Mass Layoff Events Spike
In a dramatic reversal to the moderating trend from the past several months, Mass Layoff Events surged from 256,357 in June to a whopping 336,654 in July, a 31% increase, and surprisingly the second highest reading for the year since January's 388 thousand. Actual MLE increased by 21% from 2,519 to 3,054. The primary weakness was focused in the manufacturing sector, where claims jumped from 85 thousand to 154 thousand, an 81% increase.
As a reminder, the BLS defines a Mass Layoff Event as one that occurs when an
establishment has at least 50 initial unemployment compensation claims
filed against it within a five-week period and the layoff lasts longer
than 30 days.
Another indication that purported recovery in unemployment is here to stay.
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