April 19, 2006 – Michigan’s seasonally adjusted unemployment rate in March moved upward by two-tenths of a percentage point to 6.8 percent from February’s 6.6 percent, according to data released today by the Michigan Department of Labor & Economic Growth (DLEG).  The state’s labor force expanded by 17,000 as both total employment (+6,000) and unemployment (+11,000) increased. 

Michigan’s March 2006 jobless rate edged downward by two-tenths of a percentage point from the March 2005 rate of 7.0 percent.  In the same period, the national jobless rate decreased by four-tenths of a percentage point.

“The Michigan jobless rate has remained fairly stable over the last six months, with modest month-to-month movement,” said Rick Waclawek, director of DLEG’s Bureau of Labor Market Information and Strategic Initiatives. “Job levels have also been reasonably flat so far in 2006.”

Monthly Labor Force Trends & Highlights

• From the last quarter in 2005 to the first quarter in 2006, Michigan’s quarterly jobless rate was unchanged at 6.5 percent.
  
  
• From March 2005 to March 2006, unemployment declined slightly in Michigan by 6,000, or almost 2 percent.
  
  
• The national jobless rate was 4.7 percent in March, which was down one-tenth of a percentage point from February’s 4.8 percent rate.  

Note: Seasonally adjusted labor force estimates from 2000 to 2005 for Michigan and the Detroit-Warren-Livonia Metropolitan Statistical Area were recently revised.  For newly revised data, go to www.michlmi.org or contact 313-456-3090.

Detroit Metropolitan Area’s March Jobless Rate Jumps

The Detroit-Warren-Livonia Metropolitan Statistical Area’s (MSA’s) seasonally adjusted unemployment rate in March rose over the month by five-tenths of a percentage point to 7.2 percent.  From February to March, the area’s total employment level was little changed while unemployment increased by 10,000.  The Detroit MSA March jobless rate matched the 2005 annual average for the area.

From March 2005 to March 2006, the Detroit MSA’s jobless rate edged downward by two-tenths of a percentage point.  In that period, both the area’s labor force and total employment decreased, as well as unemployment.

Payroll Employment Increases in March

According to the monthly survey of employers, seasonally adjusted Michigan payroll jobs increased by 9,000 in March to total 4,371,000.  Modest over-the-month job gains occurred in four major industry sectors.  Increases were posted in leisure and hospitality services (+4,000), manufacturing (+4,000), education and health services (+3,000), and construction (+2,000).  Somewhat offsetting these gains was a decline in professional and business services (-4,000).  All other major industry categories were little changed over the month.

• The March increase in manufacturing reflected recalls from short-term layoffs of production workers in the auto industry.
  
  
• Payroll employment in education and health services continued its sound growth in March, with employment moving upward by 3,000 over the month.  This sector’s employment count is at an all-time high.
  
  
• Although jobs in professional and business services declined in March, employment is up by 5,000 over the year.
  
  
• Since March 2005, payroll job loss in Michigan has been confined to three major industry sectors - manufacturing, government, and trade, transportation and utilities. All other major job categories in the state have either displayed minor growth or have been essentially unchanged over the year.
  
  
• Seasonally adjusted average weekly hours and earnings of production workers in manufacturing increased over the month and over the year.

The Department of Labor & Economic Growth (DLEG) is investing in Michigan's future by helping to create the jobs of today and tomorrow, ensuring that our children and adults have the skills these jobs demand, making Michigan a better place to do business, and training and placing those who need jobs now. 

Note to Editors:  Please ensure that the source for state unemployment rates reads “Michigan Department of Labor & Economic Growth.”