1

Technical information: (202) 691-6392

Media contact: 691-5902

USDL 04-1329

For release: 10:00 A.M. EDT

Thursday, July 22, 2004

 http://www.bls.gov/mls/

MASS LAYOFFS IN JUNE 2004

In June 2004, employers took 1,379 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 134,588. (See table 1.) Both the number of events and initial claims were lower than a

year ago. The number of mass layoff events and the number of associated initial claims were at their lowest

levels for any June since 1999. From January through June 2004, the total number of events, at 8,114, and

of initial claims, at 795,612, were lower than in January-June 2003 (9,860 and 956,589, respectively).

Industry Distribution

Elementary and secondary schools, with 12,614 initial claims, and school and employee bus transportation, with 12,498 initial claims, together accounted for 19 percent of all initial claims in June. The 10 industries reporting the highest number of mass-layoff initial claims accounted for 62,767 initial claims in June,

47 percent of the total. (See table A.)

The manufacturing sector had 16 percent of all mass layoff events and 20 percent of all initial claims filed

in June—the lowest shares for any June since 1995, when the monthly series began. A year ago, manufacturing reported 23 percent of events and 26 percent of initial claims. Within manufacturing, the number of

claimants was highest in transportation equipment (9,303, mainly automotive-related), followed by food processing (2,677) and textile mills (1,957). (See table 2.)

The transportation and warehousing sector accounted for 9 percent of events and 11 percent of initial

claims filed in June, with layoffs mostly in school and employee bus transportation. Eleven percent of all

layoff events and 10 percent of initial claims filed during the month were in administrative and waste services,

mainly in temporary help services. Healthcare and social assistance accounted for 11 percent of events and

9 percent of initial claims, largely in child day care services. Accommodation and food services accounted

for 6 percent of events and 8 percent of initial claims during the month, primarily among food service

contractors. An additional 6 percent of events and initial claims were in retail trade, mostly in general

merchandise stores.

Government establishments accounted for 16 percent of events and 14 percent of initial claims filed during the month, mostly in educational services as the school year ended.
2

Table A. Industries with the largest mass-layoff initial claims in June 2004 p

Industry Initial claims

June peak

Year

Initial claims

Elementary and secondary schools ........................ 2003 17,360

School and employee bus transportation .............. 2002 15,668

Temporary help services ....................................... 8,242 2000 13,815

Child day care services ......................................... 7,667 1995 8,779

Food service contractors ....................................... 6,289 1999 6,410

Motion picture and video production .................... 4,480 2000 9,435

Automobile manufacturing ...................................... 3,982 1998 41,501

Other individual and family services ....................... 2,637 2004 2,637

Discount department stores ................................... 2,258 2004 2,258

Executive and legislative offices ............................. 2,100 2003 2,224

p=preliminary.

 12,498

12,614

Compared with June 2003, the largest decreases in initial claims were reported in educational services

(-5,103), food processing (-3,152), and plastics and rubber products manufacturing (-2,873). The largest

over-the-year increases in initial claims were reported in transportation equipment manufacturing (+2,936)

and social assistance (+2,525).

Geographic Distribution

Among the four regions, the highest number of initial claims in June due to mass layoffs was reported in

the West, 46,900. (See table 3.) Educational services and administrative and support services accounted

for 34 percent of all initial claims in that region during the month. The South region was next, with 31,374

initial claims, followed closely by the Midwest, with 31,267, and the Northeast, with 25,047.

The number of initial claimants in mass layoffs declined over the year in all four regions. The largest

decrease was in the South (-9,645), followed by the West (-6,782). 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 East South Central (-5,793) and Pacific (-4,934) divisions.

Among the states, California recorded the highest number of initial claims filed in mass layoff events in

June (39,179), mostly in educational services and administrative and support services. New Jersey reported

9,167 initial claims, followed by Pennsylvania (7,586), Ohio (6,755), and Florida (6,466). These five states

accounted for 52 percent of all layoff events and 51 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 (-3,739), followed

by Texas (-3,402) and Alabama (-3,303). The largest over-the-year increase occurred in South Carolina

(+2,399).

