Technical information:   (202) 691-6392       USDL 04-1712
http://www.bls.gov/mls/                       

                                              For release: 10:00 A.M. EDT
Media contact:                 691-5902       Tuesday, August 31, 2004



                         MASS LAYOFFS IN JULY 2004


   In July 2004, employers took 2,094 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 253,929.  (See table 1.)  Both the
number of events and initial claims were higher than a year ago, with the
number of mass layoff events and the number of associated initial claims
higher than any July since 2001.  However, July 2004 contained 5 weeks for
possible mass layoffs, compared with 4 weeks in each July of the prior 4
years.  From January through July 2004, the total number of events, at
10,208, and of initial claims, at 1,049,541, were lower than in January-
July 2003 (11,947 and 1,183,024, respectively).
   
Industry Distribution
   
   The 10 industries reporting the highest number of mass-layoff initial
claims accounted for 82,562 initial claims in July, 33 percent of the
total.  (See table A.)
   
   The manufacturing sector had 42 percent of all mass layoff events and
57 percent of all initial claims filed in July.  A year ago, manufacturing
reported 45 percent of events and 60 percent of initial claims.  Within
manufacturing, the number of claimants was highest in transportation
equipment (72,492, mainly automotive-related), followed by plastics and
rubber products manufacturing (13,053) and primary metals (8,177).  (See
table 2.)
   
   The administrative and waste services sector accounted for 12 percent
of events and 9 percent of initial claims filed in July, with layoffs
mainly in temporary help services.  Temporary help services, with 13,227
initial claims, accounted for 5 percent of all initial claims in July.
Five percent of all layoff events and 4 percent of initial claims filed
during the month were in retail trade, primarily in general merchandise
stores.  Transportation and warehousing accounted for 5 percent of events
and 4 percent of initial claims, mostly in school and employee bus
transportation.  Construction accounted for an additional 6 percent of
events and 3 percent of initial claims during the month, primarily among
specialty trade contractors.
   
   Government establishments accounted for 7 percent of events and 5 percent
of initial claims filed during the month, mostly in elementary and secondary
schools.

                                  - 2 -

Table A.  Industries with the largest mass-layoff initial claims in July 2004p
------------------------------------------------------------------------------
                                          | Initial |        July peak
                Industry                  |  claims |-------------------------
                                          |         |   Year  | Initial claims
------------------------------------------|---------|---------|---------------
Temporary help services ..................| 13,227  |   1998  |     24,601
All other motor vehicle parts mfg. .......|  9,691  |   2004  |      9,691
Light truck and utility vehicle mfg. .....|  9,467  |   1997  |     14,618
All other plastics product mfg. ..........|  8,864  |   2004  |      8,864
Automobile manufacturing mfg. ............|  8,417  |   1996  |     22,644  
Motor vehicle power train components      |         |         |
  mfg. ...................................|  8,407  |   2003  |      8,905
Motor vechicle seating and interior trim  |         |         |  
  mfg. ...................................|  7,807  |   2004  |      7,807
Motor vehicle metal stamping .............|  7,061  |   2004  |      7,061
Elementary and secondary schools .........|  4,963  |   2003  |      7,069
Motion picture and video production ......|  4,658  |   1998  |     12,310
------------------------------------------------------------------------------                                          
   p=preliminary.


   Compared with July 2003, the largest increases in initial claims were
reported in transportation equipment manufacturing (+12,383), administrative
and support services (+4,657), motion picture and sound recording (+3,754),
and professional and technical services (+3,592).  The largest over-the-year
decreases in initial claims were reported in electrical equipment and ap-
pliance manufacturing (-3,784) and machinery manufacturing (-3,243).

Geographic Distribution

   Among the four regions, the highest number of initial claims in July
due to mass layoffs was reported in the Midwest, 118,913.  (See table 3.)
Transportation equipment manufacturing accounted for 48 percent of all
initial claims in that region during the month.  The South region was next,
with 55,404 initial claims, followed closely by the West, with 52,412, and
the Northeast, with 27,200.

