Technical information:   (202) 691-6392       USDL 04-1831
http://www.bls.gov/mls/

                                              For release: 10:00 A.M. EDT
Media contact:                 691-5902       Thursday, September 23, 2004


                        MASS LAYOFFS IN AUGUST 2004
   
   In August 2004, employers took 809 mass layoff actions, 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 69,033.  (See table 1.)  Both the
number of events and initial claims were lower than a year ago.  It should
be noted that August 2004 contained 4 weeks for possible mass layoffs,
compared with 5 weeks in each August of the prior 3 years.  (See the Tech-
nical Note for an explanation of how the number of weeks for data collection
can vary from month to month.)  From January through August 2004, the total
number of events, at 11,017, and of initial claims, at 1,118,574, were lower
than in January-August 2003 (13,205 and 1,316,863, respectively).
   
Industry Distribution
   
   The 10 industries reporting the highest number of mass-layoff initial
claims accounted for 23,342 initial claims in August, 34 percent of the
total (See table A.)  Temporary help services, with 4,978 initial claims,
and school and employee bus transportation, with 4,718 initial claims,
together accounted for 14 percent of all initial claims in August.
   
   The manufacturing sector had 24 percent of all mass layoff events and 26
percent of all initial claims filed in August--the smallest shares for any
August since 1995, when the monthly series began.  A year ago, manufacturing
reported 32 percent of events and 39 percent of initial claims.  Within manu-
facturing, the number of claimants was highest in transportation equipment
(2,846, mainly automotive-related), followed by food processing (2,797) and
fabricated metal products (2,031).  (See table 2.)
   
   The administrative and waste services sector accounted for 15 percent of
events and initial claims filed in August, with layoffs mainly in temporary
help services.  Temporary help services, at 4,978 initial claims, accounted
for more than 7 percent of all mass layoff initial claims in August.  Twelve
percent of all layoff events and 13 percent of initial claims filed during
the month were in retail trade, primarily in general merchandise stores.
Construction accounted for 9 percent of events and 8 percent of initial claims
during the month, mainly among specialty trade contractors.  Transportation
and warehousing accounted for 6 percent of events and 7 percent of initial
claims, mostly in school and employee bus transportation.  An additional
5 percent of events and 7 percent of initial claims were from the information
sector, largely in motion picture and sound recording.
                         
                                   - 2 -                                                                              

Table A.  Industries with the largest mass-layoff initial claims in August 2004p
--------------------------------------------------------------------------------
                                            |          |     August peak
                 Industry                   | Initial  |------------------------
                                            |  claims  |  Year  | Initial claims
--------------------------------------------|----------|--------|---------------                                            |          |        |
Temporary help services.....................|  4,978   |  1999  |     11,533
School and employee bus transportation......|  4,718   |  2003  |      6,538
Motion picture and video production.........|  2.445   |  2003  |      6,812
Discount department stores..................|  2,106   |  2002  |      2,271
Professional employer organizations.........|  2,082   |  2002  |      2,855
Supermarkets and other grocery stores.......|  1,615   |  2001  |      2,357
Elementary and secondary schools............|  1,525   |  2003  |      2,020
Wired telecommunications carriers...........|  1,500   |  2000  |      2,560
Nonresidential electrical contractors.......|  1,284   |  2004  |      1,284
All other personal services.................|  1,089   |  2002  |      1,267
--------------------------------------------------------------------------------
   p=preliminary.


   Government establishments accounted for 5 percent of events and initial
claims filed during the month, mostly in elementary and secondary schools.
   
   Compared with August 2003, the largest decreases in initial claims were
reported in transportation equipment manufacturing (-6,679), administrative
and support services (-5,966), and textile mills (-5,841).  The largest
over-the-year increase in initial claims was reported in telecommunications
(+811).
   
