Joblessness Rises in Michigan and Ann Arbor
UNEMPLOYMENT RATES rose in 30 states last month, even as employers in two-thirds of the states stepped up hiring. The trends reflect an increase in job hunters nationwide as an improving economy encourages more people to seek work.
The Labor Department said Monday that unemployment rates fell in eight states in July and were unchanged in 12. At the same time, hiring rose in 36 states, fell in 13, and was unchanged in Iowa.
The national unemployment rate ticked up to 6.2 percent in July from 6.1 percent in June, even as employers added 209,000 jobs.
The jobless rate in Massachusetts edged up to 5.6 percent in July, from June’s 5.5 percent, according to the state’s Executive Office of Labor and Workforce Development. Massachusetts added 13,800 jobs, the office reported last week.
The reason the rate rose nationwide even as hiring increased is that more Americans launched job searches but didn’t find work. That lifted the number of unemployed. Still, the rise in people seeking jobs suggests they are more optimistic about their prospects.
The jobless aren’t counted as unemployed unless they’re actively seeking work.
Mississippi had the highest jobless rate in July, 8 percent. In June, Mississippi and Rhode Island had tied with rates of 7.9 percent. Rhode Island had the highest rate for several months earlier this year. After the recession ended in June 2009, Michigan and then Nevada typically had the highest rates.
In July, Georgia had the second-highest rate, at 7.8 percent. Michigan, Rhode Island, and Nevada were tied with the third-highest, at 7.7 percent. In March 2014, Michigan had the fifth highest rate of unemployment in the U.S.
North Dakota had the lowest rate in the nation, as it has for many years, 2.8 percent. Utah and Nebraska were tied with the next lowest rates, at 3.6 percent. The biggest job gains were in Texas, which added 46,600 jobs, followed by California, with 27,700, and Michigan, with 17,900.
In Ann Arbor, as in Michigan, the unemployment rate crept up. Locally, it has risen to 6.3 percent from 5.2 percent in March 2014.
The job sector in Michigan which saw the largest 12-month gain in jobs was Mining, Logging and Construction, according to data released by the U.S. Department of Labor. This was followed by the Information sector, where the number of jobs rose by 3.8 percent to 57,600.
In Ann Arbor, the job sector which saw the largest 12-month gains in jobs was the Mining, Logging and Construction sector, with 200 jobs added, an increase of 16.1 percent.
This was followed by an 8.7 percent increase in jobs in the Leisure and Hospitality sector. Between February and July 2014, this sector added 2,400 jobs for a total of 17,500 jobs. In 2006, there were 13,100 jobs in this sector.
In Ann Arbor, the Information sector employment rate continues to fluctuate between 3,900-4,100 jobs. In 2006, there were 4,800 jobs in the sector, according to data compiled by the Department of Labor. The July 2014 data show there are currently 4,100 jobs in the Information sector.