The U.S. Bureau of Labor Statistics (BLS) reported today that employers initiated 1,776 mass layoffs in the third quarter (July-September) of 2009, causing 277,924 workers to lose their jobs for at least 31 days.
Each layoff measured involved at least 50 workers per employer. Worker separations (job losses) were measured by initial claims for unemployment benefits.
Did you know? On 11/6/2009, Congress and President Obama authorized 14 to 20 additional weeks of extended unemployment benefits (Emergency Unemployment Compensation).
Mass layoffs reached the highest third-quarter (Q3) levels since the BLS started tracking the numbers in 1995, despite that the job-loss pace has slowed significantly in the past few months.
More specifically, mass layoffs hit Q3 highs in 9 of the 18 major industry sectors, 2 of the 4 census geographic regions and 15 states. The manufacturing industry accounted for 29 percent of the layoffs. Workers in light-truck and utility-vehicle manufacturing suffered the most unemployment among manufacturing workers, due to automaker financial woes.
Among the 4 geographic regions, the West reported the highest number of job losses from mass layoffs in Q3, followed by the Midwest. In the states, California reported the most job losses, followed by Florida, New York, Pennsylvania, Illinois, Ohio and New Jersey.
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33 percent of the employers reporting an extended mass layoff event in Q3 indicated they expected to recall at least some laid-off workers back to work, which was up slightly from 29 percent last year.
The national unemployment rate averaged 9.6 percent (not seasonally adjusted) in the third quarter of 2009, up from a “mere” 6.0 percent average a year earlier. It ranged from 9.4 to 9.8 percent during the third quarter, soaring to its highest level in 26 years.
The unemployment rate continued to soar in October, skyrocketing to 10.2 percent for the first time since April 1983.
If you’re a victim of a layoff or a reduction in work hours, then you might be eligible for unemployment benefits or extended unemployment benefits (Emergency Unemployment Compensation) through the state unemployment office. You might also be eligible to continue your employer-provided group health insurance benefits through COBRA. To look for a new job, start at the Job Search page.
The Stimulus Act (economic stimulus plan) provides a 65 percent COBRA subsidy to help eligible unemployed workers pay to continue their employer-provided health insurance coverage. It also expands and extends unemployment benefits.
For more details about third-quarter mass layoffs and job losses, read the Mass Layoffs news release from the BLS. To receive notification like this of the next quarterly mass layoffs news release, subscribe to Employee Rights Blog.
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Quarterly mass layoff numbers do not amount to the total of monthly mass layoff numbers reported by the BLS for the same quarter. That’s because the BLS counts only layoffs of 31 days or more in its quarterly report, but it counts layoffs of any duration in its monthly report. All numbers associated with mass layoffs are subject to revision by the BLS.
The mass layoffs chart pictured above was provided by the BLS.
