Michigan jobless rate edges up in October

Michigan’s seasonally adjusted unemployment rate advanced by 0.1 percentage points to 4.2 percent, according to data released Thursday by the Michigan Department of Technology, Management & Budget. Statewide employment receded by 10,000, while total unemployment increased by 4,000 over the month, resulting in a workforce reduction of 6,000 since September.

“The uptick in Michigan’s jobless rate reflected a minor workforce reduction over the month,” said Wayne Rourke, associate director of the Bureau of Labor Market Information and Strategic Initiatives. “However, payroll jobs edged up slightly since September.”

The U.S. unemployment rate rose by two-tenths of a percentage point over the month to 3.7 percent. Michigan’s October unemployment rate was half a percentage point above the national rate. Over the year, the U.S. rate decreased by 0.9 percentage points, while the statewide rate receded by 1.2 percentage points since October 2021.

—Labor force trends and highlights

• October 2022’s jobless rate movement was the first rate increase seen in the state since June 2021.

• Michigan’s employment reduction of 0.2 percent was identical to the employment decrease seen nationally.

• The statewide over-the-year labor force gain of 1.3 percent was six-tenths of a percentage point below the national workforce advance since October 2021 (+1.9 percent).

• The October statewide labor force participation rate edged down by one-tenth of a percentage point to 60.0 percent over the month. Michigan’s employment-population ratio fell by two-
tenths of a percentage point to 57.4 percent. Both October 2022 measures remained below their February 2020 values (61.1 percent and 58.8 percent, respectively).

—Detroit metro area unemployment rate recedes over month

The Detroit-Warren-Dearborn Metropolitan Statistical Area’s (MSA) seasonally adjusted unemployment rate decreased to 3.6 percent during October. Minor drops in employment and unemployment resulted in a labor force reduction of 5,000 over the month.

The Detroit MSA unemployment rate fell by 2.0 percentage points over the year. Employment advanced by 29,000, while unemployment decreased by 43,000 since October 2021.
—Michigan nonfarm employment advances slightly over month

According to the monthly survey of employers, Michigan seasonally adjusted payroll jobs edged up by 10,000 between September and October, resulting in a total job count of 4,371,000. Minor employment changes were observed throughout multiple Michigan industries over the month.

—Industry employment trends and highlights

• Total payroll employment in the state increased for the fifth consecutive month during October. Nonfarm jobs advanced by 54,000, or 1.3 percent, since May 2022.

• Minor employment advances across most Michigan industries were partially offset by decreases in the state’s construction (-3,000) and financial activities (-1,000) sectors.

• Jobs in Michigan’s professional and business services sector advanced for the second consecutive month, with employment increasing by 3,000 since August 2022.

• October statewide payroll jobs were 82,000, or 1.8 percent, below their February 2020 pre-pandemic level.

• Michigan total nonfarm employment advanced by 114,000, or 2.7 percent, over the year.

• The largest over-the-year industry employment gains on a numerical basis occurred in the state’s professional and business services sector (+23,000), as well as the trade, transportation, and utilities industry (+19,000).