Internet address:  http://stats.bls.gov/newsrels.htm
Technical information:  (202) 606-6396  USDL 99-01


                                        For release: 10:00 A.M. EST
Media contact:                606-5902  Wednesday, January 6, 1999


                       MASS LAYOFFS IN OCTOBER 1998


   In October 1998, there were 1,554 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 160,888.  The
number of layoff events and initial claimants for unemployment insurance
were higher this October than in October 1997.  The total of layoff events
from January through October 1998, at 12,762, was about the same as in the
prior year (12,170), while the total number of initial claimants, at
1,419,165, was higher (1,270,463).  (See table 1.)
   
   The monthly series in this release covers 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 establish-
ment and on the demographics of the laid-off workers.  See the Technical
Note for more detailed definitions.
   
   Because the 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.  For
example, 3,475 layoff events involving 419,391 initial claimants for
unemployment insurance occurred in July, August, and September of 1998
combined.  The third-quarter 1998 figures for mass layoffs lasting more
than 30 days, however, were 1,215 events and 201,522 claimants.  Thirty-
five percent of all mass layoffs in the July-September  period lasted for
more than a month.  (See table 1.)  In all quarters for which data are
available, the proportion of mass layoffs that became "extended" mass
layoffs varied from about 31 to 47 percent.
   
Industry Distribution
   
   In October 1998, manufacturing industries accounted for 32 percent of
all mass layoff events and 37 percent of the initial claims filed.
Manufacturing industries that had the highest numbers of initial claimants
were food products (11,643), primarily in canned and frozen fruits and
vegetables; industrial machinery and equipment (8,631), mostly in
refrigeration and heating equipment;  and apparel and other textile
products (7,971), particularly in men's and boys' work clothing.
(See table 3.)
   
   In nonmanufacturing industries, services accounted for 22 percent of
all mass layoff events and 23 percent of all initial claims filed.  The
layoffs were predominantly in business services (particularly in help

                                  - 2 -

supply services) and motion pictures (mostly in motion pictures and video
production).  Layoffs in help supply services and the motion picture
industry are more likely than those in other industries to last less than
30 days.  Agriculture accounted for 17 percent of layoff events and 14
percent of initial claimants during the month, primarily in farm labor
contracting.  Retail trade contributed 9 percent to both layoff events and
initial claimants during the month, largely in general merchandise stores.
   
   Compared with October 1997, the largest increases in initial claims
occurred in agricultural production crops  (4,107), industrial machinery
and equipment  (3,949), and business services (3,660).  The largest  over-
the-year decreases in initial claims occurred in transportation equipment
(-4,599) and motion pictures (-3,769).
   
State Distribution
   
   Among the 50 states and the District of Columbia reporting data for
October, California had the largest number of initial claims filed in mass
layoff events (75,041), primarily in business services, followed by Texas
(13,992) and Pennsylvania (12,506).  These three states accounted for
about 65 percent of all layoff events and 63  percent of all initial
claims.  (See table 2.)
   
   From October 1997 to October 1998, California  reported the largest
over-the-year rise in initial claims (12,217), primarily in business
services, followed by Texas (7,579).  Maryland had the largest over-the-
year decline in initial claims (-2,814), mostly in transportation
equipment.
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: 202-606-STAT; TDD
phone: 202-606-5897; TDD message referral phone number:  1-800-326-2577.
 
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 1996 to
October 1998
 
                                                           Extended mass layoffs         
            Date                                         lasting more than 30 days      
                                  Total mass layoffs                                    Event                          
                                                                                      realization 
                                 Events        Initial        Events      Initial       rate(1)
                                              claimants                  claimants
                                       
              1996

 October ......................   1,289         131,850     
 November .....................   1,433         130,774     
 December .....................   1,824         204,123     

 Fourth quarter ...............   4,546         466,747        1,915     (r)384,429       42.1       
              
              1997              

 January ......................   2,139         212,860     
 February .....................     755          63,352     
 March ........................     783          84,069     

 First quarter ................   3,677         360,281        1,317     (r)253,209       35.8     

 April ........................   1,269         152,168     
 May ..........................   1,152         101,476     
 June .........................   1,238         121,256     

