Technical information:  (202) 691-6392     USDL 02-660
http://www.bls.gov/mls/

                                           For release: 10:00 A.M. EST
Media contact:                691-5902     Tuesday, November 26, 2002

                                     
                       MASS LAYOFFS IN OCTOBER 2002

   
   Employers initiated 1,497 mass layoff actions in October 2002, 
as measured by new filings for unemployment insurance benefits during 
the month, according to 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 171,088.  
(See table 1.)  Almost 10 percent of the initial claims in October 2002 
(16,548) were in the temporary help services industry.  In October 2001, 
which included the initial direct and indirect effects of the September 11
terrorist attacks, there were 1,831 mass layoff events involving 215,483
workers.  In January through October 2002, both the total number of events,
15,649, and initial claims, 1,740,828, were lower than in January-October
2001 (16,306 and 1,950,013, 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 demographics 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 quarter 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
   
   Manufacturing industries accounted for 33 percent of all mass layoff
events and 38 percent of all initial claims filed in October.  A year
earlier, layoffs in this sector accounted for 41 percent of events and 
50 percent of initial claims.  Within manufacturing, the number of ini-
tial claimants was highest in food processing (12,111, mostly in fruits 
and vegetables) and machinery (8,309, largely in construction machinery),
followed by computer and electronic products (6,926) and transportation
equipment (6,856).  (See table 2.)
   
   Fifteen percent of all layoff events and 16 percent of all initial
claims filed during the month were in administrative and waste services,
mostly in temporary help services.  Twelve percent of the events and 
9 percent of initial claims in October were from agriculture, forestry,
fishing and hunting, largely among farm labor contractors and crew leaders.
Retail trade accounted for 7 percent of events and 9 percent of initial
claims, primarily in general merchandise stores.  Construction contributed
8 percent to all events and 6 percent to all initial claims this October,
mainly from specialty trade contractors.  An additional 4 percent of events
and 5 percent of initial claims were from the information sector, mostly in
the motion picture and sound recording industries.
   
                                   - 2 -

   Government establishments accounted for 3 percent of events and of
initial claims filed during the month, particularly in elementary and
secondary schools.
   
   Compared with October 2001, the largest decreases in initial claims
were reported in transportation equipment manufacturing (-24,780), pro-
fessional and technical services (-5,522), air transportation (-5,366), 
and accommodation services (-5,365).  The largest over-the-year increase 
in initial claims was reported in agriculture and forestry support ac-
tivities (+7,179).

Geographic Distribution
   
   Among the four regions, the highest number of initial claims in October
due to mass layoffs was in the West, 77,051.  (See table 3.)  Administrative 
and support services and agricultural support activities accounted for 36 per-
cent of all initial claims in that region during the month.  The Midwest fol-
lowed with 37,561 initial claims (mainly in machinery manufacturing), then 
the South, with 35,515 (largely in administrative and support services).  The 
Northeast continued to report the lowest number of initial claims, 20,961, 
mostly in general merchandise stores.
   
   The number of initial claimants in mass layoffs declined over the year in
three of the four geographic regions.  The largest decrease occurred in the
Midwest (-31,253), largely in transportation equipment manufacturing.  Eight
of the nine geographic divisions reported over-the-year decreases in the num-
ber of initial claims associated with mass layoffs, with the largest declines 
in the East North Central (-20,261) and West North Central (-10,992) divisions.  
Only the Pacific division reported an increase (+14,049).
   
   California had the largest number of initial claims filed in mass layoff 
events this October, 65,044, mostly in administrative and support services 
and in agriculture and forestry support activities, followed by Illinois 
(8,676), Pennsylvania (8,480), and Texas (8,470).  These four states accounted 
for 55 percent of all layoff events and 53 percent of initial claims for unem-
ployment insurance.  (See table 4.)  Thus far this year, 471,121 mass layoff 
initial claims were filed in California, 27 percent of the national total.  
The states with the next largest number of claims were Texas (104,703) and 
Pennsylvania (98,206).
   
   Missouri reported the largest over-the-year decrease in initial claims
(-7,606), followed by Ohio (-6,257) and Michigan (-6,238).  The largest over-
the-year increase occurred in California (+16,728).
                      
                      ______________________________
   
   The report on Mass Layoffs in November 2002 will be issued on Tuesday,
December 24, 2002.
 
