Technical information:   (202) 691-6392     USDL 01-196
http://www.bls.gov/mlshome.htm
                                            For release: 10:00 A.M. EDT
Media contact:                 691-5902     Thursday, June 28, 2001

                                     
                         MASS LAYOFFS IN MAY 2001


   In May 2001, there were 1,426 mass layoff actions by employers as
measured by new filings for unemployment insurance benefits during the
month, according to data from the U.S. Department of Labor's Bureau of
Labor Statistics.  Each action involved at least 50 persons from a single
establishment, and the number of workers involved totaled 157,759.  (See
table 1.)  In January 2001 through May 2001, the total number of events, at
7,426, and initial claims, at 878,387, were higher than in January-May 2000
(5,873 and 627,520, respectively).
   
   The monthly data series in this release cover mass layoffs of 50 or more
workers beginning in a given month, regardless of the duration of the layoffs.
Information on the length of the layoff is obtained later and issued in a
quarterly release that reports on mass layoffs lasting more than 30 days
(referred to as "extended mass layoffs") and provides more information on the
industry classification and location of the establishment and on the demo-
graphics of the laid-off workers.  Because monthly figures include short-term
layoffs of 30 days or less, the sum of the figures for the 3 months in a quart-
er will be higher than the quarterly figure for mass layoffs of more than 30
days.  (See table 1.)  See the Technical Note for more detailed definitions.
   
Industry Distribution
   
   In May 2001, manufacturing industries accounted for 37 percent of all
mass layoff events and 41 percent of all initial claims filed.  A year
earlier, layoffs in manufacturing accounted for 26 percent of events and
27 percent of initial claims.  Manufacturing industries with the highest
number of initial claimants were electronic and other electrical equipment
(15,410, largely in semiconductors), transportation equipment (7,768,
mostly in motor vehicles and car bodies), and industrial machinery and
equipment (7,303, primarily in construction machinery).  (See table 2.)
   
   Services accounted for 28 percent of events and 29 percent of initial
claims filed during the month.  Layoffs in services were highly concentrated
in business services (particularly in help supply services) and motion pic-
tures.  These industries are more likely than most other industries to lay
off workers for fewer than 30 days.
   
   Eleven percent of all layoff events and 10 percent of initial claims
during the month were in retail trade, mostly in eating and drinking places
and in general merchandise stores (department stores).  Construction
accounted for 7 percent of events and 6 percent of initial claims for the
month, largely in heavy construction, except buildings and special trade
contractors.  Four percent of events and 3 percent of initial claims were
in transportation and public utilities, primarily in communications and in
transportation by air.

                                  - 2 -

   Compared with May 2000, the largest increases in initial claims were
reported in electronic and other electrical equipment (+12,643), followed
by motion pictures (+9,899) and business services (+9,508).  The largest
over-the-year decreases in initial claims occurred in agricultural production
crops (-1,285) and in social services (-904).
   
Geographic Distribution
   
   In May, the West region reported the highest number of initial claims
due to mass layoffs (59,310), largely in motion pictures and in business
services.  (See table 3.)  These two industries accounted for 38 percent of
all claimants in the West.  The Northeast region continued to report the
lowest number of mass layoff-related initial claims (21,001).
   
   The West reported the largest over-the-year increase in initial claims
(+27,020), followed by the Midwest (+18,169), the South (+12,802), and the
Northeast (+7,575).  Among the nine geographic divisions, eight reported
over-the-year increases in the number of initial claimants associated with
mass layoff events, with the largest increases reported in the Pacific,
East North Central, and South Atlantic divisions.
   
   At the state level, California reported the largest number of initial
claims filed in mass layoff events (49,009), mostly in motion pictures and
business services, followed by Texas (11,486) and Pennsylvania (10,551).
These three states accounted for 47 percent of all layoff events and 45
percent of all initial claims for unemployment insurance.  (See table 4.)
   
