Employers took 2,227 mass layoff actions in January that resulted in the separation of 237,902 workers, seasonally adjusted, 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.

Each action involved at least 50 persons from a single employer. The number of mass layoff events in January decreased by 48 from the prior month, while the number of associated initial claims increased by 11,785. Over the year, the number of mass layoff events increased by 751, and the number of associated initial claims increased by 88,834. In January, 738 mass layoff events were reported in the manufacturing sector, seasonally adjusted, resulting in 102,577 initial claims. Over the month, mass layoff events in manufacturing decreased by 133, and initial claims decreased by 2,825.

During the 14 months from December 2007 through January 2009, the total number of mass layoff events (seasonally adjusted) was 25,712, and the number of initial claims (seasonally adjusted) was 2,632,336. (December 2007 was the start of a recession as designated by the National Bureau of Economic Research.)

The national unemployment rate was 7.6 percent in January 2009, seasonally adjusted, up from 7.2 percent the prior month and from 4.9 percent a year earlier. In January, total nonfarm payroll employment decreased by 598,000 over the month and by 3,500,000 from a year earlier.

Industry Distribution (Not Seasonally Adjusted)

The number of mass layoff events in January was 3,806 on a not seasonally adjusted basis; the number of associated initial claims was 388,813. Average weekly layoff events rose from 412 in January 2008 to 761 in January 2009, and average weekly initial claimants more than doubled from 38,626 to 77,763. This year, both average weekly events and initial claimants reached their highest January levels in program history (with data available back to 1996). Eleven major industry sectors reported program highs in terms of average weekly initial claimants for the month of January - mining; manufacturing; wholesale trade; retail trade; transportation and warehousing; finance and insurance; real estate and rental and leasing; administrative and waste services; educational services; health care and social assistance; and accommodation and food services.

The manufacturing sector accounted for 38 percent of all mass layoff events and 44 percent of initial claims filed in January 2009; a year earlier, manufacturing made up 30 percent of events and 35 percent of initial claims. This January, the number of manufacturing claimants was greatest in transportation equipment (57,173) and machinery (14,120). The administrative and waste services industry accounted for 12 percent of mass layoff events and associated initial claims during the month.

The six-digit NAICS industry with the largest number of initial claims was temporary help services (25,467). Among the 10 industries with the highest levels of initial claims, 5 reached program highs for the month of January - all other plastics product manufacturing; light truck and utility vehicle manufacturing; all other motor vehicle parts manufacturing; professional employer organizations; and hotels and motels, except casino hotels.

Geographic Distribution (Not Seasonally Adjusted)

Of the 4 census regions, the South registered the highest number of initial claims in January due to mass layoffs (115,630), followed by the Midwest (114,195), the West (81,846), and the Northeast (77,142). Average weekly initial claims associated with mass layoffs increased over the year in all 4 regions, with the South (+14,934) and the Midwest (+12,282) experiencing the largest increases. In 2009, the Northeast, Midwest, and the South regions reported their highest January levels of average weekly initial claims in program history.

Of the 9 geographic divisions, the East North Central (93,852) had the highest number of initial claims due to mass layoffs in January,
followed by the Pacific (69,189) and the Middle Atlantic (68,728). All divisions experienced over-the-year increases in average weekly initial claims, led by the East North Central (+10,279)and the South Atlantic (+7,779). This year, 6 of the 9 divisions reached January program highs in terms of average weekly initial claims - New England, Middle Atlantic, East North Central, South Atlantic, West South Central, and Mountain.

California recorded the highest number of initial claims filed due to mass layoff events in January with 54,153. The states with the next highest number of mass layoff initial claims were New York (31,893), Pennsylvania (29,656), and Ohi (27,971). In 2009, 18 states reached program highs in average weekly initial claims for the month of January - Arizona, Florida, Georgia, Idaho, Iowa, Kentucky, Michigan, Montana, New Mexico, New York, Oregon, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, and West Virginia. Forty-eight states registered over-the-year increases in average weekly initial claims associated with mass layoffs, led by Michigan (+3,540), Pennsylvania (+3,520), and Ohio (+3,256).