Michigan’s unemployment continues to decrease, for the tenth straight month, and the labor force in the state continues to grow. This year is looking much rosier than in 2020 when great uncertainty riddled the state, and the country. With job recovery following the peak of the pandemic, and an increase in revenues from the sales and use tax and federal funding the state is predicting about a $5 million surplus. While such a surplus can viewed as a sign of improved economic times, we must also recognize inflation is on the rise, and uncertainty still looms with COVID and the war in Ukraine. Recognizing that inflation is hitting the homes of most, if not all, Gov. Gretchen Whitmer was proposed sending $500 to working Michigan families in attempt to help ease the strain on our pockets. The Republic led majority legislature is discussing a $2.5 billion plan that would cut taxes. What will happen remains unknown, especially as the project surplus is just an estimate.
But the data below does tell that story that Michigan’s economy is on the rise while the costs of goods and services is also on the rise.
Unemployment rates in Michigan and the City of Detroit remain lower than they were during the peak of the pandemic, and recent data shows a continued trend of them remaining fairly stable.
In March of 2022 the unemployment rate for the State of Michigan declined to 4.4 percent from the 5.3 percent it was reported at for February of 2022. In March of 2021 the unemployment rate was reported at 5.2 percent, which was only slightly higher than it was reported at a year later.
For the City of Detroit, the unemployment rate for March of 2022 was 10 percent, an decrease from the 12.2 percent it was reported at the month prior. When comparing it to the March of 2021 unemployment rate (9.3 percent) we see that the rate was slightly lower last year than this year.