According to the Bureau of Labor Statistics employers took 2,933 mass layoff actions involving 299,388 workers in March. These are the highest levels on record. Mass layoff events increased by 164 from February and initial claims increased by 3,911. Twenty-six states reached program highs for March in terms of average weekly initial claims.

These types of unemployment numbers are taking their toll on the state trust fund balances. As of April 23, 14 states have borrowed money from the Federal Unemployment Fund. The outstanding loan balance is currently over $9.7 billion.

Both California and Michigan have already borrowed over $2 billion each. This is the first time since 1983 that any state has borrowed over $2 billion and it’s only April.

Pat Powell