One of the harder things to do these days is to try and make sense of all the contradictory statements and data.
Earlier this week, we found out that mass layoff actions were up sharply in August. But today we found out that unemployment claims have been trending down for months. Which is right? Can they both be right?
First, the mass layoff data:
Employers took 2,690 mass layoff actions in August that resulted in the separation of 259,307 workers, seasonally adjusted, as measured by new filings for unemployment insurance benefits during the month, the U.S. Bureau of Labor Statistics reported today. Each action involved at least 50 persons from a single employer.
The number of mass layoff events in August increased by 533 from the prior month, and the number of associated initial claims increased by 52,516. Over the year, the number of mass layoff events increased by 803, and associated initial claims increased by 70,356.
Year-to-date mass layoff events (21,184) and initial claims (2,162,202) both recorded program highs through August. In August, 900 mass layoff events were reported in the manufacturing sector, seasonally adjusted, resulting in 93,892 initial claims. Over the month, the number of manufacturing events increased by 279, associated initial claims increased by 21,626.
That’s a pretty serious increase in mass layoffs over the prior month of July. It puts August in the league of both January and June.
by mainecooncat