Michigan’s seasonally adjusted unemployment rate was unchanged between December and January at 5.0 percent, according to data released Thursday by the Michigan Department of Technology, Management & Budget. Employment decreased by 10,000 over the month, while the number of unemployed people increased by 3,000, resulting in a workforce decline of 7,000 in January.
“Michigan's unemployment rate remained at 5.0 percent in January as the state's labor force fell below five million workers,” said Wayne Rourke, labor market information director for Michigan’s Center for Data and Analytics. “Payroll jobs were relatively flat both over the month and over the year.”
The national unemployment rate declined by one-tenth of a percentage point over the month to 4.3 percent. Michigan’s January jobless rate was 0.7 percentage points above the U.S. rate. The national unemployment rate rose by 0.3 percentage points over the year, while the statewide rate decreased by 0.3 percentage points since January 2025.
—Labor force trends and highlights
• Michigan’s 11-month average unemployment rate for 2025 was 5.2 percent. (Due to the lapse in federal appropriations, October 2025 data collection did not occur for the Current Population Survey (CPS), which provides the primary inputs to LAUS estimation. These 11-month averages will not be strictly comparable to annual averages for prior years.)
• Michigan’s total number of unemployed advanced by 1.2 percent over the month, while the national unemployment total receded by 1.8 percent.
• Michigan’s total workforce fell by 1.6 percent over the year, while the national labor force edged down by 0.1 percent since January 2025.
• The statewide labor force participation rate decreased by one-tenth of a percentage point over the month to 60.6 percent. Michigan’s employment-population ratio also fell by one-tenth of a percentage point during January to 57.6 percent.
—Detroit metro area unemployment rate stable in January
The Detroit-Warren-Dearborn Metropolitan Statistical Area’s (MSA) seasonally adjusted unemployment rate was unchanged at 4.9 percent during January.
Employment advanced by 4,000 over the month, and total unemployment rose by 2,000. The Detroit metro area labor force increased by 5,000 in January.
Over the year, the Detroit metro area jobless rate decreased by 0.3 percentage points. The region’s labor force receded by 10,000 since January 2025.
—Michigan payroll employment essentially unchanged in January
According to the monthly survey of employers, Michigan seasonally adjusted nonfarm jobs were nearly unchanged over the month, inching up by 1,000 during January. Minor employment gains were seen across multiple industries.
—Industry employment trends and highlights
• The state’s government sector demonstrated the largest over-the-month employment increase in January (+2,000).
• Employment within private education and health services rose for the third consecutive month, with jobs increasing by 4,000 by since October 2025.
• Job losses were seen in manufacturing (-3,000) and trade, transportation, and utilities (-1,000).
• Over the year, statewide payroll employment edged up by 2,000.
• Industries with the largest over-the-year payroll gains included private education and health services (+10,000) and government (+9,000).
“Michigan's unemployment rate remained at 5.0 percent in January as the state's labor force fell below five million workers,” said Wayne Rourke, labor market information director for Michigan’s Center for Data and Analytics. “Payroll jobs were relatively flat both over the month and over the year.”
The national unemployment rate declined by one-tenth of a percentage point over the month to 4.3 percent. Michigan’s January jobless rate was 0.7 percentage points above the U.S. rate. The national unemployment rate rose by 0.3 percentage points over the year, while the statewide rate decreased by 0.3 percentage points since January 2025.
—Labor force trends and highlights
• Michigan’s 11-month average unemployment rate for 2025 was 5.2 percent. (Due to the lapse in federal appropriations, October 2025 data collection did not occur for the Current Population Survey (CPS), which provides the primary inputs to LAUS estimation. These 11-month averages will not be strictly comparable to annual averages for prior years.)
• Michigan’s total number of unemployed advanced by 1.2 percent over the month, while the national unemployment total receded by 1.8 percent.
• Michigan’s total workforce fell by 1.6 percent over the year, while the national labor force edged down by 0.1 percent since January 2025.
• The statewide labor force participation rate decreased by one-tenth of a percentage point over the month to 60.6 percent. Michigan’s employment-population ratio also fell by one-tenth of a percentage point during January to 57.6 percent.
—Detroit metro area unemployment rate stable in January
The Detroit-Warren-Dearborn Metropolitan Statistical Area’s (MSA) seasonally adjusted unemployment rate was unchanged at 4.9 percent during January.
Employment advanced by 4,000 over the month, and total unemployment rose by 2,000. The Detroit metro area labor force increased by 5,000 in January.
Over the year, the Detroit metro area jobless rate decreased by 0.3 percentage points. The region’s labor force receded by 10,000 since January 2025.
—Michigan payroll employment essentially unchanged in January
According to the monthly survey of employers, Michigan seasonally adjusted nonfarm jobs were nearly unchanged over the month, inching up by 1,000 during January. Minor employment gains were seen across multiple industries.
—Industry employment trends and highlights
• The state’s government sector demonstrated the largest over-the-month employment increase in January (+2,000).
• Employment within private education and health services rose for the third consecutive month, with jobs increasing by 4,000 by since October 2025.
• Job losses were seen in manufacturing (-3,000) and trade, transportation, and utilities (-1,000).
• Over the year, statewide payroll employment edged up by 2,000.
• Industries with the largest over-the-year payroll gains included private education and health services (+10,000) and government (+9,000).
