Monday, December 31, 2012

Mass layoffs in Colorado down for third year in a row during November

Mass layoff events fell 8.9 percent to 92 events during the first eleven months of 2012 in Colorado. There were 101 mass layoff events during the same period last year. According to the November report released last week by the U.S. Bureau of Labor Statistics, there were 10 mass layoff events during November 2012 alone, which was down 37.5 percent from the 16 events reported during November of last year. Comparing the first eleven months of each year, both total mass layoffs and first time unemployment have decreased each year since 2009.

The first graph shows that monthly mass layoff events grew rapidly after November 2008 in Colorado, and have gradually declined since.




Nationally, mass layoff events increased 67.9 percent from 1,393 during November 2011 to 2,339 during November of this year.

In the year-to-date total for November in Colorado, mass layoffs have now fallen three years in a row after peaking at 164 mass layoffs during the first eleven months of 2009. The second graph shows year-to-date totals for November since 2002:



Mass layoffs were rare from 2004 through most of 2008.

Overall, the most recent mass layoffs data suggests that the employment situation continues to stabilize. New layoffs continue to lessen, but as we've seen in the most recent employment data for Colorado, job growth continues to disappoint and total employment totals remain well below 2008's peak totals.

New jobless claims

New claims for unemployment insurance in Colorado fell year over year by 26.9 percent to 992 during November 2012. There were 1358 new claims during November of last year. Nationally, new claims for unemployment insurance were up year over year, rising by 95.6 percent from November 2011 to November 2012. The third graph shows no obvious trend in recent months, however.




In year-to-date totals for new unemployment claims through November, totals are down 9.8 percent year over year in Colorado. There were 9,857 new claims during the first eleven months of 2012, compared to 8,885 new claims during the same period last year. In the year-to-date total for November, new claims for unemployment insurance have now fallen three years in a row after peaking at 14,483 claims during the first eleven months of 2009. The last graph shows year-to-date totals for November since 2002:




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 employer during a 5-week period, regardless of duration.