   The number of initial claimants in mass layoffs rose over the year in
three of the four regions.  The largest increase was in the Midwest
(+17,380), followed by the West (+6,592) and the South (+6,509).  The
Northeast had the only over-the-year decline (-2,987).  Six of the
nine geographic divisions had over-the-year increases in the number of
initial claims associated with mass layoffs, with the largest increase
in the East North Central division (+20,253).  The largest over-the-year
decreases occurred in the New England (-3,381) and West North Central
(-2,873) divisions.
   
   Among the states, California recorded the highest number of initial claims
filed in mass layoff events in July (41,702), mostly in administrative and
support services and  motion picture and sound recording industries.  Michigan
reported 35,562 initial claims, followed by Ohio (26,605), and Indiana
(20,435).  These four states accounted for 47 percent of all layoff events
and 49 percent of all initial claims for unemployment insurance.
(See table 4.)
   
   Michigan reported the largest over-the-year increase in the number of
initial claims (+13,915), followed by Ohio (+9,519), Kentucky (+5,834), and
South Carolina (+5,028).  The largest over-the-year decrease occurred in
Georgia (-5,497).
   
   From January to July, California reported 252,330 mass layoff initial
claims, 24 percent of the national total.  The states with the next largest
number of claims over this period were Michigan (71,077), New York
(66,849), and Ohio (65,954).

                                  - 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 August 2004 is scheduled to be released
on Thursday, September 23, 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 July 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    (r)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    (r)348,966          41.4      (r)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    (r)227,878          31.9      (r)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    (r)326,261          39.4      (r)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      (r)1,339    (r)236,521       (r)34.3      (r)61.4

April ......................     1,458     157,314     1,316     142,657
May ........................       988      87,501       878      78,786
June(p) ....................     1,379     134,588     1,077     110,804

Second Quarter(p) ..........     3,825     379,403     3,271     332,247      (2)1,233    (2)178,381          37.7         53.7

July(p) ....................     2,094     253,929     1,860     234,877


    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. 
    r = revised. 
    p = preliminary.




Table 2. Industry distribution: Mass layoff events and initial claimants for unemployment insurance
                                                 
                                                                                                    Initial claimants for          
                                                             Mass layoff events                     unemployment insurance         
                     Industry                    

                                                     July     May      June     July        July        May       June       July  
                                                     2003     2004     2004p    2004p       2003        2004      2004p      2004p 


      Total (1) .................................    2,087      988    1,379    2,094      226,435     87,501    134,588    253,929

Total, private ..................................    1,932      915    1,156    1,945      215,170     81,381    115,626    241,601

  Agriculture, forestry, fishing and hunting ....      117       37       79       85        8,269      2,595      4,822      6,724

 Total, private nonfarm .........................    1,815      878    1,077    1,860      206,901     78,786    110,804    234,877
  Mining ........................................        7    ( 2 )    ( 2 )    ( 2 )          505      ( 2 )      ( 2 )      ( 2 )
  Utilities .....................................        -    ( 2 )    ( 2 )        -            -      ( 2 )      ( 2 )          -
  Construction ..................................       88       76       77      119        5,970      5,424      4,924      8,700
  Manufacturing .................................      946      219      222      885      136,410     22,141     27,307    145,895
      Food ......................................       74       41       38       82        6,460      3,897      2,677      7,418
      Beverage and tobacco products .............        8    ( 2 )    ( 2 )        6          614      ( 2 )      ( 2 )        447
      Textile mills .............................       27       12        9       26        2,828      1,099      1,957      2,309
      Textile product mills .....................       12       13    ( 2 )       15        1,048      2,820      ( 2 )      1,966
      Apparel ...................................       36       18        7       46        3,093      1,382        641      5,521
      Leather and allied products ...............    ( 2 )    ( 2 )        4        6        ( 2 )      ( 2 )        459        841
      Wood products .............................       31        5        7       33        3,976        389        634      5,523
      Paper .....................................       16        7    ( 2 )    ( 2 )        1,035        665      ( 2 )      ( 2 )
      Printing and related support activities ...       12       13       13       10          723        985      1,324      1,195
      Petroleum and coal products ...............    ( 2 )        -        -    ( 2 )        ( 2 )          -          -      ( 2 )

