Michigan’s Economy Struggles With High Unemployment

Michigan’s Economy
Feb 4, 2025 Reading time : 2 min

A recent report reveals that Michigan’s unemployment rate is among the highest in the country. In 2024, Michigan’s jobless rate climbed to 5.0 percent, nearly a full percentage point above the national average of 4.1 percent. 

This marks the highest unemployment level the state has experienced since October 2021. Dylan Schafer, Economic Manager at the Michigan Center for Data Analytics, noted that Michigan often finds itself on the higher end of the scale considering overall unemployment rates. 

According to the Michigan Department of Technology, Management and Budget, the number of unemployed individuals in the state rose to 21.7% which is significantly higher than the national figure of 9%. 

As per a November Report 2024 from the Bureau of Labor Statistics ranks Michigan’s jobless rate at 45th in the nation. Schafer has attributed the increased rate partly to a decline in manufacturing jobs with the sector losing 87,000 positions nationwide including 11,000 in Michigan. 

Schafer has elaborated, “The manufacturing industry is experiencing a notable downturn, which is likely a key factor contributing to the rise in Michigan’s unemployment rate.” 

Mid-Michigan, like the rest of the state, has also faced a major increase in unemployment over the past year. From November 2023 to November 2024, Jackson County’s jobless rate increased from 3.2% to 4.4%, while the Lansing area saw an increase from 2.9% to 4%. 

Despite the increase in mid-Michigan, the unemployment rate remains below the state average. The jobless rates in Clinton, Ingham, Eaton, and Jackson counties are among the lowest in Michigan. 

CEO of Capital Area Michigan Works, Carrier Rosingana remarked, “We have the state government based here, along with major employers like Michigan State University and Lansing Community College, which significantly influence these rates.” 

She emphasized that the diverse region of the industries helps in maintaining lower unemployment rates.

Vibha Anand
Posted by
Vibha Anand

Business Journalist

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