   Compared with a year earlier, 38 states and the District of Columbia
reported higher levels of initial claims in May 2001.  California reported
the largest increase in initial claims (+22,941), followed by Illinois
(+5,171).  Eleven states reported over-the-year decreases in initial claims
activity, led by Louisiana (-1,387).
Technical Note
 
 
 
 The Mass Layoff Statistics (MLS) program is a federal-state program that
uses a standardized, automated approach to identifying, describing, and
tracking the effects of major job cutbacks, using data from each state's
unemployment insurance database.  Each month, states report on
establishments which have at least 50 initial claims filed against them
during a consecutive 5-week period.  These establishments then are
contacted by the state agency to determine whether these separations lasted
31 days or longer, and, if so, other information concerning the layoff is
collected.  States report on layoffs lasting more than 1 month on a
quarterly basis.
 
 A given month contains an aggregation of the weekly unemployment
insurance claims filings for the Sunday through Saturday weeks in that
month.  All weeks are included for the particular month, except if the
first day of the month falls on Saturday.  In this case, the week is
included in the prior month's tabulations.  This means that some months
will contain 4 weeks and others 5 weeks, and the number of weeks in a given
month may be different from year to year.  Therefore, analysis of over-the-
month and over-the-year change should take this calendar effect into
consideration.
 
 The MLS program resumed operations in April 1995 after it had been
terminated in November 1992 due to lack of funding.  Prior to April 1995,
monthly layoff statistics were not available.
 
 Information in this release will be made available to sensory
impaired individuals upon request.  Voice phone: 202-691-5200; 
TDD message referral phone number:  1-800-877-8339.
 
Definitions
 
 Initial claimant.  A person who files any notice of unemployment to
initiate a request either for a determination of entitlement to and
eligibility for compensation, or for a subsequent period of unemployment
within a benefit year or period of eligibility.
 
 Mass layoff event.  Fifty or more initial claims for unemployment
insurance benefits filed against an establishment during a 5-week period,
regardless of duration.
Table 1. Mass layoff events and initial claimants for unemployment insurance, April 1999 to May 2001

  
                                                          Extended mass layoffs 
                                                        lasting more than 30 days
             Date                                                                               
                              Total mass layoffs                                            Realization rates(1)
                                                                                           
                                                                                                
                                         Initial                          Initial                         Initial 
                              Events    claimants         Events         claimants         Events        claimants 


             1999

 April ......................  1,270      136,885     
 May ........................  1,032      102,738     
 June .......................  1,140      130,951     

 Second Quarter .............  3,442      370,574         1,444           242,464           42.0           65.4

 July .......................  1,741      221,334     
 August .....................    698       75,691     
 September ..................    717       75,288        

 Third Quarter ..............  3,156      372,313         1,097           189,973           34.8           51.0

 October ....................  1,098      118,938     
 November ...................  1,336      139,508     
 December ...................  1,509      162,381     

 Fourth Quarter .............  3,943      420,827         1,625           287,685           41.2           68.4

             2000

 January ....................  1,934      223,322     
 February ...................  1,045      103,898     
 March ......................    986      106,748     

 First Quarter ..............  3,965      433,968         1,331           221,534           33.6           51.0

 April ......................    924      101,359     
 May ........................    984       92,193     
 June .......................  1,597      192,025     

 Second Quarter .............  3,505      385,577         1,272           231,253           36.3           60.0

 July .......................  1,333      164,978     
 August .....................    751       97,215     
 September ..................    936      106,842     

 Third Quarter ..............  3,020      369,035         1,014           188,371           33.6           51.0

 October ....................    874      103,755     
 November ...................  1,697      216,514     
 December ...................  2,677      326,743     

 Fourth Quarter .............  5,248      647,012         2,005           375,774           38.2           58.1

             2001

 January ....................  1,522      200,343     
 February ...................  1,501      172,908     
 March ......................  1,527      171,466     

 First Quarter ..............  4,550      544,717   (2)(p)1,664     (2)(p)244,000        (p)36.6        (p)44.8

 April(r)....................  1,450      175,911     
 May(p)......................  1,426      157,759     

