Global| Jan 25 2006Mass Layoffs Jumped in December
by:Tom Moeller
|in:Economy in Brief
Summary
Mass layoffs jumped 8.5% in December following a like rise during November. The latest was the highest level since January of 2005. For the year, the number of mass layoffs fell by 1.4%. During the last ten years there has been a [...]
Mass layoffs jumped 8.5% in December following a like rise during November. The latest was the highest level since January of 2005. For the year, the number of mass layoffs fell by 1.4%.
During the last ten years there has been a (negative) 87% correlation between the three month average level of layoff announcements and the y/y change in payroll employment.
The number of persons affected in December by mass layoffs jumped 23.8% m/m. During the latest two months layoffs in the construction industry have soared. Elsewhere by industry, the number of factory sector layoff announcements rose 10.1% (49.9% y/y) in December due to a tripling in transportation and in retail the number of affected persons doubled m/m (34.2% y/y).
The Mass Layoff Statistics (MLS) program collects reports on mass layoff actions that result in workers being separated from their jobs. Monthly mass layoff numbers are from establishments which have at least 50 initial claims for unemployment insurance (UI) filed against them during a 5-week period
| Mass Layoffs | Dec | Nov | Y/Y | 2005 | 2004 | 2003 |
|---|---|---|---|---|---|---|
| All US Industries (# Events, SA) | 1,308 | 1,205 | 10.1% | 15,662 | 15,877 | 19,155 |
| Total (# Persons, SA) | 149,565 | 120,783 | 24.0% | 1,714,433 | 1,589,446 | 1,936,463 |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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