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There's a chart on page 10:

Identifying Factors behind the Decline in the U.S. Labor Force Participation Rate

http://macrothink.org/journal/index.php/ber/article/download...

As a brief summary, as of 2012 the decline in labor force participation rate was about 1/3 due to demographic shifts and 2/3 due to the business cycle. The paper notes it was expected to fall even further, however individual "behavior changes" caused it to not fall as far.

Most of it was due to "business cycle"?

What does that mean?

The recession triggered changes in organiztion structure accross a wide variety of areas. This led to re-negotiation or termination of previously existing employment contracts. When there is a market failure to re-negotiate such contracts on mutualy agreeable terms, the parties are no longer in an employee/employer relationship. The parties are not in the workforce. Whether they are declared "unemployed" or not is a bit of a shambolic side debate about window dressing.

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