Geographic Distribution
   
   Among the four regions, the highest number of initial claims in August
due to mass layoffs was reported in the West, 20,866.  (See table 3.)
Administrative and support services and motion picture and sound recording
industries accounted for 34 percent of all initial claims in that region
during the month.  The Northeast region was next, with 17,163 initial
claims, followed closely by the South, with 16,351, and the Midwest, with
14,653.
   
   The number of initial claimants in mass layoffs fell over the year in
each of the four regions.  The largest decrease was in the West (-26,156),
followed by the South (-18,322) and the Midwest (-16,219).  Each of the
nine geographic divisions had over-the-year decreases in the number of
initial claims associated with mass layoffs, with the largest decreases
in the Pacific (-23,175), East North Central (-13,821), and South Atlantic
(-10,281) divisions.
   
   Among the states, California recorded the highest number of initial claims
filed in mass layoff events in August (18,768), mostly in administrative and
support services and in motion picture and sound recording industries.  New
York reported 8,063 initial claims, followed by Pennsylvania (4,847) and
Florida (4,842).  These four states accounted for 56 percent of all layoff
events and 53 percent of all initial claims for unemployment insurance.
(See table 4.)
   
   California reported the largest over-the-year decrease in the number of
initial claims (-19,046), followed by North Carolina (-6,103), Illinois
(-4,638), and Ohio (-4,567).  The largest over-the-year increase occurred
in Minnesota (+392).
   
   From January to August, California reported 271,098 mass layoff initial
claims, 24 percent of the national total.  The states with the next largest
number of claims over this period were New York (74,552), Michigan
(73,486), Ohio (67,776), and Pennsylvania (61,030).

                                  - 3 -

Note
   
   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.
For private nonfarm establishments, 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").  The
quarterly release 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.


                      ______________________________


   The report on Mass Layoffs in September 2004 is scheduled to be released
on Thursday, October 21, 2004.
                                   - 4 -                                           

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 establish-
ments 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 long-
er, 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 ter-
minated 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 indi-
viduals 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, July 2002 to August 2004

                                                                                   Private nonfarm                             

                                 Total mass layoffs                              Extended mass layoffs            Realization 
             Date                                       Mass layoffs           lasting more than 30 days           rates (1)   

                                           Initial               Initial                       Initial                   Initial  
                                Events    claimants   Events    claimants        Events       claimants       Events    claimants 
             2002           

July .......................     2,042     245,294     1,819     226,892
August .....................     1,248     128,103     1,151     119,874
September ..................     1,062     124,522       957     114,736

Third Quarter ..............     4,352     497,919     3,927     461,502          1,186         254,955        30.2        55.2

October ....................     1,497     171,100     1,270     149,327
November ...................     2,153     240,171     1,860     216,237
December ...................     2,474     264,158     2,324     252,807

Fourth Quarter .............     6,124     675,429     5,454     618,371          1,916         370,592        35.1        59.9

             2003           

January ....................     2,315     225,430     2,130     210,918
February ...................     1,363     124,965     1,222     116,264
March ......................     1,207     113,026     1,099     104,468

First Quarter ..............     4,885     463,421     4,451     431,650          1,502         297,608        33.7        68.9

April ......................     1,581     161,412     1,470     152,937
May ........................     1,703     174,204     1,538     160,729
June .......................     1,691     157,552     1,336     127,743

Second Quarter .............     4,975     493,168     4,344     441,409          1,799         348,966        41.4        79.1

July .......................     2,087     226,435     1,815     206,901
August .....................     1,258     133,839     1,163     124,131
September ..................       868      82,647       756      73,914

Third Quarter ..............     4,213     442,921     3,734     404,946          1,190         227,878        31.9        56.3

October ....................     1,523     158,240     1,265     137,706
November ...................     1,438     138,543     1,234     123,524
December ...................     1,929     192,633     1,793     182,750

Fourth Quarter .............     4,890     489,416     4,292     443,980          1,690         326,261        39.4        73.5

             2004           

January ....................     2,428     239,454     2,226     220,687
February ...................       941      84,201       832      76,577
March ......................       920      92,554       847      87,782