 Second quarter ...............   3,659         374,900        1,574     (r)320,265       43.0     

 July .........................   1,899         237,410     
 August .......................     973          99,513     
 September ....................     548          59,062     

 Third quarter ................   3,420         395,985        1,077     (r)216,844       31.5     

 October ......................   1,414         139,297     
 November .....................   1,156         100,051     
 December .....................   1,634         172,029     

 Fourth quarter ...............   4,204         411,377        1,677     (r)313,556       39.9     

              1998              

 January ......................   2,360         255,203     
 February .....................     970          81,455     
 March ........................     762          78,210     

 First quarter ................   4,092         414,868     (r)1,299     (r)243,155    (r)31.7     

 April ........................   1,253         132,476     
 May ..........................   1,180         107,952     
 June .........................   1,208         183,590     

 Second quarter ...............   3,641         424,018     (r)1,554     (r)400,579    (r)42.7     

 July .........................(r)2,221      (r)286,097     
 August .......................  (r)617       (r)53,665     
 September ....................  (r)637       (r)79,629

 Third quarter ................   3,475         419,391     (p)1,215     (p)201,522       35.0     
 
 October ......................   1,554         160,888     


   1 The event realization rate is the percentage of total mass layoff events lasting more than 30 days.             
   r = revised.            
   p = preliminary.
 Table 2. State distribution: Mass layoff events and initial claimants for unemployment 
 insurance, October 1997 and October 1998
                                                             Initial claimants for
                                    Mass layoff events       unemployment insurance                                                             
              State

                                 October      October       October         October
                                  1997         1998          1997            1998

    Total(1) ................... 1,414        1,554         139,297         160,888     

 Alabama .......................     3           13             205           1,492     
 Alaska ........................     5            6             376             458     
 Arizona .......................     7            5             603             528     
 Arkansas ......................    16           10           1,715           1,272     
 California ....................   698          776          62,824          75,041     
 Colorado ......................    12            8           1,623             690     
 Connecticut ................... ( 2 )        ( 2 )           ( 2 )           ( 2 )
 Delaware ......................     -        ( 2 )               -           ( 2 )
 District of Columbia .......... ( 2 )            -           ( 2 )               -
 Florida .......................    63           41           3,963           3,428     
 Georgia .......................    10           15             763           1,625     
 Hawaii ........................ ( 2 )        ( 2 )           ( 2 )           ( 2 )
 Idaho .........................     8           11           1,634             817
     
 Illinois ......................    35           30           3,186           2,527     
 Indiana .......................    13           14           1,091           1,153     
 Iowa ..........................    16            3           1,266             191     
 Kansas ........................     6            4             414             517     
 Kentucky ......................     8            6             889             816     
 Louisiana .....................    12            6           1,219             437     
 Maine .........................     -            3               -             215     
 Maryland ......................    10            6           3,269             455     
 Massachusetts .................     3           20             181           1,691     
 Michigan ......................    13            8           1,018             566     
 Minnesota .....................    12           10           1,164           1,025     
 Mississippi ...................     3           17             248           2,578     
 Missouri ......................    20           16           1,950           1,898     

 Montana ....................... ( 2 )            6           ( 2 )             612     
 Nebraska ......................     -            -               -               -
 Nevada ........................     6        ( 2 )             421           ( 2 )     
 New Hampshire ................. ( 2 )        ( 2 )           ( 2 )           ( 2 )
 New Jersey ....................    19           27           1,924           2,471     
 New Mexico .................... ( 2 )            3           ( 2 )             233     
 New York ......................    41           31           4,561           3,674     
 North Carolina ................     6           13             612           1,121     
 North Dakota ..................     -            -               -               -
 Ohio ..........................    40           43           7,351           5,330     
 Oklahoma ......................     4            5             979           1,007     
 Oregon ........................    15           16           1,256           1,136     
 Pennsylvania ..................   145          134          13,687          12,506     

