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U.S. Mass Layoffs in March 2010
added: 2010-04-26

Employers took 1,628 mass layoff actions in March that resulted in the separation of 150,864 workers, seasonally adjusted, as measured by new filings for unemployment insurance benefits during the month, the U.S. Bureau of Labor Statistics reported.

Each action involved at least 50 persons from a single employer. The number of mass layoff events in March increased by 58 from the prior month, while the number of associated initial claims decreased by 4,854. The number of events has decreased in 5 of the last 7 months, and the number of initial claims has decreased in 6 of the last 7 months. In March, 356 mass layoff events were reported in the manufacturing sector, seasonally adjusted, resulting in 39,290 initial claims. Both figures registered their lowest levels since August 2007.

During the 28 months from December 2007 through March 2010, the total number of mass layoff events (seasonally adjusted) was 56,937, and the associated number of initial claims was 5,731,683. (December 2007 was the start of a recession as designated by the National Bureau of Economic Research.)

The national unemployment rate was 9.7 percent in March 2010, seasonally adjusted, unchanged from the prior month but up from 8.6 percent a year earlier. In March, nonfarm payroll employment increased by 162,000 over the month but was down by 2,320,000 from a year earlier.

Industry Distribution (Not Seasonally Adjusted)

The number of mass layoff events in March was 1,197 on a not seasonally adjusted basis; the number of associated initial claims was 111,727. Over the year, the number of mass layoff events decreased by 994, and associated initial claims decreased by 116,660. Fifteen of the 19 major industry sectors in the private economy reported over-the-year decreases in initial claimants, led by manufacturing (-85,002). Manufacturing also reported a program low in terms of average weekly initial claimants for the month of March.

The manufacturing sector accounted for 23 percent of all mass layoff events and 27 percent of initial claims filed in March 2010. A year earlier, manufacturing made up 43 percent of events and 50 percent of initial claims. Within manufacturing, the number of claimants in March 2010 was greatest in transportation equipment and food. Nineteen of the 21 manufacturing subsectors experienced over-the-year reductions in initial claims, led by transportation equipment (-18,884) and machinery (-15,708).

The six-digit industry with the largest number of initial claims in March 2010 was food service contractors. Of the 10 detailed industries with the largest number of mass layoff initial claims, warehouse clubs and supercenters reached a program high for the month of March. (Data begin in April 1995.)

Geographic Distribution (Not Seasonally Adjusted)

All regions and all divisions experienced over-the-year decreases in initial claims due to mass layoffs in March. Among the 4 census regions, the Midwest (-54,366) and South (-34,841) registered the largest over-the-year declines in initial claims. Of the 9 geographic divisions, the East North Central (-42,982) and the South Atlantic (-17,057) had the largest over-the-year declines in initial claims.

California recorded the highest number of initial claims in March, followed by Pennsylvania, Illinois, Texas, and New York. Forty-four states
and the District of Columbia experienced over-the-year decreases in initial claims, led by Illinois (-10,617), Ohio (-10,140), and California
(-9,950). (See table 6.) In 2010, three states and the District of Columbia reached or matched March program lows for average weekly initial claims: Delaware, North Dakota, and Wisconsin.


Source: U.S. Department of Labor

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