass layoff actions in June that resulted in the separation of 145,538 workers, seasonally adjusted, as measured by new filings for unemployment insurance benefits during the month, the U.S. Bureau of Labor Statistics reported on July 23. Each action involved at least 50 persons from a single employer. The number of mass layoff events in June increased by 235 from the prior month, and the number of associated initial claims increased by 9,749. In June, 298 mass layoff events were reported in the manufacturing sector, seasonally adjusted, resulting in 29,384 initial claims.
During the 31 months from December 2007 through June 2010, the total number of mass layoff events (seasonally adjusted) was 61,852, and the associated number of initial claims was 6,213,880. (December 2007 was the start of a recession as designated by the National Bureau of Economic Research.)
The national unemployment rate was 9.5 percent in June, seasonally adjusted, down from 9.7 percent the prior month and unchanged from a year earlier. In June, total non-farm payroll employment decreased by 125,000 over the month and 170,000 from a year earlier.
Industry Distribution (Not Seasonally Adjusted)
The number of mass layoff events in June was 1,861 on a not seasonally adjusted basis; the number of associated initial claims was 171,190. Over the year, the number of mass layoff events decreased by 658, and associated initial claims decreased by 85,167. Fifteen of the 19 major industry sectors in the private economy reported over-the-year decreases in initial claims, led by manufacturing. Agriculture and manufacturing reached program lows for the month of June in terms of initial claimants in 2010. (Data began in April 1995.) Local government reached a program high in June 2010 with 37,610 initial claims.
The manufacturing sector accounted for 11 percent of all mass layoff events and 12 percent of initial claims filed in June; the lowest proportions in program history. A year earlier, manufacturing made up 27 percent of events and 33 percent of initial claims. Within manufacturing, the number of claimants in June 2010 was greatest in transportation equipment and food. Eighteen of the 21 manufacturing subsectors experienced over-the-year decreases in initial claims, led by transportation equipment and machinery; five of these subsectors reached program lows for June.
The six-digit industry with the largest number of initial claims in June was elementary and secondary schools. Of the 10 detailed industries in Table A, elementary and secondary schools and executive and legislative offices reached program highs for the month of June. This table includes both publicly and privately owned entities.
Geographic Distribution (Not Seasonally Adjusted)
All four regions and eight of the nine divisions experienced over-the-year decreases in initial claims due to mass layoffs in June. Among the census regions, the Midwest and South registered the largest over-the-year declines in initial claims. Of the geographic divisions, the East North Central, Pacific and the Middle Atlantic had the largest over-the-year declines.
California recorded the highest number of initial claims in June, followed by Pennsylvania, New Jersey and Florida. Thirty-nine states and the District of Columbia experienced over-the-year decreases in initial claims, led by Illinois and California. Alaska and Washington reached and North Dakota matched program lows for June in terms of initial claimants in 2010, while Montana, Nevada, New Hampshire and Wyoming reached program highs for the month.