From January to June, California reported 210,628 mass layoff initial claims, 26 percent of the national

total. The states with the next largest number of claims over this period were New York (56,874), Pennsylvania (45,461), and Ohio (39,349).
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 Extended Mass Layoffs in the Second Quarter of 2004 is scheduled to be released on

Thursday, August 26, 2004. The report on Mass Layoffs in July 2004 is scheduled to be released on

Tuesday, August 31, 2004.
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, April 2002 to June 2004

Extended mass layoffs 

lasting more than 30 days Realization rates1

Events Initial

claimants Events Initial

claimants Events Initial

claimants Events Initial

claimants

2002

April .................................................... 1,506 165,814 1,378 153,216 

May .................................................... 1,723 179,799 1,571 166,801 

June ................................................... 1,584 162,189 1,266 136,424 

Second Quarter .................................. 4,813 507,802 4,215 456,441 1,624 299,598 38.5 65.6 

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 1,502 297,607 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 1,799 348,890 41.4 79.0 

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 1,190 227,568 31.9 56.2 

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 1,690 325,765 39.4 73.4 

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 2.p 1,204 2,p 165,272 p30.8 p42.9

April .................................................... 1,458 157,314 1,316 142,657 

May

p

 ................................................... 988 87,501 878 78,786 

Junep

................................................... 1,379 134,588 1,077 110,804 

Second Quarterp

 ............................... 3,825 379,403 3,271 332,247 

 1 The event realization rate is the percentage of all private nonfarm data on these layoffs become available. Experience suggests that the 

mass layoff events lasting more than 30 days. The initial claimant realization number of extended mass layoff events is generally revised upwards 

rate is the percentage of all private nonfarm mass layoff initial claimants by less than 10 percent and the number of initial claimants associated 

associated with layoffs lasting more than 30 days. with such events increases by 25-40 percent. 

 2

 These quarterly numbers are provisional and will be revised as more p = preliminary.

Mass layoffs Total mass layoffs

Private nonfarm

Date
Table 2. Industry distribution: Mass layoff events and initial claimants for unemployment insurance

Industry

Mass layoff events Initial claimants for

unemployment insurance

June April May June June April May June

2003 2004 2004p 2004p 2003 2004 2004p 2004p

 Total1 .................................................................... 1,691 1,458 988 1,379 157,552 157,314 87,501 134,588 

Total, private ............................................................... 1,397 1,396 915 1,156 132,185 149,806 81,381 115,626 

 Agriculture, forestry, fishing and hunting ................ 61 80 37 79 4,442 7,149 2,595 4,822 

 Total, private nonfarm.............................................. 1,336 1,316 878 1,077 127,743 142,657 78,786 110,804 

 Mining ..................................................................... 4 ( 2 ) ( 2 ) ( 2 ) 591 ( 2 ) ( 2 ) ( 2 )

 Utilities .................................................................... 3 ( 2 ) ( 2 ) ( 2 ) 315 ( 2 ) ( 2 ) ( 2 )

 Construction ........................................................... 95 149 76 77 6,238 11,904 5,424 4,924 

 Manufacturing.......................................................... 389 343 219 222 40,845 36,172 22,141 27,307 

 Food ................................................................... 59 112 41 38 5,829 13,582 3,897 2,677 

 Beverage and tobacco products ......................... ( 2 ) 5 ( 2 ) ( 2 ) ( 2 ) 319 ( 2 ) ( 2 )

 Textile mills ......................................................... 18 8 12 9 1,970 1,091 1,099 1,957 

 Textile product mills ............................................ 10 5 13 ( 2 ) 1,581 420 2,820 ( 2 )

 Apparel ............................................................... 19 12 18 7 1,584 922 1,382 641 

 Leather and allied products ................................ 6 5 ( 2 ) 4 692 399 ( 2 ) 459 

 Wood products ................................................... 9 16 5 7 711 1,684 389 634 

 Paper .................................................................. 9 7 7 ( 2 ) 1,202 499 665 ( 2 )

 Printing and related support activities ................ 14 15 13 13 1,053 1,618 985 1,324 

 Petroleum and coal products .............................. ( 2 ) ––– ( 2 ) –––

 Chemicals ........................................................... 9 11 ( 2

 ) 11 878 677 ( 2 ) 803 

 Plastics and rubber products .............................. 19 12 8 4 3,233 936 508 360 

 Nonmetallic mineral products ............................. 10 7 ( 2 ) 4 828 452 ( 2 ) 304 

 Primary metals ................................................... 29 9 ( 2 ) 9 2,226 920 ( 2 ) 1,078 

 Fabricated metal products .................................. 23 22 9 11 1,728 2,030 660 1,464 

 Machinery ........................................................... 30 19 14 16 3,062 1,658 1,359 1,362 

 Computer and electronic products ..................... 35 17 13 11 3,464 1,375 1,081 1,418 

 Electrical equipment and appliances .................. 13 7 10 5 2,088 1,252 1,572 1,222 

 Transportation equipment .................................. 51 32 28 51 6,367 4,625 2,911 9,303 

 Furniture and related products ........................... 15 11 12 11 1,363 835 1,098 1,323 

 Miscellaneous manufacturing ............................. 6 11 5 4 572 878 376 265 

 Wholesale trade ..................................................... 25 21 11 23 1,597 1,944 819 2,142 

 Retail trade ............................................................. 100 118 91 76 9,640 12,659 7,851 7,410 

 Transportation and warehousing ............................ 135 145 40 120 15,035 20,292 3,822 14,557 

