During the 20 months from December 2007 through July 2009, the total number of mass layoff events (seasonally adjusted) was 41,979, and the number of initial claims filed (seasonally adjusted) in those events was 4,297,329. (December 2007 was the start of a recession as designated by the National Bureau of Economic Research.)
The national unemployment rate was 9.4 percent in July 2009, seasonally adjusted, little changed from 9.5 percent the prior month but up from 5.8 percent a year earlier. In July, total nonfarm payroll employment de-creased by 247,000 over the month and by 5,740,000 from a year earlier.
Industry Distribution (Not Seasonally Adjusted)
The number of mass layoff events in July was 3,054 on a not seasonally adjusted basis; the number of associated initial claims was 336,654. Over the year, increases were recorded in both the number of mass layoff events (+1,163) and initial claims (+136,272). This year, average weekly events reached its highest July level in program history; data are available back to 1995. (Average weekly analysis mitigates the effect of differing lengths of months.) Nine of the 19 major industry sectors reported program highs in terms of average weekly initial claimants for the month of July - construction; wholesale trade; retail trade; finance and insurance; professional and technical services; management of companies and enterprises; administrative and waste services; health care and social assistance; and accommodation andfood services. Government also reported a program high in terms of average weekly initial claimants for the month of July.
The manufacturing sector accounted for 37 percent of all mass layoff events and 46 percent of initial claims filed in July 2009; a year earlier, manufacturing made up 40 percent of events and 54 percent of initial claims. This July, the number of manufacturing claimants was greatest in transportation equipment (47,322) and machinery (29,528). The administrative and waste services sector accounted for 11 percent of mass layoff events and associated initial claims during the month.
Of the 10 detailed industries with the largest number of mass layoff initial claims, 3 reached a series high for July: construction machinery
manufacturing; professional employer organizations; and elementary and secondary schools. The industry with the largest number of initial claims was elementary and secondary schools (20,769), which includes both public and private entities.
Geographic Distribution (Not Seasonally Adjusted)
Among the four census regions, the Midwest registered the highest number of initial claims in July due to mass layoffs (117,188), followed by the West (102,292) and the South (71,648). Average weekly initial claims associated with mass layoffs increased over the year in all four regions, with the West experiencing the largest increase. In 2009, the South and the West reported their highest July levels of average weekly initial claims in program history.
Of the nine geographic divisions, the East North Central (94,516) had the highest number of initial claims due to mass layoffs in July, followed by the Pacific (91,051) and the Middle Atlantic (38,332). Eight of the 9 divisions experienced over-the-year increases in average weekly initial claims, led by the Pacific. This year, the Mountain and the Pacific divisions reached program highs for July in terms of average weekly initial claims.
California recorded the highest number of initial claims filed due to mass layoff events in July with 82,085. The states with the next highest number of mass layoff initial claims were Illinois (25,119), Michigan (23,929), and Ohio (19,704). Over-the-year increases in average weekly initial claims were highest in California, Illinois, and Pennsylvania. In 2009, seven states reached program highs in average weekly initial claims for the month of July - Arizona, Florida, Hawaii, Illinois, Nevada, New Jersey, and Utah.