      Chemicals .................................       15    ( 2 )       11       17        1,332      ( 2 )        803      2,032
      Plastics and rubber products ..............       90        8        4       98       11,122        508        360     13,053
      Nonmetallic mineral products ..............       30    ( 2 )        4       16        3,954      ( 2 )        304      2,242
      Primary metals ............................       66    ( 2 )        9       50        8,676      ( 2 )      1,078      8,177
      Fabricated metal products .................       59        9       11       62        6,235        660      1,464      6,961
      Machinery .................................       65       14       16       39        8,669      1,359      1,362      5,426
      Computer and electronic products ..........       60       13       11       31        5,534      1,081      1,418      4,012
      Electrical equipment and appliances .......       33       10        5       17        5,445      1,572      1,222      1,661
      Transportation equipment ..................      265       28       51      288       60,173      2,911      9,303     72,492
      Furniture and related products ............       20       12       11       23        2,391      1,098      1,323      2,331
      Miscellaneous manufacturing ...............       19        5        4       14        1,648        376        265      1,798

  Wholesale trade ...............................       36       11       23       30        2,776        819      2,142      2,853
  Retail trade ..................................      108       91       76      104        9,065      7,851      7,410     10,541
  Transportation and warehousing ................       84       40      120      112        7,489      3,822     14,557      9,522
  Information ...................................       44       32       48       40        3,700      2,966      6,748      6,778
  Finance and insurance .........................       35       23       22       35        2,569      1,944      1,502      2,438
  Real estate and rental and leasing ............       11    ( 2 )        4       17          751      ( 2 )        231      1,580
  Professional and technical services ...........       53       44       27       55        4,970      4,116      3,174      8,562
  Management of companies and enterprises .......        4        4        4    ( 2 )          438        232        935      ( 2 )
  Administrative and waste services .............      212      119      148      253       18,427      9,839     14,058     22,955
  Educational services ..........................       25        4       11       16        1,714        309        692      1,219
  Health care and social assistance .............       59       67      149       69        4,048      5,500     12,457      4,623
  Arts, entertainment, and recreation ...........       27       23       25       30        2,559      2,006      1,390      2,092
  Accommodation and food services ...............       50       82       85       68        3,764      8,145     10,549      5,100
  Other services, except public administration ..       19       35       30       15        1,115      3,112      2,278        987

  Unclassified ..................................        7        1        2        6          631         62        181        361

Government ......................................      155       73      223      149       11,265      6,120     18,962     12,328
  Federal .......................................       10        8        9       19          899      1,033      1,040      2,122
  State .........................................       24       17       18       24        1,527      1,389      1,058      2,247
  Local .........................................      121       48      196      106        8,839      3,698     16,864      7,959


    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

                               July        May       June       July         July         May        June        July  
                               2003        2004      2004p      2004p        2003         2004       2004p       2004p 

      United States (1) ...    2,087        988      1,379      2,094       226,435      87,501     134,588     253,929

Northeast .................      336        128        204        289        30,187      11,912      25,047      27,200

  New England .............       69         21         39         35         6,148       2,007       4,263       2,767
  Middle Atlantic .........      267        107        165        254        24,039       9,905      20,784      24,433

South .....................      440        285        337        487        48,895      27,666      31,374      55,404

  South Atlantic ..........      200        138        183        225        22,033      12,730      16,796      23,319
  East South Central ......      128         63         48        151        14,232       7,512       3,702      20,698
  West South Central ......      112         84        106        111        12,630       7,424      10,876      11,387

Midwest ...................      697        237        300        706       101,533      22,294      31,267     118,913

  East North Central ......      589        172        234        604        79,361      17,057      24,316      99,614
  West North Central ......      108         65         66        102        22,172       5,237       6,951      19,299

West ......................      614        338        538        612        45,820      25,629      46,900      52,412

  Mountain ................       53         39         53         53         4,179       3,580       3,979       5,010
  Pacific .................      561        299        485        559        41,641      22,049      42,921      47,402


    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         

                             July        May         June        July         July         May        June        July  
                             2003        2004        2004p       2004p        2003         2004       2004p       2004p 

   Total (1) ............    2,087         988       1,379       2,094       226,435      87,501     134,588     253,929