 Information ............................................................. 54 42 32 48 5,954 7,851 2,966 6,748 

 Finance and insurance ........................................... 23 31 23 22 1,730 2,594 1,944 1,502 

 Real estate and rental and leasing ......................... 7 11 ( 2 ) 4 485 1,214 ( 2 ) 231 

 Professional and technical services ....................... 36 54 44 27 3,357 6,939 4,116 3,174 

 Management of companies and enterprises .......... 4 4 4 4 725 269 232 935 

 Administrative and waste services ......................... 175 194 119 148 15,596 20,812 9,839 14,058 

 Educational services............................................... 12 4 4 11 961 374 309 692 

 Health care and social assistance .......................... 123 31 67 149 10,226 2,118 5,500 12,457 

 Arts, entertainment, and recreation ........................ 25 40 23 25 1,383 3,368 2,006 1,390 

 Accommodation and food services ........................ 83 93 82 85 9,975 10,067 8,145 10,549 

 Other services, except public administration........... 41 26 35 30 2,937 3,240 3,112 2,278 

 Unclassified ........................................................... 2 6 1 2 153 563 62 181 

Government ................................................................ 294 62 73 223 25,367 7,508 6,120 18,962 

 Federal ................................................................... 9 14 8 9 841 1,173 1,033 1,040 

 State ....................................................................... 22 11 17 18 1,699 884 1,389 1,058 

 Local ....................................................................... 263 37 48 196 22,827 5,451 3,698 16,864 

 1

 Data were reported by all states and the District of Columbia. p = preliminary.

 2

 Data do not meet BLS or state agency disclosure standards. NOTE: Dash represents zero.
Table 3. Mass layoff events and initial claimants for unemployment insurance by census region and division

Census region and division

Mass layoff events Initial claimants for

unemployment insurance

June April May June June April May June

2003 2004 2004p 2004p 2003 2004 2004p 2004p

 United States1 ..................................................... 1,691 1,458 988 1,379 157,552 157,314 87,501 134,588 

Northeast .................................................................... 275 332 128 204 29,032 40,728 11,912 25,047 

 New England .......................................................... 55 49 21 39 5,732 5,913 2,007 4,263 

 Middle Atlantic ........................................................ 220 283 107 165 23,300 34,815 9,905 20,784 

South .......................................................................... 461 292 285 337 41,019 27,553 27,666 31,374 

 South Atlantic ......................................................... 243 139 138 183 18,913 12,141 12,730 16,796 

 East South Central ................................................. 78 52 63 48 9,495 5,936 7,512 3,702 

 West South Central ................................................ 140 101 84 106 12,611 9,476 7,424 10,876 

Midwest ...................................................................... 310 275 237 300 33,819 31,619 22,294 31,267 

 East North Central .................................................. 238 235 172 234 24,398 27,755 17,057 24,316 

 West North Central ................................................. 72 40 65 66 9,421 3,864 5,237 6,951 

West ........................................................................... 645 559 338 538 53,682 57,414 25,629 46,900 

 Mountain ................................................................. 68 52 39 53 5,827 5,962 3,580 3,979 

 Pacific ..................................................................... 577 507 299 485 47,855 51,452 22,049 42,921 

 1

 See footnote 1, table 2. Carolina, South Carolina, Virginia, and West Virginia; East South Central: p

 = preliminary. Alabama, Kentucky, Mississippi, and Tennessee; West South Central: Arkansas, NOTE: The States (including the District of Columbia) that comprise Louisiana, Oklahoma, and Texas; East North Central: Illinois, Indiana, Michigan, 

the census divisions are: New England: Connecticut, Maine, Ohio, and Wisconsin; West North Central: Iowa, Kansas, Minnesota, Missouri, 

Massachusetts, New Hampshire, Rhode Island, and Vermont; Middle Nebraska, North Dakota, and South Dakota; Mountain: Arizona, Colorado, Idaho, 

Atlantic: New Jersey, New York, and Pennsylvania; South Atlantic: Montana, Nevada, New Mexico, Utah, and Wyoming; and Pacific: Alaska, 

Delaware, District of Columbia, Florida, Georgia, Maryland, North California, Hawaii, Oregon, and Washington.

