REGIONAL UNEMPLOYMENT RATES RISE SEASONALLY IN JANUARY

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1 Metropolitan Statistical Areas BUREAU OF LABOR MARKET INFORMATION & STRATEGIC INITIATIVES MID MICHIGAN JANUARY 2013 Contact: Jeff Aula Phone: REGIONAL UNEMPLOYMENT RATES RISE SEASONALLY IN JANUARY Mid-Michigan metropolitan area (MSA) jobless rates displayed typical seasonal increases in January. All of the 14 metropolitan statistical areas (MSAs) in the state exhibited jobless rate advances in January, ranging from +0.1 percentage points to +1.3 percentage points. The Michigan seasonally unadjusted jobless rate rose by 0.8 percentage points to 9.7 percent. (Table 1) Figure 1: Jobless Rate Changes between Dec 2012 and Jan 2013 Monroe Detroit-Warren-Livonia Bay City Niles-Benton Harbor Flint Lansing Muskegon Saginaw Jackson Battle Creek Kalamazoo In January, the Bay City MSA reported the third highest monthly unemployment rate increase (+1.1 percentage points) in the state to 9.4 percent. (Figure 1) The Flint MSA jobless rate of 9.9 percent was a gain of 0.8 percentage points. In the Saginaw MSA, a 0.7 percentage point rise brought the January unemployment rate to 9.0 percent. These changes in local metro area unemployment rates were relatively similar to the upward movement in the statewide rate over the month. Between January 2012 and January 2013, all three regional MSAs saw modest improvements in unemployment rates. The Flint and Saginaw MSAs registered a small jobless rate decline of 0.4 percentage points over the past year. The 0.3 percentage point decrease in the Bay City MSA jobless rate was equal to the reduction in the statewide rate during this time period. Holland-Grand Haven Grand Rapids Ann Arbor Seasonal labor force declines were reported in all of the region s metropolitan areas during January. Workforce levels shrank by 1.9 percent in the Saginaw MSA, declined by 1.5 percent in the Bay City MSA, and edged down by 1.0 percent in the Flint MSA. These decreases were somewhat stronger than the 0.7 percent contraction in the statewide workforce during January. Between January 2012 and January 2013, local labor force levels fell at a faster pace than the statewide trend, with reductions of -2.5 percent in the Saginaw MSA, -1.3 percent in the Flint MSA, and -1.1 percent in the Bay City MSA. Workforce levels statewide were essentially unchanged over the year, notching down by -0.2 percent. Employment levels also experienced typical seasonal reductions in all three of the region s metro areas during January. The largest of these declines was recorded in the Saginaw MSA (-2.8 percent) and was followed closely by the Bay City MSA (-2.7 percent). The 1.8 percent drop in employment in the Flint MSA essentially matched the statewide decrease of 1.7 percent over the month. Over the year, employment levels fell by -2.1 percent in the Saginaw MSA, by -0.9 percent in the Flint MSA, and by -0.8 percent in the Bay City MSA. Employment levels were essentially unchanged statewide over the year. JOBLESS RATES INCREASE IN ALL REGIONAL COUNTY LABOR MARKET AREAS DURING JANUARY Seasonal jobless rate hikes occurred in all the of the region s smaller labor market areas (LMAs) in January. These rate advances ranged from 0.8 percentage points in Midland to 2.6 percentage points in Iosco with a median increase of 1.7 percentage points. The highest jobless rates in the region were in Lapeer (15.2 percent) and Arenac (14.7 percent), while the lowest occurred in Midland (7.5 percent) and Huron (9.9 percent). The remaining labor market areas in the region reported unemployment rates between 10.3 percent in the Shiawassee LMA and 13.9 percent in the Gladwin LMA. Over the year, jobless rates declined slightly in ten of the twelve labor markets, with the median decrease equaling -0.3 percentage points. The exceptions were the Roscommon and Lapeer LMAs which saw slight up-ticks in jobless rates of 0.1 and 0.9 percentage points, respectively. Labor force levels declined in eleven of the twelve smaller labor market areas during January. These reductions ranged from -0.3 percent in the Clare LMA to -2.2 percent in the Huron and Ogemaw LMAs. The workforce level notched up 0.6 percent in the Lapeer LMA during January. Over the year workforce levels contracted in ten of the region s labor market areas. The largest of these 1

