During the 23 months from December 2007 through October 2009, the total number of mass layoff events (seasonally adjusted) was 49,357, and the number of initial claims filed (seasonally adjusted) in those events was 5,021,824. (December 2007 was the start of a recession as designated by the National Bureau of Economic Research.)
The national unemployment rate was 10.2 percent in October 2009, seasonally adjusted, up from 9.8 percent the prior month and from 6.6 percent a year earlier. In October, total nonfarm payroll employment decreased by 190,000 over the month and by 5,504,000 from a year earlier.
Industry Distribution (Not Seasonally Adjusted)
The number of mass layoff events in October was 1,934 on a not seasonally adjusted basis; the number of associated initial claims was 193,904. Over the year, the number of mass layoff events decreased by 191,and associated initial claims decreased by 27,880. Three of the 19 major industry sectors in the private economy reported program highs in terms of average weekly initial claimants for the month of October: construction; wholesale trade; and management of companies and enterprises. Both state and local government reached October highs in terms of average weekly claims.
The manufacturing sector accounted for 29 percent of all mass layoff events and 36 percent of initial claims filed in October 2009. A year earlier, manufacturing made up 32 percent of events and 45 percent of initial claims. Within manufacturing, the number of claimants in October was greatest in transportation equipment (17,069) and machinery (10,892). Transportation equipment had the largest over-the-year decrease in initial claims (-19,041), while machinery had the highest increase (+2,995) among all three-digit NAICS industries.
The administrative and waste services sector accounted for 13 percent of both mass layoff events and initial claims, down slightly from 16 percent of events and 14 percent of initial claims in October 2008. The construction sector accounted for 11 percent of events and 8 percent of initial claims, about the same as a year earlier (10 percent and 7 percent, respectively).
The six-digit NAICS industry with the largest number of initial claims in October 2009 was temporary help services. Of the 10 detailed industries with the largest number of mass layoff initial claims, 3 reached a series high for any October: construction machinery manufacturing; highway, street, and bridge construction; and food service contractors.
Geographic Distribution (Not Seasonally Adjusted)
Among the four census regions, the West registered the highest number of initial claims in October due to mass layoffs, followed by the Midwest and the South. Initial claims associated with mass layoffs decreased over the year in all of the regions, with the Midwest experiencing the largest decrease (-14,418), mostly in transportation equipment manufacturing.
Of the nine geographic divisions, the Pacific had the highest number of initial claims due to mass layoffs in October, followed by the East North Central, the South Atlantic, and the Middle Atlantic. Eight of the 9 divisions experienced over-the-year decreases in initial claims, led by the East North Central (-10,919).
California recorded the highest number of initial claims in October, followed by Illinois, Florida, Wisconsin, Pennsylvania, and Ohio. Twenty-six states experienced over-the-year decreases in initial claims, led by Michigan (-7,308), Ohio (-7,195), and Kentucky (-3,671); all three experienced the largest decreases in initial claims in transportation equipment manufacturing. In 2009, eight states reached program highs in average weekly initial claims for the month of October: Arizona, Iowa, Montana, New Mexico, New York, Utah, Wisconsin, and Wyoming.
