Technical information:   (202) 691-6392   USDL 01-317
http://www.bls.gov/mlshome.htm
                                          For release: 10:00 A.M. EDT
Media contact:                 691-5902   Wednesday, September 26, 2001

                                     
                        MASS LAYOFFS IN AUGUST 2001

   In August 2001, there were 1,474 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 163,263.  (See
table 1.)  The number of layoff events and initial claimants for unemployment
insurance were the highest for the month of August since the series began in
April 1995, due, in part, to a calendar effect.  (August 2001 contained 5
weeks that ended in the month compared with 4 weeks in each of the prior
three Augusts.)  In January-August 2001, the total number of events, at
13,089, and initial claims, at 1,564,317, were substantially higher than
in January-August 2000, at 9,554 and 1,081,738, 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
   
   In August 2001, manufacturing industries accounted for 41 percent of
all mass layoff events and 49 percent of all initial claims filed.  A year
earlier, layoffs in manufacturing accounted for 34 percent of events and 36
percent of initial claims.  Manufacturing industries with the highest number
of initial claimants were electronic and other electrical equipment (16,820,
largely in semiconductors), transportation equipment (15,357, mostly in motor
vehicles and car bodies), and industrial machinery and equipment (11,347,
primarily in refrigeration and heating equipment).  (See table 2.)  Compared
with August 2000, 18 of the 20 manufacturing industry groups had increases in
the number of initial claims.
   
   Services accounted for 24 percent of events and initial claims filed
during the month.  Layoffs in services were concentrated in business services
(particularly help supply services) and in motion pictures.  These industries,
however, are more likely than most other industries to lay off workers for
fewer than 30 days.
   
   Ten percent of all layoff events and 9 percent of initial claims during
the month were in retail trade industries, largely in general merchandise
stores (department stores).  Transportation and public utilities accounted
for 8 percent of events and 6 percent of initial claims during the month,
mostly in local and interurban passenger transit (school buses).  Construc-
tion accounted for an additional 5 percent of events and 4 percent of initial
claims, primarily in special trade contractors.
   
   Compared with August 2000, the largest increases in initial claims were
reported in electronic and other electrical equipment (+13,536), transporta-
tion equipment (+9,319), business services (+7,718), and industrial machinery
and equipment (+6,621).  The largest over-the-year decrease in initial claims
was reported in engineering and management services (-4,774).

                                  - 2 -

Geographic Distribution
   
   In August, the highest number of initial claims due to mass layoffs was
in the West--62,826, largely in business services and motion pictures.
(See table 3.)  These two industries accounted for 35 percent of all
claimants in the region.  The Northeast region continued to register the
lowest number of mass layoff-related initial claims, 24,891.
   
   Over the year, all four regions (Northeast, South, Midwest, and West)
reported increases in mass layoff events and initial claims, with the
largest increase occurring in the Midwest (+26,430).  Seven of the nine
geographic divisions had over-the-year increases in the number of initial
claims associated with mass layoffs, with the largest increases in the
Pacific and East North Central divisions.  Over-the-year declines were
reported in the New England and Mountain divisions.
   
   California had the largest number of initial claims filed in mass layoff
events, 50,343, mostly in motion pictures and in business services, followed
by Michigan, 12,914, and Pennsylvania, 12,425.  These three states accounted
for 46 percent of all layoff events and initial claims for unemployment
insurance.  (See table 4.)
   
   In August 2001, California reported the largest over-the-year increase
(+19,637) in initial claims, followed by Michigan (+11,679).  The largest
over-the-year decrease occurred in Massachusetts (-5,281).
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, July 1999 to August 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
							        
 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        1,330           221,368           33.5         51.0     
							        
 April ......................    924      101,359     	             		    
 May ........................    984       92,193     	             		    
 June .......................  1,597      192,025     	           		    
							        
 Second Quarter .............  3,505      385,577        1,271           231,471           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           188,641           33.6         51.1     
							        
 October ....................    874      103,755     	             		    
 November ...................  1,697      216,514     	             		    
 December ...................  2,677      326,743     	           		    
							        
 Fourth Quarter .............  5,248      647,012        2,005           376,024           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        1,768           335,877           38.9         61.7     
							        
 April ......................  1,450      175,911     	             		    
 May ........................  1,426      157,759     	             		    
 June .......................  2,081      250,359     	           		    
							        
 Second Quarter .............  4,957      584,029  (2)(p)1,911     (2)(p)268,809        (p)38.6      (p)46.0
							        
 July(p) ....................  2,108      272,308     	             		    
 August(p) ..................  1,474      163,263     	           		    


    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.
    