2 declines took place in the Gladwin (-3.3 percent) and Arenac (-2.9 percent) LMAs. Huron (+0.5 percent) and Lapeer (+1.7 percent) experienced modest advances in labor force since January Total employment levels moved lower in all twelve LMAs during January. These reductions ranged from -1.6 percent in Lapeer to percent in Iosco, with a median decrease of -2.7 percent. Since January 2012, total employment fell in ten of the twelve LMAs by a median of -1.2 percent. The exceptions were Huron and Lapeer counties, where total employment edged up by 0.9 and 0.7 percent, respectively. Note: Employment, unemployment, and industry job data for all 12 months of 2012 have been recently revised. Estimates for January 2013 are not comparable to previously released data. For newly revised 2012 estimates, go to or call SEASONAL EMPLOYMENT DECLINES CONTINUE IN REGION DURING JANUARY Total nonfarm payroll employment dropped roughly three percent in all of the regional metropolitan areas in January as job levels experienced continued seasonal declines. The largest of these over-the-month reductions occurred in the Saginaw MSA (-3.4 percent), followed by the Bay City (-3.2 percent), and Flint (-2.6 percent) MSAs. (Table 4) Job cuts in January were widespread across most industries. In the Goods producing sector, jobs fell seasonally in Construction, and Manufacturing jobs also declined. In the region s Service providing sector, seasonal job contraction is typical in January and the job losses in January 2013 matched historical patterns. (Figures 2-4) Over the year, total nonfarm job levels advanced moderately in the Bay City MSA (+1.1 percent), were essentially flat in the Flint MSA (+0.4 percent), and declined in the Saginaw MSA (-1.3 percent). Figure 2: December to January Service Providing Job Trends, Bay City MSA Year December January Change ,700 32,500-1, ,000 32, ,600 31,300-1, ,300 30, ,100 31, During January, nonfarm payroll employment decreased by 1,200 (-3.2 percent ) in the Bay City MSA. This decline was broad-based and occurred in every industry sector except Other services, Financial activities, and Information, which saw no employment change. Seventy-five percent of the metro area s January employment decline took place in the Service providing sector with one-third of this sector s contraction occurring in Trade, transportation, and utilities (-300 jobs). Over the year, total nonfarm jobs grew by 400 or 1.1 percent with Manufacturing (+200 jobs), Education and health services(+200 jobs), Trade, transportation, and utilities (+100 jobs), Other services (+100 jobs), and Financial activities (+100 jobs) contributing to this gain. Flint MSA payroll job levels decreased by 3,600 (-2.6 percent) in January. Over 40 percent of this job decline occurred in Trade, transportation, and utilities (-1,500 jobs), primarily reflecting layoffs of retail workers hired for the holiday shopping season. An additional one-third of this contraction was reported in the Goods producing industries of Manufacturing (-700 jobs) and Mining, logging, and construction (-500 jobs). Employment notched up slightly in the Financial activities sector (+100) over the month. Between January 2012 and January 2013, job levels were essentially flat (+500 jobs) as broad based gains in the Private service providing (+1,300) sector were moderated by employment declines in Government (-700) and Manufacturing (-200). Figure 3: December to January Service Providing Job Trends, Flint MSA Year December January Change , ,500-3, , ,800-5, , ,400-4, , ,900-3, , ,800-2,400 Figure 4: December to January Service Providing Job Trends, Saginaw MSA Year December January Change ,000 73,100-1, ,900 73,200-2, ,400 70,000-1, ,500 70,600-1, ,800 70,500-2,300 The Saginaw MSA recorded a seasonal decrease of 3,000 nonfarm payroll jobs in January as reductions occurred in every sector except Financial activities and Information, which were unchanged. A seasonal cut in retail jobs resulted in a 1,300 job reduction in the Trade, transportation, and utilities sector. Employment levels fell by 1,100 over the year as payroll reductions took place in nearly all industry sectors. The exceptions were Trade, transportation, and utilities which added 300 positions and Financial activities and Other services which were unchanged. 2

