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With the onset of the COVID-19 pandemic, the United States declared a national emergency in March 2020. Unemployment rose by 1.5 million in March, with a large increase in the number of job losers on temporary layoff—that is, those who were given a date to return to work or expected to return to work within 6 months. Before the pandemic, this group accounted for just over one-tenth of the total unemployed but expanded to more than one-fourth in March. In the months that followed, changes in the reason for unemployment reflected the evolving effects of the pandemic on the labor market.
Month | Total unemployed | New entrants | Job leavers | Persons who completed temporary jobs |
Reentrants | Permanent job losers |
On temporary layoff |
---|---|---|---|---|---|---|---|
Jan 2020 |
5,796,000 | 560,000 | 828,000 | 630,000 | 1,831,000 | 1,305,000 | 640,000 |
Feb 2020 |
5,717,000 | 512,000 | 766,000 | 638,000 | 1,798,000 | 1,298,000 | 750,000 |
Mar 2020 |
7,185,000 | 526,000 | 716,000 | 634,000 | 1,772,000 | 1,517,000 | 2,047,000 |
Apr 2020 |
23,109,000 | 423,000 | 569,000 | 586,000 | 1,506,000 | 2,029,000 | 18,047,000 |
May 2020 |
20,975,000 | 539,000 | 561,000 | 668,000 | 1,613,000 | 2,306,000 | 15,297,000 |
Jun 2020 |
17,697,000 | 557,000 | 571,000 | 821,000 | 2,334,000 | 2,856,000 | 10,606,000 |
Jul 2020 |
16,308,000 | 513,000 | 579,000 | 818,000 | 2,315,000 | 2,843,000 | 9,230,000 |
Aug 2020 |
13,542,000 | 549,000 | 595,000 | 747,000 | 2,104,000 | 3,326,000 | 6,175,000 |
Sep 2020 |
12,535,000 | 535,000 | 808,000 | 754,000 | 2,123,000 | 3,661,000 | 4,624,000 |
Oct 2020 |
11,049,000 | 526,000 | 763,000 | 834,000 | 2,017,000 | 3,620,000 | 3,231,000 |
Nov 2020 |
10,728,000 | 551,000 | 698,000 | 987,000 | 1,968,000 | 3,718,000 | 2,762,000 |
Dec 2020 |
10,736,000 | 509,000 | 743,000 | 802,000 | 2,250,000 | 3,370,000 | 3,039,000 |
Jan 2021 |
10,130,000 | 542,000 | 653,000 | 749,000 | 1,963,000 | 3,503,000 | 2,746,000 |
In April 2020, the number of unemployed people who were on temporary layoff soared by 16.0 million to 18.0 million, reflecting the effects of the pandemic and efforts to contain it. The sudden influx of people on temporary layoff in April shifted the composition of unemployment drastically, as this group grew to account for more than three-fourths of the total unemployed.
The total number of unemployed people began to decrease in May—primarily among those on temporary layoff—when economic activity in many areas resumed on a limited basis. Although the number of unemployed people who were on temporary layoff was declining, the number of permanent job losers and the number of unemployed reentrants to the labor force both increased in June.
In October, the number of permanent job losers, at 3.6 million, surpassed the number of job losers on temporary layoff (3.2 million), and permanent job losers became the largest group among the unemployed. Following a surge in the number of coronavirus cases along with efforts to contain the pandemic, the number of people on temporary layoff increased again in December before receding in January. At the beginning of 2021, those on temporary layoff accounted for about one-fourth of the unemployed, and permanent job losers represented about one-third of the unemployed.
These data are from the Current Population Survey and are seasonally adjusted. To learn more, see "The Employment Situation — January 2021." Also see “Effects of COVID-19 Pandemic on the Employment Situation News Release and Data” and more charts on employment, unemployment, and the labor force.
Bureau of Labor Statistics, U.S. Department of Labor, The Economics Daily, Temporary layoffs remain high following unprecedented surge in early 2020 at https://www.bls.gov/opub/ted/2021/temporary-layoffs-remain-high-following-unprecedented-surge-in-early-2020.htm (visited December 07, 2024).