First Quarter ..............     4,289     416,209     3,905     385,046          1,339         236,521        34.3        61.4

April ......................     1,458     157,314     1,316     142,657
May ........................       988      87,501       878      78,786
June .......................     1,379     134,588     1,077     110,804

Second Quarter .............     3,825     379,403     3,271     332,247   (2)(p) 1,233  (2)(p) 178,381     (p)37.7     (p)53.7

July(p) ....................     2,094     253,929     1,860     234,877
August(p) ..................       809      69,033       745      63,876


    1 The event realization rate is the percentage of all private nonfarm mass layoff events lasting more than 30 days. The initial
claimant realization rate is the percentage of all private nonfarm mass layoff initial claimants associated with layoffs lasting
more than 30 days. 
    2 These quarterly numbers are provisional and will be revised as more data on these layoffs become available. 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. 




Table 2. Industry distribution: Mass layoff events and initial claimants for unemployment insurance
                                                 
                                                                                                    Initial claimants for          
                                                             Mass layoff events                     unemployment insurance         
                     Industry                    

                                                    August    June     July      August     August     June       July       August
                                                     2003     2004     2004p     2004p       2003      2004       2004p      2004p 


      Total (1) .................................    1,258    1,379    2,094      809      133,839    134,588    253,929     69,033

Total, private ..................................    1,201    1,156    1,945      769      126,266    115,626    241,601     65,294

  Agriculture, forestry, fishing and hunting ....       38       79       85       24        2,135      4,822      6,724      1,418

 Total, private nonfarm .........................    1,163    1,077    1,860      745      124,131    110,804    234,877     63,876
  Mining ........................................        4    ( 2 )    ( 2 )    ( 2 )          283      ( 2 )      ( 2 )      ( 2 )
  Utilities .....................................    ( 2 )    ( 2 )        -        -        ( 2 )      ( 2 )          -          -
  Construction ..................................      114       77      119       75        7,862      4,924      8,700      5,266
  Manufacturing .................................      405      222      885      194       52,620     27,307    145,895     17,698
      Food ......................................       42       38       82       28        5,803      2,677      7,418      2,797
      Beverage and tobacco products .............    ( 2 )    ( 2 )        6        4        ( 2 )      ( 2 )        447        216
      Textile mills .............................       21        9       26       10        7,154      1,957      2,309      1,313
      Textile product mills .....................        8    ( 2 )       15    ( 2 )          739      ( 2 )      1,966      ( 2 )
      Apparel ...................................       25        7       46       12        2,255        641      5,521        898
      Leather and allied products ...............    ( 2 )        4        6    ( 2 )        ( 2 )        459        841      ( 2 )
      Wood products .............................       21        7       33        7        1,773        634      5,523        566
      Paper .....................................       13    ( 2 )    ( 2 )        3        1,083      ( 2 )      ( 2 )        193
      Printing and related support activities ...        4       13       10        6          231      1,324      1,195        447
      Petroleum and coal products ...............        -        -    ( 2 )    ( 2 )            -          -      ( 2 )      ( 2 )

      Chemicals .................................        7       11       17        3          549        803      2,032        189
      Plastics and rubber products ..............       24        4       98        9        2,203        360     13,053        614
      Nonmetallic mineral products ..............        6        4       16        4          463        304      2,242        369
      Primary metals ............................       23        9       50       10        1,988      1,078      8,177        740
      Fabricated metal products .................       32       11       62       21        2,806      1,464      6,961      2,031
      Machinery .................................       39       16       39       15        6,606      1,362      5,426      1,946
      Computer and electronic products ..........       34       11       31       12        2,675      1,418      4,012        963
      Electrical equipment and appliances .......       21        5       17        4        2,564      1,222      1,661        293
      Transportation equipment ..................       50       51      288       30        9,476      9,303     72,492      2,846
      Furniture and related products ............       21       11       23        4        2,513      1,323      2,331        394
      Miscellaneous manufacturing ...............       11        4       14        7        1,351        265      1,798        534