3 Table 1: Metropolitan Statistical Areas Change/Month Change/Year FLINT MSA (Genesee County) Labor Force 182, , ,500-1, % -2, % Employment 164, , ,600-3, % -1, % Unemployment 18,000 16,800 18,900 1, % % Jobless Rate SAGINAW MSA (Saginaw County) Labor Force 88,500 90,200 90,800-1, % -2, % Employment 80,500 82,800 82,200-2, % -1, % Unemployment 8,000 7,500 8, % % Jobless Rate BAY CITY MSA (Bay County) Labor Force 51,000 51,800 51, % % Employment 46,200 47,500 46,500-1, % % Unemployment 4,800 4,300 5, % % Jobless Rate MICHIGAN Labor Force 4,600,900 4,634,800 4,609,800-33, % -9, % Employment 4,152,300 4,223,500 4,150,100-71, % 2, % Unemployment 448, , ,800 37, % -11, % Jobless Rate By Place of Residence Not Seasonally Adjusted Rates Calculated with Unrounded Data * Preliminary 3

4 Table 2: Labor Market Areas Change/Month Change/Year HURON Labor Force 15,425 15,775 15, % % Employment 13,900 14,475 13, % % Unemployment 1,525 1,275 1, % % Jobless Rate LAPEER Labor Force 41,000 40,725 40, % % Employment 34,775 35,325 34, % % Unemployment 6,225 5,400 5, % % Jobless Rate MIDLAND Labor Force 41,050 41,700 41, % % Employment 38,000 38,875 38, % % Unemployment 3,075 2,800 3, % % Jobless Rate SANILAC Labor Force 18,775 19,150 19, % % Employment 16,600 17,250 16, % % Unemployment 2,175 1,875 2, % % Jobless Rate SHIAWASSEE Labor Force 32,150 32,550 32, % % Employment 28,825 29,575 29, % % Unemployment 3,325 2,975 3, % % Jobless Rate TUSCOLA Labor Force 25,250 25,425 25, % % Employment 22,400 22,950 22, % % Unemployment 2,850 2,475 2, % % Jobless Rate

5 Table 3: Labor Market Areas Continued Change/Month Change/Year ARENAC Labor Force 6,525 6,575 6, % % Employment 5,575 5,725 5, % % Unemployment , % % Jobless Rate CLARE Labor Force 11,875 11,900 12, % % Employment 10,325 10,525 10, % % Unemployment 1,550 1,375 1, % % Jobless Rate GLADWIN Labor Force 9,175 9,350 9, % % Employment 7,900 8,200 8, % % Unemployment 1,275 1,150 1, % % Jobless Rate IOSCO Labor Force 9,500 9,625 9, % % Employment 8,200 8,550 8, % % Unemployment 1,300 1,075 1, % % Jobless Rate OGEMAW Labor Force 8,700 8,900 8, % % Employment 7,650 7,950 7, % % Unemployment 1, , % % Jobless Rate ROSCOMMON Labor Force 9,100 9,150 9, % % Employment 7,875 8,025 8, % % Unemployment 1,225 1,100 1, % % Jobless Rate By Place of Residence Not Seasonally Adjusted Rates Calculated with Unrounded Data * Preliminary 5