    1 The event realization rate is the percentage of total mass layoff events lasting more than 30 days.  The
initial claimant realization rate is the percentage of total mass-layoff initial claimants associated with 
layoffs lasting more than 30 days.                                          
    2 These quarterly numbers are provisional and will increase as more data on these layoffs become available.
Recent experience suggests that the number of extended mass layoff events is generally revised upwards by 
less than 10 percent and the number of initial claimants associated with such events increases by 25-40 
percent.
    p = preliminary.
    r = revised.
 Table 2. Industry distribution: Mass layoff events and initial claimants for unemployment insurance

                                                                                                   Initial claimants for
                                                                 Mass layoff events                unemployment insurance
                            Industry

                                                          May   March     April      May      May      March     April      May
                                                          2000  2001     2001(r)   2001(p)    2000     2001     2001(r)   2001(p)

      Total(1) ........................................   984   1,527     1,450     1,426    92,193   171,466   175,911   157,759

 Total, private .......................................   928   1,493     1,418     1,393    86,882   168,095   172,341   154,549

   Agriculture ........................................    83     120        62        68     5,356     9,868     6,043     4,714
   Nonagriculture .....................................   825   1,358     1,353     1,312    78,439   156,466   165,718   148,406
     Manufacturing ....................................   253     659       603       528    25,160    86,789    77,836    65,317
       Durable goods ..................................   124     418       398       334    14,006    60,439    54,349    44,279
         Lumber and wood products .....................    18      40        27        12     1,668     3,577     2,663     1,125
         Furniture and fixtures .......................    10      26        18        23       966     2,610     2,044     2,566
         Stone, clay, and glass products ..............     4      15        17        13       546       985     1,666     1,695
         Primary metal industries .....................     9      49        40        23       656     7,502     5,930     3,439
         Fabricated metal products ....................    11      47        45        34     1,338     4,958     4,391     3,724
         Industrial machinery and equipment ...........    16      69        79        61     1,285     8,838    11,511     7,303
         Electronic and other electrical equipment ....    16      86        89       114     2,767    14,473    11,552    15,410
         Transportation equipment .....................    25      62        63        38     3,148    15,216    12,583     7,768
         Instruments and related products .............     6      14        16         9       541     1,414     1,407       706
         Miscellaneous manufacturing industries .......     9      10         4         7     1,091       866       602       543

       Nondurable goods ...............................   129     241       205       194    11,154    26,350    23,487    21,038
         Food and kindred products ....................    58      80        66        66     5,009     7,565     7,320     6,523
         Tobacco products .............................     -   ( 2 )         -         3         -     ( 2 )         -       235
         Textile mill products ........................     6      34        28        26       536     4,732     4,887     3,344
         Apparel and other textile products ...........    35      35        33        29     2,929     4,706     2,972     3,180
         Paper and allied products ....................     9      13        25        10     1,001     1,721     2,971     1,248
         Printing and publishing ......................     9      14        11        27       754       949       921     3,024
         Chemicals and allied products ................ ( 2 )       7        12         8     ( 2 )       732       910       908
         Petroleum and coal products ..................     -   ( 2 )     ( 2 )         -        -      ( 2 )     ( 2 )         -
         Rubber and miscellaneous plastics products ...     8      48        24        22       628     4,629     2,907     2,160
         Leather and leather products ................. ( 2 )       6     ( 2 )         3     ( 2 )       616     ( 2 )       416

     Nonmanufacturing .................................   572     699       750       784    53,279    69,677    87,882    83,089
       Mining .........................................     5   ( 2 )         4         3       409     ( 2 )       266       488
       Construction ...................................    77     140        70       105     6,394    10,499     6,002     9,483
       Transportation and public utilities ............    33      76       111        53     4,185     7,446    11,950     4,907
       Wholesale and retail trade .....................   146     173       172       190    14,841    18,917    18,026    18,823
          Wholesale trade .............................    28      26        24        31     2,311     2,214     2,156     2,614
          Retail trade ................................   118     147       148       159    12,530    16,703    15,870    16,209
       Finance, insurance, and real estate ............    30   ( 2 )        25        34     2,211     ( 2 )     2,094     2,910
       Services .......................................   281     280       368       399    25,239    30,360    49,544    46,478

