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Average Labor Turnover Up Over the Year

Michigan’s job openings rate declined in the latest release of state Job Openings and Labor Turnover Survey (JOLTS) data. The quits rate declined as well during this time. All other rates included in the survey increased in December, such as the hires rate, separations rate, labor turnover rate, and the layoffs/discharges rate.

Job Openings Declined in December

Job openings in Michigan fell to 205,000 in December (-7,000). As a result, the job openings rate, a measure of job openings as a percentage of employment, fell to 4.3 percent (-0.2 percentage points). Michigan recorded an annual average job openings rate of 4.8 percent in 2025, with monthly job openings averaging 228,000. This was above the 2024 averages of 4.7 percent and 222,000, respectively. Michigan’s rate was above the national openings rate in December (4.0 percent) and was 15th among other states.

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Michigan’s job openings rate continued its downward trend in December.

Source: Job Openings and Labor Turnover Survey, U.S. Bureau of Labor Statistics

 

The unemployed persons to job openings ratio increased to 1.23. When this ratio is greater than one, it indicates that the number of individuals available to work in Michigan exceeded the number of job openings during this time. Michigan’s ratio was 11th highest among other states and was greater than the national ratio (1.15). Over the year, Michigan averaged a ratio of 1.17 in 2025, a notable jump from the year prior (1.07).

Average Labor Turnover Increased in 2025

The labor turnover rate, a combination of the hires and separations rates, rose to 7.6 percent in December (+0.9 percentage points). Michigan was above the national rate (6.7 percent) and was 12th among other states. On average, Michigan recorded a labor turnover rate of 7.2 percent in 2025, an increase of 0.4 percentage points from the 2024 average.

Layoffs/discharges surged in December after falling to a four-year low in November.

Source: Job Openings and Labor Turnover Survey, U.S. Bureau of Labor Statistics

Michigan’s Rate of Hires Increased

Michigan recorded approximately 180,000 hires in December, an increase of roughly 19,000 from the month prior. This resulted in an increase in the hires rate, a measure of hires as a percentage of employment, to 4.0 percent (+0.5 percentage points). Michigan’s rate was above the national rate in December (3.3 percent) and 11th among other states. In 2025, Michigan recorded an average annual hires rate of 3.8 percent, 0.2 percentage points higher than the 2024 average.

Increased Layoffs/Discharges Caused Surge in Separations

There were roughly 167,000 separations in December, an increase of 23,000 from the month prior. As a result, the separations rate, a measure of separations as a percentage of employment, grew to 3.7 percent (+0.5 percentage points). In 2025, Michigan recorded a 3.4 percent average separations rate, an increase of 0.1 percentage points from the 2024 average rate.

The increase in separations in December was driven by an increase in the layoffs/discharges rate. There were approximately 64,000 recorded layoffs/discharges, a jump of roughly 36,000 from November. Consequently, the layoffs/discharges rate rose to 1.4 percent (+0.8 percentage points). Conversely, the quits rate, a measure of voluntary separations and of quits as a percentage of employment, fell to 2.2 percent (-0.2 percentage points). This was due to roughly 11,000 fewer individuals voluntarily separating from their employment in December (100,000) than November (111,000). Michigan’s quits rate was above the national rate (2.0 percent) and 24th among other states. Similarly, Michigan averaged a quits rate of 2.2 percent in 2025, 0.2 percentage points lower than the 2024 average.