 
 
 

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, October 2000 to October 2002
                            
                                                            Extended mass layoffs 
                                Total mass layoffs        lasting more than 30 days        Realization rates(1)
             Date           

                                           Initial                        Initial                      Initial
                                Events    claimants       Events         claimants         Events     claimants
                            
             2000           

October ....................       874     103,755
November ...................     1,697     216,514
December ...................     2,677     326,743

Fourth Quarter .............     5,248     647,012         2,005          376,611           38.2         58.2

             2001           

January ....................     1,522     200,343
February ...................     1,501     172,908
March ......................     1,527     171,466

First Quarter ..............     4,550     544,717         1,765          340,210           38.8         62.5

April ......................     1,450     176,265
May ........................     1,434     159,365
June .......................     2,107     253,826

Second Quarter .............     4,991     589,456         2,072       (r)401,270           41.5         68.1

July .......................     2,117     273,807
August .....................     1,490     166,148
September ..................     1,327     160,402

Third Quarter ..............     4,934     600,357         1,815       (r)370,942           36.8      (r)61.8

October ....................     1,831     215,483
November ...................     2,721     295,956
December ...................     2,440     268,893

Fourth Quarter .............     6,992     780,332         2,698       (r)502,287           38.6      (r)64.4

             2002           

January ....................     2,146     263,821
February ...................     1,383     138,984
March ......................     1,460     161,336

First Quarter ..............     4,989     564,141      (r)1,748       (r)314,966        (r)35.0      (r)55.8

April ......................     1,507     165,861
May ........................     1,726     180,007
June .......................     1,580     161,928

Second Quarter .............     4,813     507,796      (r)1,905       (r)347,321        (r)39.6      (r)68.4

July .......................     2,041     245,211
August .....................     1,247     128,080
September(p) ...............     1,062     124,512

Third Quarter(p) ...........     4,350     497,803      (2)1,309       (2)193,385           30.1         38.8

October(p) .................     1,497     171,088


    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                    

                                                    October  August  September October     October    August    September   October
                                                     2001r    2002     2002p    2002p       2001r      2002       2002p      2002p 


     Total(1) ...................................    1,831    1,247    1,062    1,497      215,483    128,080    124,512    171,088

Total, private ..................................    1,767    1,189    1,008    1,448      209,350    122,106    118,527    165,360

  Agriculture, forestry, fishing and hunting ....       91       39       51      178        7,297      2,255      3,801     16,045
  Mining ........................................       12       10        7        8        1,524        701        513        565
  Utilities .....................................    ( 2 )    ( 2 )    ( 2 )        7        ( 2 )      ( 2 )      ( 2 )        575
  Construction ..................................      101       98       80      116        9,761      8,241      5,735      9,738
  Manufacturing .................................      742      427      351      492      107,030     48,733     43,679     64,600
      Food ......................................       65       47       39       83        7,944      5,150      4,688     12,111
      Beverage and tobacco products .............       11        5        7        8          809        405        454        477
      Textile mills .............................       24       12       17       24        4,847      1,177      3,406      4,786
      Textile product mills .....................        8    ( 2 )       13       12          681      ( 2 )      2,543      1,511
      Apparel ...................................       38       24       19       18        4,923      3,127      2,225      2,445
      Leather and allied products ...............    ( 2 )    ( 2 )        3        5        ( 2 )      ( 2 )        240        384
      Wood products .............................       26       11       12       22        2,920      1,198      1,312      2,114
      Paper .....................................       14        8        9       11        1,450        741      1,007        968
      Printing and related support activities ...       15        5        7        8        1,094        558        650        710
      Petroleum and coal products ...............    ( 2 )        -        -        5        ( 2 )          -          -        651

      Chemicals .................................       17    ( 2 )        8        8        1,548      ( 2 )        977        598
      Plastics and rubber products ..............       29       16       15       18        2,846      1,368      1,322      1,658
      Nonmetallic mineral products ..............       21       12        5       12        2,647      1,334        410        874
      Primary metals ............................       49       25       20       24        7,235      2,862      2,273      3,687
      Fabricated metal products .................       56       33       22       21        5,776      3,136      2,365      1,722
      Machinery .................................       70       50       28       47        9,164      9,197      3,657      8,309
      Computer and electronic products ..........       96       74       47       63       11,417      6,202      5,146      6,926
      Electrical equipment and appliances .......       35       23       23       25        5,370      3,082      2,679      4,879
      Transportation equipment ..................      127       50       32       49       31,580      6,665      4,984      6,856
      Furniture and related products ............       25       11       17       14        3,119        888      2,834      1,749
      Miscellaneous manufacturing ...............       11       13        8       15        1,020        931        507      1,185