   Not identified .....................................    20      15         3        13     3,087     1,761       580     1,429

 Government ...........................................    56      34        32        33     5,311     3,371     3,570     3,210
   Federal ............................................    15       7         9         7     1,977     1,136     1,069       720
   State ..............................................     8      17         5         9       930     1,508       778       996
   Local ..............................................    33      10        18        17     2,404       727     1,723     1,494

   1 Data were reported by all states and the District of Columbia.                                  
   2 Data do not meet BLS or state agency disclosure standards.                                      
   p = preliminary. 
   r = revised. 
   NOTE: Dash represents zero. 
Table 3. Mass layoff events and initial claimants for unemployment insurance by census region and division
                                                                                          
                                              Mass layoff events                           Initial claimants for
                                                                                           unemployment insurance
  Census region and division


                                    May      March      April       May         May         March        April         May
                                    2000     2001      2001(r)    2001(p)       2000        2001        2001(r)      2001(p)

         United States(1) ......    984      1,527      1,450      1,426       92,193      171,466      175,911      157,759

 Northeast ...................      140        194        244        192       13,426       20,783       25,656       21,001

     New England .............       25         33         69         59        2,297        3,200        7,487        5,545
     Middle Atlantic .........      115        161        175        133       11,129       17,583       18,169       15,456

 South .......................      234        317        305        345       25,693       39,088       32,516       38,495

     South Atlantic ..........       85        148        131        171        9,702       16,715       15,156       17,312
     East South Central ......       49         67         71         57        6,205        8,295        6,678        5,783
     West South Central ......      100        102        103        117        9,786       14,078       10,682       15,400

 Midwest .....................      187        368        361        304       20,784       48,470       52,177       38,953

     East North Central ......      133        292        288        220       14,752       39,620       41,160       29,057
     West North Central ......       54         76         73         84        6,032        8,850       11,017        9,896

 West ........................      423        648        540        585       32,290       63,125       65,562       59,310

     Mountain ................       31         64         66         47        3,211        6,422        7,439        4,972
     Pacific .................      392        584        474        538       29,079       56,703       58,123       54,338

      1 See footnote 1, table 2. 
      p = preliminary. 
      r = revised.
      NOTE:  The States (including the District of Columbia) that comprise the census divisions are: New England: Connecticut, 
      Maine, Massachusetts, New Hampshire, Rhode Island, and Vermont; Middle Atlantic: New Jersey, New York, and Pennsylvania;
      South Atlantic: Delaware, District of Columbia, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia, 
      and West Virginia; East South Central: Alabama, Kentucky, Mississippi, and Tennessee; West South Central: Arkansas, 
      Louisiana, Oklahoma, and Texas; East North Central: Illinois, Indiana, Michigan, Ohio, and Wisconsin; West North Central:
      Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, and South Dakota; Mountain: Arizona, Colorado, Idaho, Montana,
      Nevada, New Mexico, Utah, and Wyoming; and Pacific: Alaska, California, Hawaii, Oregon, and Washington.  
 Table 4. State distribution: Mass layoff events and initial claimants for unemployment insurance

                                                                                         Initial claimants for
                                           Mass layoff events                            unemployment insurance

              State       

                                  May       March      April       May         May         March        April         May
                                  2000      2001      2001(r)    2001(p)       2000        2001        2001(r)      2001(p)

    Total(1)..................     984      1,527      1,450      1,426       92,193      171,466      175,911      157,759