 Rhode Island .................. ( 2 )            3           ( 2 )             209     
 South Carolina ................     4           26             259           3,838     
 South Dakota ..................     -            -               -               -
 Tennessee .....................    21            7           1,673             602     
 Texas .........................    42          103           6,413          13,992     
 Utah .......................... ( 2 )        ( 2 )           ( 2 )           ( 2 )
 Vermont .......................     -            -               -               -
 Virginia ......................    23           25           2,141           4,712     
 Washington ....................    16           20           1,425           1,780     
 West Virginia ................. ( 2 )        ( 2 )           ( 2 )           ( 2 )
 Wisconsin .....................    44           52           5,578           6,789     
 Wyoming .......................     -            -               -               -

 Puerto Rico ...................    14           68           1,487           8,388    

    1  Data were reported by all states and the District of Columbia.
    2  Data do not meet BLS or state agency disclosure standards.
    NOTE:  Data for total mass layoff events and initial claimants for unemployment insurance
have been revised for October 1997 due to the inclusion of new data for Louisiana and Oklahoma.
Dash represents zero.
        
Table 3. Industry distribution: Mass layoff events and initial claimants for unemployment insurance,
October 1997 and October 1998
                                                                                           Initial claimants for
                                                                  Mass layoff events       unemployment insurance
                                                                                           
                           Industry
                                                               October      October       October         October
                                                                1997         1998           1997            1998

      Total(1) ............................................... 1,414        1,554         139,297         160,888     

 Total, private .............................................. 1,328        1,488         130,892         154,482     

   Agriculture ...............................................   212          263          14,198          21,841     
   Nonagriculture ............................................ 1,086        1,182         113,894         127,777     
     Manufacturing ...........................................   407          497          47,478          58,826     
       Durable goods .........................................   182          257          26,033          29,913     
         Lumber and wood products ............................    25           14           2,363           1,072     
         Furniture and fixtures ..............................    11           16           1,268           1,279     
         Stone, clay, and glass products .....................     8            6             572             909     
         Primary metal industries ............................    15           30           1,919           3,080     
         Fabricated metal products ...........................    19           23           1,933           1,828     
         Industrial machinery and equipment ..................    27           56           4,682           8,631     
         Electronic and other electrical equipment ...........    22           50           2,478           5,507     
         Transportation equipment ............................    36           30           9,404           4,805     
         Instruments and related products ....................    10           17             741           1,323     
         Miscellaneous manufacturing industries ..............     9           15             673           1,479     

       Nondurable goods ......................................   225          240          21,445          28,913     
         Food and kindred products ...........................   112          106          11,080          11,643     
         Tobacco products ....................................     -        ( 2 )               -           ( 2 )
         Textile mill products ...............................    15           25           1,582           4,286     
         Apparel and other textile products ..................    52           61           5,510           7,971     
         Paper and allied products ...........................    12            8             816           1,134     
         Printing and publishing .............................    12           11             779             806     
         Chemicals and allied products ....................... ( 2 )            9           ( 2 )           1,203     
         Petroleum and coal products ......................... ( 2 )        ( 2 )           ( 2 )           ( 2 )
         Rubber and miscellaneous plastics products ..........    12           12             811           1,244     
         Leather and leather products ........................     6            4             587             289     

     Nonmanufacturing ........................................   679          685          66,416          68,951     
       Mining ................................................     7           19             404           1,548     
       Construction ..........................................   100           99           7,300           7,618     
       Transportation and public utilities ...................    43           31           3,417           2,413     
       Wholesale and retail trade ............................   177          167          16,737          17,620     
          Wholesale trade ....................................    26           27           2,335           2,725     
          Retail trade .......................................   151          140          14,402          14,895     
       Finance, insurance, and real estate ...................    23           33           1,830           2,858     
       Services ..............................................   329          336          36,728          36,894    

   Not identified ............................................    30           43           2,800           4,864     

 Government ..................................................    86           66           8,405           6,406     
   Federal ...................................................    21           15           2,135           1,771     
   State .....................................................    23           22           2,644           2,119     
   Local .....................................................    42           29           3,626           2,516     


    1  Data were reported by all states and the District of Columbia.        
    2  Data do not meet BLS or state agency disclosure standards.          
 NOTE: Data for total mass layoff events and initial claimants for unemployment insurance
 have been revised for October 1997 due to the inclusion of new data for Louisiana and Oklahoma. Dash represents zero.