 
Table 4. State distribution: Mass layoff events and initial claimants for unemployment insurance

State Mass layoff events Initial claimants for

unemployment insurance

June April May June June April May June

2003 2004 2004p 2004p 2003 2004 2004p 2004p

 Total1 ....................................................................... 1,691 1,458 988 1,379 157,552 157,314 87,501 134,588 

Alabama ..................................................................... 21 15 11 8 3,882 2,051 2,586 579 

Alaska ......................................................................... 4 5 ( 2 ) 4 439 633 ( 2 ) 256 

Arizona ....................................................................... 17 20 14 17 1,282 3,177 1,438 1,307 

Arkansas .................................................................... 9 6 7 6 653 513 525 440 

California .................................................................... 526 440 272 438 42,918 44,311 20,148 39,179 

Colorado ..................................................................... 11 9 5 5 884 973 502 431 

Connecticut ................................................................ 9 6 5 10 1,296 513 327 1,117 

Delaware .................................................................... 4 3 – 4 266 165 – 801 

District of Columbia .................................................... ( 2 ) – – ( 2 ) ( 2 ) – – ( 2 )

Florida ........................................................................ 117 69 67 93 8,488 5,447 5,152 6,466 

Georgia ....................................................................... 43 21 25 26 3,641 2,111 2,674 2,873 

Hawaii ......................................................................... 7 7 ( 2 ) 3 525 570 ( 2 ) 205 

Idaho .......................................................................... 8 6 4 4 629 559 347 291 

Illinois ......................................................................... 44 54 48 52 4,231 7,471 5,640 5,869 

Indiana ........................................................................ 36 25 22 26 3,912 2,227 2,155 2,564 

Iowa ............................................................................ 10 8 6 13 1,186 846 515 1,417 

Kansas ....................................................................... 11 9 5 11 2,198 1,222 348 1,042 

Kentucky ..................................................................... 28 20 26 16 3,087 2,559 2,452 1,210 

Louisiana .................................................................... 28 28 21 31 2,308 2,554 1,869 2,686 

Maine .......................................................................... 6 7 ( 2 ) ( 2 ) 388 662 ( 2 ) ( 2 )

Maryland ..................................................................... 11 9 7 6 950 906 488 480 

Massachusetts ........................................................... 32 16 11 16 3,230 1,759 1,333 1,573 

Michigan ..................................................................... 39 38 33 55 3,541 3,556 3,369 5,277 

Minnesota ................................................................... 20 5 12 20 1,898 327 959 2,258 

Mississippi .................................................................. 7 6 10 8 547 419 879 427 

Missouri ...................................................................... 25 15 27 21 3,730 1,242 2,227 2,138 

Montana ..................................................................... 8 ( 2

 ) ( 2 ) 3 528 ( 2 ) ( 2 ) 171 

Nebraska .................................................................... 4 3 8 ( 2 ) 267 227 556 ( 2 )

Nevada ....................................................................... 14 6 3 14 1,597 420 291 1,152 

New Hampshire .......................................................... ( 2 ) ( 2 ) – 4 ( 2 ) ( 2 ) – 391 

New Jersey ................................................................. 69 47 25 50 9,441 4,862 2,768 9,167 

New Mexico ................................................................ 6 4 9 5 605 346 715 268 

New York .................................................................... 46 120 40 36 4,194 19,056 3,348 4,031 

North Carolina ............................................................ 24 20 16 13 1,918 1,768 1,346 1,014 

North Dakota .............................................................. – – 4 – – – 290 –

Ohio ............................................................................ 72 51 38 61 8,361 5,811 3,305 6,755 

Oklahoma ................................................................... 13 5 4 10 1,188 425 347 2,690 

Oregon ....................................................................... 20 33 9 21 2,022 3,899 562 1,772 

Pennsylvania .............................................................. 105 116 42 79 9,665 10,897 3,789 7,586 

Rhode Island .............................................................. ( 2

 ) 8 ( 2 ) 6 ( 2 ) 1,624 ( 2 ) 992 

South Carolina ............................................................ 12 6 7 19 1,039 796 1,429 3,438 

South Dakota .............................................................. ( 2 ) – 3 – ( 2 ) – 342 –

Tennessee .................................................................. 22 11 16 16 1,979 907 1,595 1,486 

Texas .......................................................................... 90 62 52 59 8,462 5,984 4,683 5,060 

Utah ............................................................................ 4 4 ( 2 ) 5 302 248 ( 2 ) 359 

Vermont ...................................................................... ( 2 ) 10 ( 2 ) ( 2 ) ( 2 ) 1,177 ( 2 ) ( 2 )

Virginia ....................................................................... 27 10 14 17 2,189 849 1,536 1,318 

Washington ................................................................ 20 22 15 19 1,951 2,039 1,146 1,509 

West Virginia .............................................................. ( 2 ) ( 2 ) ( 2 ) 3 ( 2 ) ( 2 ) ( 2 ) 277 

Wisconsin ................................................................... 47 67 31 40 4,353 8,690 2,588 3,851 

Wyoming .................................................................... – ( 2 ) ––– ( 2 ) – –

Puerto Rico ................................................................. 8 11 4 10 702 1,147 640 896 

 1 See footnote 1, table 2. p

 = preliminary.

2

 Data do not meet BLS or state agency disclosure standards. NOTE: Dash represents zero.