 Alabama .....................      20         10          9         15        2,065        1,075        1,020        1,568
 Alaska ......................       -          -          4      ( 2 )            -            -          404        ( 2 )
 Arizona .....................       6         20         21         11          917        2,136        2,848        1,200
 Arkansas ....................       6          3          9          7          613          316        1,104          533
 California ..................     358        522        413        488       26,068       48,576       51,022       49,009
 Colorado ....................       7          5         13         12          669          460        1,234        1,294
 Connecticut .................       5          3          6         13          473          172          511        1,039
 Delaware ....................   ( 2 )      ( 2 )          -      ( 2 )        ( 2 )        ( 2 )            -        ( 2 )
 District of Columbia ........   ( 2 )      ( 2 )          -      ( 2 )        ( 2 )        ( 2 )            -        ( 2 )
 Florida .....................      38         59         43         65        3,508        5,160        3,553        5,328
 Georgia .....................       9          8         14         15          951          646        1,207        2,044
 Hawaii ......................   ( 2 )          3          5          3        ( 2 )          253          421          233
 Idaho .......................       7         13         10          7          639        1,396          802        1,031

 Illinois ....................      35         54         54         55        4,061        7,940        9,785        9,232
 Indiana .....................      11         30         26         24        1,947        6,469        2,995        2,311
 Iowa ........................       8         16         25         15          864        2,561        5,971        1,739
 Kansas ......................       7          7          4          6          570          600          374          730
 Kentucky ....................      11         34         31         23        2,587        5,303        3,388        2,853
 Louisiana ...................      23         13          8          6        1,807        1,176          411          420
 Maine .......................       4          3          8          5          290          392          633          498
 Maryland ....................       3          4      ( 2 )         10          291          307        ( 2 )          708
 Massachusetts ...............      10         14         28         27        1,078        1,430        2,731        2,686
 Michigan ....................      39         72         47         40        4,038        9,375        6,200        4,935
 Minnesota ...................       5         19         19         18          490        2,325        2,124        2,108
 Mississippi .................      11          8         15         10          779          773        1,087          657
 Missouri ....................      29         31         19         38        3,665        3,086        2,109        4,759

 Montana .....................       3          3          5      ( 2 )          381          215          847        ( 2 )
 Nebraska ....................   ( 2 )          -          3          -        ( 2 )            -          240            -
 Nevada ......................       7         17          9          9          523        1,647        1,097          848
 New Hampshire ...............   ( 2 )          4         10          6        ( 2 )          339        1,370          584
 New Jersey ..................      30         21         38         28        3,325        2,086        3,790        2,797
 New Mexico ..................   ( 2 )      ( 2 )          4          3        ( 2 )        ( 2 )          304          219
 New York ....................      13         18         21         24        1,167        1,756        2,744        2,108
 North Carolina ..............      12         19         25         23        2,467        2,104        3,086        2,115
 North Dakota ................   ( 2 )          -      ( 2 )          5        ( 2 )            -        ( 2 )          284
 Ohio ........................      20         70         78         47        1,770        9,151       12,674        5,035
 Oklahoma ....................       4         10          7          9          500        1,108        1,116        2,961
 Oregon ......................      24         36         32         25        2,232        5,454        4,310        2,974
 Pennsylvania ................      72        122        116         81        6,637       13,741       11,635       10,551

 Rhode Island ................   ( 2 )          5         12      ( 2 )        ( 2 )          536        1,726        ( 2 )
 South Carolina ..............       6         32         33         33          631        5,870        5,562        4,247
 South Dakota ................       3          3      ( 2 )      ( 2 )          318          278        ( 2 )        ( 2 )
 Tennessee ...................       7         15         16          9          774        1,144        1,183          705
 Texas .......................      67         76         79         95        6,866       11,478        8,051       11,486
 Utah ........................       -          4          4          4            -          409          307          325
 Vermont .....................       3          4          5          6          277          331          516          612
 Virginia ....................      13         20         12         23        1,627        2,068        1,442        2,671
 Washington ..................       8         23         20         20          623        2,420        1,966        1,999
 West Virginia ...............   ( 2 )          3      ( 2 )          -        ( 2 )          275        ( 2 )            -
 Wisconsin ...................      28         66         83         54        2,936        6,685        9,506        7,544
 Wyoming .....................       -      ( 2 )          -          -            -        ( 2 )            -            -

 Puerto Rico .................       9          7         15          6          636          806        1,670        1,791

    1 See footnote 1, table 2.
    2 Data do not meet BLS or state agency disclosure standards. 
    p = preliminary.
    r = revised.
    NOTE: Dash represents zero.