  Wholesale trade ...............................       18       23       30       11        1,322      2,142      2,853        749
  Retail trade ..................................       99       76      104       98        9,980      7,410     10,541      8,752
  Transportation and warehousing ................       86      120      112       52        9,025     14,557      9,522      5,130
  Information ...................................       51       48       40       37        9,114      6,748      6,778      4,909
  Finance and insurance .........................       41       22       35       29        3,113      1,502      2,438      2,117
  Real estate and rental and leasing ............        4        4       17    ( 2 )          349        231      1,580      ( 2 )
  Professional and technical services ...........       41       27       55       21        3,775      3,174      8,562      1,641
  Management of companies and enterprises .......    ( 2 )        4    ( 2 )    ( 2 )        ( 2 )        935      ( 2 )      ( 2 )
  Administrative and waste services .............      168      148      253      124       16,242     14,058     22,955     10,220
  Educational services ..........................        7       11       16        5          592        692      1,219        368
  Health care and social assistance .............       32      149       69       32        2,427     12,457      4,623      2,117
  Arts, entertainment, and recreation ...........       19       25       30        7        1,386      1,390      2,092        459
  Accommodation and food services ...............       45       85       68       41        3,228     10,549      5,100      2,581
  Other services, except public administration ..       22       30       15       12        2,234      2,278        987      1,486

  Unclassified ..................................        4        2        6        2          259        181        361         72

Government ......................................       57      223      149       40        7,573     18,962     12,328      3,739
  Federal .......................................       10        9       19        8        1,287      1,040      2,122        602
  State .........................................       16       18       24        8        1,766      1,058      2,247        800
  Local .........................................       31      196      106       24        4,520     16,864      7,959      2,337


    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.
    NOTE: 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

                              August      June       July        August     August       June        July        August
                               2003       2004       2004p       2004p       2003        2004        2004p       2004p 

      United States (1) ...    1,258      1,379      2,094        809       133,839     134,588     253,929      69,033

Northeast .................      220        204        289        166        21,272      25,047      27,200      17,163

  New England .............       25         39         35         14         2,151       4,263       2,767       1,274
  Middle Atlantic .........      195        165        254        152        19,121      20,784      24,433      15,889

South .....................      330        337        487        217        34,673      31,374      55,404      16,351

  South Atlantic ..........      164        183        225        116        18,195      16,796      23,319       7,914
  East South Central ......       68         48        151         41         8,033       3,702      20,698       3,759
  West South Central ......       98        106        111         60         8,445      10,876      11,387       4,678

Midwest ...................      239        300        706        151        30,872      31,267     118,913      14,653

  East North Central ......      199        234        604        125        25,707      24,316      99,614      11,886
  West North Central ......       40         66        102         26         5,165       6,951      19,299       2,767

West ......................      469        538        612        275        47,022      46,900      52,412      20,866

  Mountain ................       42         53         53         17         4,080       3,979       5,010       1,099
  Pacific .................      427        485        559        258        42,942      42,921      47,402      19,767


    1 See footnote 1, table 2.
    p = preliminary.
    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         

                            August       June        July        August      August       June        July        August
                             2003        2004        2004p       2004p        2003        2004        2004p       2004p 

   Total (1) ............    1,258       1,379       2,094         809       133,839     134,588     253,929      69,033

Alabama .................       24           8          48          10         3,740         579       6,033       1,080
Alaska ..................    ( 2 )           4           -       ( 2 )         ( 2 )         256           -       ( 2 )
Arizona .................       10          17          19           5           703       1,307       1,812         353
Arkansas ................    ( 2 )           6           6           3         ( 2 )         440         763         261
California ..............      383         438         504         246        37,814      39,179      41,702      18,768
Colorado ................    ( 2 )           5           3       ( 2 )         ( 2 )         431         217       ( 2 )
Connecticut .............        3          10           4           4           237       1,117         255         268
Delaware ................        3           4       ( 2 )           -           598         801       ( 2 )           -
District of Columbia ....    ( 2 )       ( 2 )           3           -         ( 2 )       ( 2 )         470           -
Florida .................       80          93          90          78         5,554       6,466       6,491       4,842
Georgia .................       20          26          27          21         2,077       2,873       2,338       1,827
Hawaii ..................    ( 2 )           3           3       ( 2 )         ( 2 )         205         214       ( 2 )
Idaho ...................       11           4          11           5         1,500         291         944         266