Alabama .................       45          11           8          48         5,466       2,586         579       6,033
Alaska ..................        -       ( 2 )           4           -             -       ( 2 )         256           -
Arizona .................       20          14          17          19         1,634       1,438       1,307       1,812
Arkansas ................        8           7           6           6           621         525         440         763
California ..............      517         272         438         504        37,033      20,148      39,179      41,702
Colorado ................        7           5           5           3           478         502         431         217
Connecticut .............       12           5          10           4           833         327       1,117         255
Delaware ................        3           -           4       ( 2 )         1,430           -         801       ( 2 )
District of Columbia ....    ( 2 )           -       ( 2 )           3         ( 2 )           -       ( 2 )         470
Florida .................       76          67          93          90         5,356       5,152       6,466       6,491
Georgia .................       53          25          26          27         7,835       2,674       2,873       2,338
Hawaii ..................    ( 2 )       ( 2 )           3           3         ( 2 )       ( 2 )         205         214
Idaho ...................        9           4           4          11           957         347         291         944

Illinois ................       85          48          52          71        11,117       5,640       5,869       8,625
Indiana .................       86          22          26          96        18,688       2,155       2,564      20,435
Iowa ....................       24           6          13          22         4,674         515       1,417       3,552
Kansas ..................       14           5          11          17         1,800         348       1,042       2,023
Kentucky ................       57          26          16          79         7,110       2,452       1,210      12,944
Louisiana ...............       20          21          31          22         2,299       1,869       2,686       1,501
Maine ...................        3       ( 2 )       ( 2 )       ( 2 )           178       ( 2 )       ( 2 )       ( 2 )
Maryland ................       16           7           6          14         1,149         488         480       1,274
Massachusetts ...........       43          11          16          19         3,947       1,333       1,573       1,435
Michigan ................      190          33          55         253        21,647       3,369       5,277      35,562
Minnesota ...............       18          12          20          13         2,127         959       2,258       1,884
Mississippi .............        8          10           8           8           460         879         427         500
Missouri ................       40          27          21          43        12,137       2,227       2,138      10,635

Montana .................        3       ( 2 )           3           3           172       ( 2 )         171         402
Nebraska ................        9           8       ( 2 )           6         1,231         556       ( 2 )       1,119
Nevada ..................       10           3          14          11           694         291       1,152       1,094
New Hampshire ...........        8           -           4           6           944           -         391         530
New Jersey ..............       59          25          50          46         5,354       2,768       9,167       4,096
New Mexico ..............    ( 2 )           9           5       ( 2 )         ( 2 )         715         268       ( 2 )
New York ................       92          40          36          94         8,253       3,348       4,031       9,615
North Carolina ..........       11          16          13          13         1,298       1,346       1,014       1,118
North Dakota ............    ( 2 )           4           -       ( 2 )         ( 2 )         290           -       ( 2 )
Ohio ....................      133          38          61         122        17,086       3,305       6,755      26,605
Oklahoma ................        9           4          10          10         1,947         347       2,690       1,919
Oregon ..................       24           9          21          32         2,891         562       1,772       3,921
Pennsylvania ............      116          42          79         114        10,432       3,789       7,586      10,722

Rhode Island ............        3       ( 2 )           6           4           246       ( 2 )         992         381
South Carolina ..........       17           7          19          51         1,815       1,429       3,438       6,843
South Dakota ............    ( 2 )           3           -           -         ( 2 )         342           -           -
Tennessee ...............       18          16          16          16         1,196       1,595       1,486       1,221
Texas ...................       75          52          59          73         7,763       4,683       5,060       7,204
Utah ....................    ( 2 )       ( 2 )           5           5         ( 2 )       ( 2 )         359         499
Vermont .................        -       ( 2 )       ( 2 )           -             -       ( 2 )       ( 2 )           -
Virginia ................       21          14          17          24         2,981       1,536       1,318       2,989
Washington ..............       18          15          19          20         1,579       1,146       1,509       1,565
West Virginia ...........    ( 2 )       ( 2 )           3       ( 2 )         ( 2 )       ( 2 )         277       ( 2 )
Wisconsin ...............       95          31          40          62        10,823       2,588       3,851       8,387
Wyoming .................        -           -           -           -             -           -           -           -

Puerto Rico .............       13           4          10          14         1,116         640         896       1,234


    1 See footnote 1, table 2.
    2 Data do not meet BLS or state agency disclosure standards. 
    p = preliminary.
    NOTE: Dash represents zero.