  Wholesale trade ...............................       27       23       20       23        2,077      2,357      1,708      1,948
  Retail trade ..................................       97      111       93      112        9,324     11,322     10,095     15,506
  Transportation and warehousing ................       85       68       68       41       11,158      8,140     18,128      5,022
  Information ...................................       71       45       47       53        7,674      4,006      6,585      9,019
  Finance and insurance .........................       33       26       26       25        2,798      2,161      2,530      2,123
  Real estate and rental and leasing ............       21       11    ( 2 )    ( 2 )        1,528        647      ( 2 )      ( 2 )
  Professional and technical services ...........       57       47       29       42        9,047      6,455      2,811      3,525
  Management of companies and enterprises .......    ( 2 )        -    ( 2 )    ( 2 )        ( 2 )          -      ( 2 )      ( 2 )
  Administrative and waste services .............      227      179      133      224       22,995     18,192     14,255     26,896
  Educational services ..........................        4    ( 2 )        5        -          246      ( 2 )        369          -
  Health care and social assistance .............       13       27       18       28        1,031      1,738      1,299      1,902
  Arts, entertainment, and recreation ...........       24       17       19       17        2,166      1,422      2,157      1,263
  Accommodation and food services ...............      135       38       49       58       11,374      2,702      4,056      5,057
  Other services, except public administration ..        9       13    ( 2 )       14          680      1,745      ( 2 )        908

  Unclassified ..................................       13        3        1        5        1,226        737        103        369

Government ......................................       64       58       54       49        6,133      5,974      5,985      5,728
  Federal .......................................       20       15        9        9        2,151      2,056      1,703        815
  State .........................................       19       12       10       14        2,039      1,596        980      1,991
  Local .........................................       25       31       35       26        1,943      2,322      3,302      2,922

    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: Beginning with data for January 2002, the 2002 version of the North American Industry Classification System (NAICS) is
the basis for the assignment and tabulation of economic data by industry. NAICS is the product of a cooperative effort on the part
of the statistical agencies of the United States, Canada, and Mexico. Due to differences in NAICS and SIC structures, data by
industry for 2002 will not be comparable to the SIC-based data for earlier years. However, the monthly historical industry series
from April 1995 to December 2001 are available on both SIC and NAICS bases. Dash represents zero. 
 
 
 
 

Table 3. Mass layoff events and initial claimants for unemployment insurance by census region and division
                            
                                                                                       Initial claimants for            
                                           Mass layoff events                          unemployment insurance           
  Census region and division

                              October     August    September   October     October      August     September    October
                                2001       2002       2002p      2002p        2001        2002        2002p       2002p 

      United States(1) ..... (r)1,831      1,247      1,062      1,497    (r)215,483     128,080     124,512     171,088

Northeast ..................      273        195        158        181        29,900      25,178      15,981      20,961

  New England ..............       57         27         21         38         7,258       3,897       1,919       4,694
  Middle Atlantic ..........      216        168        137        143        22,642      21,281      14,062      16,267

South ......................   (r)448        308        259        304     (r)52,063      31,764      31,878      35,515

  South Atlantic ...........      238        159        129        159        24,849      13,884      16,396      17,819
  East South Central .......       64         30         51         48         7,944       3,574       5,877       6,198
  West South Central .......   (r)146        119         79         97     (r)19,270      14,306       9,605      11,498

Midwest ....................      450        251        177        293        68,814      28,016      25,437      37,561

  East North Central .......      360        186        134        238        51,022      21,208      19,904      30,761
  West North Central .......       90         65         43         55        17,792       6,808       5,533       6,800

West .......................      660        493        468        719        64,706      43,122      51,216      77,051

  Mountain .................       68         38         35         52         6,361       3,933       4,109       4,657
  Pacific ..................      592        455        433        667        58,345      39,189      47,107      72,394


    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           

                                October    August     September    October     October      August     September    October
                                 2001       2002        2002p       2002p        2001        2002        2002p       2002p 

   Total(1) ................   (r)1,831     1,247       1,062       1,497    (r)215,483     128,080     124,512     171,088