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
                                                        2000     2001   2001(p)   2001(p)       2000     2001    2001(p)   2001(p)

      Total(1) ......................................    751    2,081    2,108     1,474       97,215   250,359  272,308   163,263     

 Total, private .....................................    717    1,892    2,034     1,444       93,717   233,470  264,922   160,685     

   Agriculture ......................................     38      118       92        74        2,898     9,360    7,396     5,247     
   Nonagriculture ...................................    668    1,762    1,935     1,367       89,554   222,500  256,578   155,244     
     Manufacturing ..................................    252      745    1,144       607       35,370   116,626  167,427    79,663     
       Durable goods ................................    147      484      802       415       22,823    78,747  126,136    59,811     
         Lumber and wood products ...................     17       19       28        11        1,882     1,631    3,375       882     
         Furniture and fixtures .....................     12       44       41        30        1,853     6,237    5,962     4,102     
         Stone, clay, and glass products ............  ( 2 )       16       20         8        ( 2 )     1,788    2,796     1,233     
         Primary metal industries ...................     16       44       85        35        3,118     5,639   13,746     3,448     
         Fabricated metal products ..................     11       66      137        42        1,098     7,055   16,156     3,402     
         Industrial machinery and equipment .........     29       66      146        93        4,726     9,662   24,895    11,347     
         Electronic and other electrical equipment ..     20      115      130       119        3,284    18,636   20,502    16,820     
         Transportation equipment ...................     32       91      174        56        6,038    26,431   34,976    15,357     
         Instruments and related products ...........      5       12       21        15          380       925    2,210     2,529     
         Miscellaneous manufacturing industries .....  ( 2 )       11       20         6        ( 2 )       743    1,518       691     

       Nondurable goods .............................    105      261      342       192       12,547    37,879   41,291    19,852     
         Food and kindred products ..................     28       65       82        53        3,264     5,989    9,239     5,291     
         Tobacco products ...........................      -        -        -     ( 2 )            -         -        -     ( 2 )
         Textile mill products ......................     17       39       50        29        2,656    11,104    7,323     3,315     
         Apparel and other textile products .........     20       50       48        34        1,719     5,941    6,009     3,534     
         Paper and allied products ..................     13       16       20        16        2,019     1,766    2,436     2,876     
         Printing and publishing ....................  ( 2 )       20       16        18        ( 2 )     1,690    1,471     1,182     
         Chemicals and allied products ..............      5       12       17        11          358     1,390    2,071       910     
         Petroleum and coal products ................  ( 2 )        -    ( 2 )         -        ( 2 )         -    ( 2 )         -
         Rubber and miscellaneous plastics products .     14       54       97        21        1,822     9,588   11,586     1,860     
         Leather and leather products ...............      4        5    ( 2 )     ( 2 )          419       411    ( 2 )     ( 2 )

     Nonmanufacturing ...............................    416    1,017      791       760       54,184   105,874   89,151    75,581     
       Mining .......................................      3        4        8         7          311     1,519    1,259       514     
       Construction .................................     52       88       64        75        4,361     6,375    5,022     6,058     
       Transportation and public utilities ..........     57      146      114       111        7,311    21,002   11,387    10,272     
       Wholesale and retail trade ...................    109      230      170       181       10,594    26,030   18,352    16,742     
          Wholesale trade ...........................     14       58       48        37        1,562     5,747    5,016     2,800     
          Retail trade ..............................     95      172      122       144        9,032    20,283   13,336    13,942     
       Finance, insurance, and real estate ..........     17       33       44        31        1,649     3,059    3,409     2,667     
       Services .....................................    178      516      391       355       29,958    47,889   49,722    39,328     

   Not identified ...................................     11       12        7         3        1,265     1,610      948       194     

 Government .........................................     34      189       74        30        3,498    16,889    7,386     2,578     
   Federal ..........................................     14       17       18         5        1,646     2,870    2,020       480     
   State ............................................      7       28        7        12          916     2,419      592     1,094     
   Local ............................................     13      144       49        13          936    11,600    4,774     1,004     


   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
                                2000         2001        2001(p)     2001(p)       2000        2001        2001(p)      2001(p)

         United States(1) ...    751        2,081        2,108        1,474       97,215      250,359      272,308      163,263     

 Northeast ..................    112          299          319          224       18,394       38,111       33,490       24,891     

     New England ............     13           67           70           34        7,882        7,145        8,574        3,180     
     Middle Atlantic ........     99          232          249          190       10,512       30,966       24,916       21,711     

 South ......................    199          479          453          302       22,630       62,023       54,895       30,929     

     South Atlantic .........    110          249          236          149       12,435       34,834       28,391       14,245     
     East South Central .....     29          110           89           52        4,192       14,057       10,772        5,444     
     West South Central .....     60          120          128          101        6,003       13,132       15,732       11,240     

 Midwest ....................    139          569          763          315       18,187       87,401      116,117       44,617     

     East North Central .....    112          452          618          245       15,263       65,836       96,509       35,511     
     West North Central .....     27          117          145           70        2,924       21,565       19,608        9,106     

 West .......................    301          734          573          633       38,004       62,824       67,806       62,826     

     Mountain ...............     44           77           74           53        5,623        8,012        8,156        4,883     
     Pacific ................    257          657          499          580       32,381       54,812       59,650       57,943     


      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
                                 2000         2001       2001(p)      2001(p)       2000         2001       2001(p)      2001(p)

