Michigan’s seasonally adjusted unemployment rate held at 5.3% in July as both employment and unemployment posted small declines, according to state labor officials.
Figures released Friday by the Michigan Department of Technology, Management & Budget show employment falling by 5,000 and the number of unemployed residents edging down by 1,000 during the month. The state’s labor force decreased by 5,000 to 5,077,000, the lowest level since August 2024.
“Michigan’s unemployment rate remained unchanged in July at 5.3 percent as small decreases in employment and unemployment caused a minor reduction in the state’s labor force,” said Wayne Rourke, labor market information director for Michigan’s Center for Data and Analytics. He noted that seasonally adjusted payroll jobs rose slightly due to most industries either holding steady or posting small gains.
The national jobless rate ticked up 0.1 percentage point to 4.2% in July. Michigan’s rate was 1.1 percentage points higher than the U.S. average and has increased by half a percentage point over the past year. The national rate was unchanged compared with July 2024.
In the Detroit-Warren-Dearborn metro area, the unemployment rate was flat at 4.8% in July. Metro area employment grew by 5,000 while unemployment slipped by 1,000, bringing the labor force up by 5,000. Over the past year, the jobless rate in the Detroit area has risen 0.2 percentage points, with employment increasing by 17,000 and unemployment up by 4,000.
Statewide, seasonally adjusted nonfarm payroll jobs increased by 3,000 to 4,529,000 in July. Government jobs accounted for the largest sector increase, adding 3,000 positions. Losses were reported in professional and business services, down 3,000 jobs, and leisure and hospitality, down 2,000.
Over the year, Michigan payroll jobs grew by 58,000, or 1.3%, led by private education and health services (+22,000), government (+13,000) and construction (+10,000).
Revised figures show Michigan gained 3,000 more jobs in June than earlier reported, with total payroll jobs for the month now estimated at 4,526,000.