Alabama ....................        9           5          16          17         1,113         691       2,174       2,833
Alaska .....................        4       ( 2 )       ( 2 )           4           381       ( 2 )       ( 2 )         301
Arizona ....................       12           7           9          16           823         485       1,618       1,169
Arkansas ...................        5       ( 2 )           4          10           734       ( 2 )         421       1,117
California .................      516         415         376         612        48,316      34,590      39,691      65,044
Colorado ...................       16           7           6          13         1,594         573         561       1,142
Connecticut ................        6           4           4           5           366         588         262         516
Delaware ...................        8           -           -       ( 2 )           970           -           -       ( 2 )
District of Columbia .......        3           -       ( 2 )           -           350           -       ( 2 )           -
Florida ....................      119          72          55          70         9,065       5,154       4,143       4,604
Georgia ....................       16          17          16          35         1,742       1,734       4,639       3,219
Hawaii .....................       20       ( 2 )           4          10         2,130       ( 2 )         428         800
Idaho ......................       11          10           4           5         1,638       1,708         287         708

Illinois ...................       83          51          41          57        12,717       6,185       6,707       8,676
Indiana ....................       43          23          16          22         5,845       2,954       2,512       3,629
Iowa .......................       26          10           9          12         3,598         939       1,673       2,339
Kansas .....................        5          11           3           8         2,940       1,378         196         768
Kentucky ...................       28          14          16          21         4,078       2,032       1,773       2,479
Louisiana ..................    (r)20          19          12          12      (r)3,070       1,513         761         954
Maine ......................    ( 2 )           -       ( 2 )           4         ( 2 )           -       ( 2 )         680
Maryland ...................        7           8           7          10           651         898         815       1,263
Massachusetts ..............       39          17          12          21         4,612       2,132         988       2,318
Michigan ...................       88          26          14          39        10,349       2,535       1,544       4,111
Minnesota ..................       19          11           9          17         1,989       1,243       1,142       2,000
Mississippi ................       11           3           6           5         1,288         176         782         429
Missouri ...................       36          28          15          16         8,844       2,884       1,886       1,238

Montana ....................    ( 2 )           -           -           3         ( 2 )           -           -         327
Nebraska ...................    ( 2 )           4           6       ( 2 )         ( 2 )         287         583       ( 2 )
Nevada .....................       23          11          13          11         1,797         891       1,133       1,043
New Hampshire ..............        3           3           3           5         1,213         618         514         543
New Jersey .................       40          33          29          23         6,229       3,371       3,424       2,561
New Mexico .................    ( 2 )       ( 2 )       ( 2 )       ( 2 )         ( 2 )       ( 2 )       ( 2 )       ( 2 )
New York ...................       47          86          49          41         4,546      11,213       5,137       5,226
North Carolina .............       29          27          11          12         3,997       3,104       1,208       1,494
North Dakota ...............    ( 2 )       ( 2 )           -       ( 2 )         ( 2 )       ( 2 )           -       ( 2 )
Ohio .......................       73          47          34          58        13,435       5,602       5,468       7,178
Oklahoma ...................       11           5       ( 2 )           5         1,237       1,008       ( 2 )         957
Oregon .....................       30          24          30          20         5,009       2,603       3,965       3,123
Pennsylvania ...............      129          49          59          79        11,867       6,697       5,501       8,480

Rhode Island ...............        4       ( 2 )       ( 2 )       ( 2 )           464       ( 2 )       ( 2 )       ( 2 )
South Carolina .............       36          19          18          19         5,361       1,238       2,220       4,555
South Dakota ...............        -           -       ( 2 )           -             -           -       ( 2 )           -
Tennessee ..................       16           8          13           5         1,465         675       1,148         457
Texas ......................      110          93          62          70        14,229      11,660       8,280       8,470
Utah .......................        3       ( 2 )       ( 2 )       ( 2 )           307       ( 2 )       ( 2 )       ( 2 )
Vermont ....................        3       ( 2 )           -       ( 2 )           462       ( 2 )           -       ( 2 )
Virginia ...................       20          15          19           8         2,713       1,693       3,092         619
Washington .................       22          14          21          21         2,509       1,856       2,889       3,126
West Virginia ..............        -       ( 2 )       ( 2 )           3             -       ( 2 )       ( 2 )         468
Wisconsin ..................       73          39          29          62         8,676       3,932       3,673       7,167
Wyoming ....................    ( 2 )           -           -       ( 2 )         ( 2 )           -           -       ( 2 )

Puerto Rico ................       12          10           9           4         1,035         772         873         402


    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.