    Total(1) .................    751        2,081        2,108        1,474       97,215      250,359      272,308      163,263     

 Alabama .....................      7           26           13           10        1,981        2,649        1,312          678     
 Alaska ......................      -        ( 2 )            -        ( 2 )            -        ( 2 )            -        ( 2 )
 Arizona .....................      4           17           22           10          406        2,215        2,149          655     
 Arkansas ....................      5            5           13            6          356          489        1,043          854     
 California ..................    244          590          444          519       30,706       46,675       51,198       50,343     
 Colorado ....................      3           14           12            5          333        1,274        1,248          492     
 Connecticut .................  ( 2 )            8        ( 2 )            3        ( 2 )          783        ( 2 )          308     
 Delaware ....................  ( 2 )        ( 2 )            6        ( 2 )        ( 2 )        ( 2 )        1,021        ( 2 )
 District of Columbia ........      -            4            -            -            -          338            -            -
 Florida .....................     38          106           80           71        3,073        8,319        6,692        5,822     
 Georgia .....................     13           44           15           16        1,616        4,361        1,413        1,368     
 Hawaii ......................  ( 2 )        ( 2 )        ( 2 )        ( 2 )        ( 2 )        ( 2 )        ( 2 )        ( 2 )
 Idaho .......................     15           11           12            8        2,404        1,084        2,104          804     

 Illinois ....................     33           85           68           56        6,582       13,605       16,031        6,441     
 Indiana .....................     14           42           83           24        1,359        8,600       12,304        3,291     
 Iowa ........................      4           14           49           15          431        1,789        8,154        1,373     
 Kansas ......................  ( 2 )            8            9           11        ( 2 )        1,972          883        1,104     
 Kentucky ....................     12           41           52           24        1,450        7,560        7,227        3,422     
 Louisiana ...................     13           10            6            3          844          745          610          220     
 Maine .......................  ( 2 )        ( 2 )            5            3        ( 2 )        ( 2 )          586          211     
 Maryland ....................  ( 2 )            9            7        ( 2 )        ( 2 )          649          691        ( 2 )
 Massachusetts ...............      5           36           44           15        6,527        3,613        5,051        1,246     
 Michigan ....................     12          181          231           57        1,235       26,714       28,650       12,914     
 Minnesota ...................      8           38           24           11          812        6,327        2,792        1,421     
 Mississippi .................      5           15           12            3          301        1,276        1,171          182     
 Missouri ....................     13           46           57           27        1,442        9,019        6,939        4,474     

 Montana .....................      3            5            -        ( 2 )          625          355            -        ( 2 )
 Nebraska ....................      -            6            4        ( 2 )            -        1,098          434        ( 2 )
 Nevada ......................     16           17           20           23        1,533        2,067        2,095        1,958     
 New Hampshire ...............  ( 2 )            7           11            7        ( 2 )          698        1,846          840     
 New Jersey ..................     25           52           43           30        3,562        9,745        4,963        3,108     
 New Mexico ..................      -            7            5        ( 2 )            -          564          252        ( 2 )
 New York ....................     22           32           39           53        1,775        3,045        4,071        6,178     
 North Carolina ..............     26           23           28           22        2,383        2,505        3,705        1,732     
 North Dakota ................      -        ( 2 )        ( 2 )            3            -        ( 2 )        ( 2 )          430     
 Ohio ........................     28           77          127           50        2,992        9,401       23,143        6,153     
 Oklahoma ....................      3           11           14            3          209        1,355        1,720          211     
 Oregon ......................      7           32           33           33        1,252        4,572        6,336        4,986     
 Pennsylvania ................     52          148          167          107        5,175       18,176       15,882       12,425     

 Rhode Island ................      3           11            4            5          336        1,700          338          525     
 South Carolina ..............     16           39           63           26        2,242       12,225        9,790        3,583     
 South Dakota ................      -        ( 2 )            -        ( 2 )            -        ( 2 )            -        ( 2 )
 Tennessee ...................      5           28           12           15          460        2,572        1,062        1,162     
 Texas .......................     39           94           95           89        4,594       10,543       12,359        9,955     
 Utah ........................      3            6        ( 2 )            4          322          453        ( 2 )          242     
 Vermont .....................  ( 2 )        ( 2 )        ( 2 )        ( 2 )        ( 2 )        ( 2 )        ( 2 )        ( 2 )
 Virginia ....................     11           21           35           10        2,604        4,233        4,971        1,372     
 Washington ..................      5           29           20           25          322        2,944        1,928        2,337     
 West Virginia ...............      4            -        ( 2 )            -          272            -        ( 2 )            -
 Wisconsin ...................     25           67          109           58        3,095        7,516       16,381        6,712     
 Wyoming .....................      -            -            -            -            -            -            -            -

 Puerto Rico .................     10           17            8            9          879        1,816          896          862     


    1 See footnote 1, table 2.
    2 Data do not meet BLS or state agency disclosure standards. 
    p = preliminary.
    NOTE:  Dash represents zero.