Illinois ................       50          52          71          30         7,996       5,869       8,625       3,358
Indiana .................       29          26          96          19         3,478       2,564      20,435       1,707
Iowa ....................       10          13          22           5         1,650       1,417       3,552         491
Kansas ..................        6          11          17           4           775       1,042       2,023         587
Kentucky ................       21          16          79          15         2,377       1,210      12,944       1,182
Louisiana ...............       17          31          22          16         1,215       2,686       1,501       1,155
Maine ...................    ( 2 )       ( 2 )       ( 2 )       ( 2 )         ( 2 )       ( 2 )       ( 2 )       ( 2 )
Maryland ................        5           6          14       ( 2 )           422         480       1,274       ( 2 )
Massachusetts ...........       15          16          19           7         1,388       1,573       1,435         678
Michigan ................       11          55         253          25         2,369       5,277      35,562       2,409
Minnesota ...............        6          20          13           7           505       2,258       1,884         897
Mississippi .............        8           8           8           6           571         427         500         613
Missouri ................       15          21          43           6         1,521       2,138      10,635         540

Montana .................        4           3           3           -           599         171         402           -
Nebraska ................        -       ( 2 )           6       ( 2 )             -       ( 2 )       1,119       ( 2 )
Nevada ..................       11          14          11           4           915       1,152       1,094         302
New Hampshire ...........        3           4           6       ( 2 )           195         391         530       ( 2 )
New Jersey ..............       33          50          46          26         2,708       9,167       4,096       2,979
New Mexico ..............        3           5       ( 2 )       ( 2 )           127         268       ( 2 )       ( 2 )
New York ................       94          36          94          73        10,633       4,031       9,615       8,063
North Carolina ..........       32          13          13           9         6,680       1,014       1,118         577
North Dakota ............    ( 2 )           -       ( 2 )       ( 2 )         ( 2 )           -       ( 2 )       ( 2 )
Ohio ....................       54          61         122          23         6,389       6,755      26,605       1,822
Oklahoma ................        6          10          10       ( 2 )           603       2,690       1,919       ( 2 )
Oregon ..................       27          21          32       ( 2 )         2,447       1,772       3,921       ( 2 )
Pennsylvania ............       68          79         114          53         5,780       7,586      10,722       4,847

Rhode Island ............    ( 2 )           6           4       ( 2 )         ( 2 )         992         381       ( 2 )
South Carolina ..........       10          19          51       ( 2 )           870       3,438       6,843       ( 2 )
South Dakota ............    ( 2 )           -           -           -         ( 2 )           -           -           -
Tennessee ...............       15          16          16          10         1,345       1,486       1,221         884
Texas ...................       74          59          73          40         6,571       5,060       7,204       3,201
Utah ....................    ( 2 )           5           5           -         ( 2 )         359         499           -
Vermont .................    ( 2 )       ( 2 )           -           -         ( 2 )       ( 2 )           -           -
Virginia ................       13          17          24           4         1,887       1,318       2,989         272
Washington ..............       14          19          20           8         1,714       1,509       1,565         753
West Virginia ...........        -           3       ( 2 )       ( 2 )             -         277       ( 2 )       ( 2 )
Wisconsin ...............       55          40          62          28         5,475       3,851       8,387       2,590
Wyoming .................        -           -           -           -             -           -           -           -

Puerto Rico .............       10          10          14           9         1,035         896       1,234         803


    1 See footnote 1, table 2.
    2 Data do not meet BLS or state agency disclosure standards. 
    p = preliminary.
    NOTE: Dash represents zero.