December 14, 2005 – Michigan’s seasonally adjusted unemployment rate in November increased by five-tenths of a percentage point to 6.6 percent, according to data released by the Michigan Department of Labor & Economic Growth (DLEG).  Total employment in the state grew by 6,000, but as the state’s labor force expanded by 34,000 over the month, unemployment rose by 28,000. 

Michigan’s November 2005 jobless rate came in at eight-tenths of a percentage point below the November 2004 rate of 7.4 percent.  In the same period, the national jobless rate decreased by four-tenths of a percentage point to 5.0 percent.

“The rise in the jobless rate in November was due primarily to a sizeable increase in the number of individuals entering the state’s labor force seeking seasonal jobs,” said Rick Waclawek, director of DLEG’s Bureau of Labor Market Information and Strategic Initiatives.  “The magnitude of seasonal change in Michigan’s workforce varies from year to year.”

Monthly Labor Force Trends & Highlights

• The jobless rate of 6.6 percent places November’s rate at similar levels recorded in August and September.
  
  
• With the minor employment gain over the month, November’s statewide total of 4,798,000 was the highest level recorded so far in 2005.  Total employment has been trending upward throughout the year.
  
  
• Since November 2004, unemployment fell in Michigan by 40,000 or 10.6 percent, which outpaced the nationwide decrease of 5.5 percent in the same period.
  

* Final estimates for October
** Preliminary estimates for November

Detroit Metropolitan Area’s November Jobless Rate Jumps

The Detroit-Warren-Livonia Metropolitan Statistical Area’s (MSA’s) seasonally adjusted unemployment rate in November rose over the month by a full percentage point to 7.1 percent.  From October to November, the area’s total employment level declined by 9,000, and unemployment increased by 23,000 as the MSA’s labor force expanded.

Over the year, the Detroit MSA’s jobless rate declined by four-tenths of a percentage point.  Since November 2004, employment increased in the area by 9,000, and unemployment decreased by 8,000, leaving the labor force essentially unchanged.

Detroit-Warren-Livonia MSA
Labor Force Estimates
Seasonally Adjusted
(Data in Thousands)

* Final estimates for October
** Preliminary estimates for November

October Payroll Jobs Edge Upward

According to the monthly survey of employers, seasonally adjusted Michigan payroll jobs increased by 6,000 in November to total 4,355,000.  Minor payroll employment gains were recorded in leisure and hospitality services (+2,000), government (+2,000), and trade, transportation and utilities (+2,000).  All other major industry categories were little changed over the month.

Industry Employment Trends and Highlights

• Michigan’s payroll job totals have been stable in recent months.  November’s payroll employment total matched the average level of the last four months.
  
  
• Manufacturing employment has remained essentially unchanged for three consecutive months.
  
  
• After dipping somewhat early in 2005, employment in professional and business services has been trending upward throughout the second half of this year.
  
  
• Government employment stabilized over the last several months after recording significant declines in the middle of the year.
  
  
• Since November 2004, most of the statewide payroll job declines were recorded in three sectors: government, manufacturing, and trade, transportation and utilities.  Within trade, transportation and utilities, the retail trade sector recorded the vast majority of job losses.  Over the year, most other job categories have remained relatively stable.

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.”