6 Table 4: Nonfarm Payroll Jobs Change/Month Change/Year BAY CITY MSA Total Nonfarm 36,100 37,300 35,700-1, % % Goods Producing 4,900 5,200 4, % % Mining, Logging and Construction 900 1, % 0 0.0% Manufacturing 4,000 4,100 3, % % Service Providing 31,200 32,100 31, % % Trade, Transportation, and Utilities 7,600 7,900 7, % % Information % 0 0.0% Financial Activities 1,500 1,500 1, % % Professional and Business Services 3,100 3,200 3, % 0 0.0% Educational and Health Services 6,800 6,900 6, % % Leisure and Hospitality 4,600 4,800 4, % % Other Services 1,700 1,700 1, % % Government 5,500 5,700 5, % % FLINT MSA Total Nonfarm 133, , ,000-3, % % Goods Producing 14,700 15,900 14,800-1, % % Mining, Logging and Construction 3,200 3,700 3, % % Manufacturing 11,500 12,200 11, % % Service Providing 118, , ,200-2, % % Trade, Transportation, and Utilities 28,100 29,600 28,000-1, % % Information 3,800 3,800 3, % % Financial Activities 6,400 6,300 6, % % Professional and Business Services 14,900 14,900 14, % % Educational and Health Services 26,100 26,400 25, % % Educational Services 2,500 2,900 3, % % Health Care and Social Assistance 23,600 23,500 22, % % Leisure and Hospitality 13,100 13,400 12, % % Other Services 5,700 5,800 5, % % Government 20,700 21,000 21, % % SAGINAW MSA Total Nonfarm 84,000 87,000 85,100-3, % -1, % Goods Producing 13,500 14,200 13, % % Mining, Logging and Construction 2,400 2,700 2, % % Manufacturing 11,100 11,500 11, % % Service Providing 70,500 72,800 71,400-2, % % Trade, Transportation, and Utilities 16,100 17,400 15,800-1, % % Information 1,100 1,100 1, % % Financial Activities 3,900 3,900 3, % 0 0.0% Professional and Business Services 10,000 10,100 10, % % Educational and Health Services 16,000 16,100 16, % % Leisure and Hospitality 8,600 8,900 8, % % Other Services 3,500 3,600 3, % 0 0.0% Government 11,300 11,700 11, % % 6

7 Appendix 1: Counties of Northeast Michigan Change/Month Change/Year ALCONA Labor Force 3,700 3,800 3, % % Employment 3,100 3,250 3, % % Unemployment % % Jobless Rate ALPENA Labor Force 13,125 13,300 13, % % Employment 11,775 12,075 12, % % Unemployment 1,350 1,225 1, % % Jobless Rate CHEBOYGAN Labor Force 9,325 9,625 9, % % Employment 7,725 8,325 8, % % Unemployment 1,600 1,325 1, % % Jobless Rate CRAWFORD Labor Force 5,750 5,725 5, % % Employment 5,100 5,150 5, % 0 0.1% Unemployment % % Jobless Rate MONTMORENCY Labor Force 3,350 3,400 3, % % Employment 2,750 2,850 2, % % Unemployment % % Jobless Rate OSCODA Labor Force 3,150 3,200 3, % % Employment 2,575 2,700 2, % % Unemployment % % Jobless Rate OTSEGO Labor Force 10,400 10,525 10, % % Employment 9,175 9,350 9, % % Unemployment 1,225 1,175 1, % % Jobless Rate PRESQUE ISLE Labor Force 5,425 5,525 5, % % Employment 4,475 4,700 4, % % Unemployment , % % Jobless Rate

8 Appendix 2: Michigan Works! Areas Change/Month Change/Year CAREER ALLIANCE, INC. Labor Force 214, , , % -2, % Employment 193, , , % -1, % Unemployment 21,300 19,800 22, % -1, % Jobless Rate GREAT LAKES BAY Labor Force 180, , , % -3, % Employment 164, , ,800-1, % -2, % Unemployment 15,900 14,600 16, % % Jobless Rate THUMB WORKS Labor Force 100, , , % % Employment 87,700 90,000 87, % % Unemployment 12,800 11,000 12, % % Jobless Rate NORTHEAST MICHIGAN Labor Force 54,200 55,100 55, % -1, % Employment 46,700 48,400 47, % % Unemployment 7,500 6,800 8, % % Jobless Rate REGION 7B Labor Force 54,900 55,500 56, % -1, % Employment 47,500 49,000 48, % % Unemployment 7,400 6,500 7, % % Jobless Rate

9 Appendix 3: Michigan Counties Ranked by Jobless Rate, January Washtenaw County Delta County Kent County Kalkaska County Barry County Van Buren County Isabella County Crawford County Clinton County Macomb County Ottawa County Osceola County Kalamazoo County Tuscola County Eaton County Montcalm County Menominee County Alger County Calhoun County Sanilac County Midland County Luce County Allegan County Manistee County Marquette County Antrim County Ingham County Otsego County Dickinson County Benzie County St. Joseph County Chippewa County Ionia County Ogemaw County Jackson County Missaukee County Leelanau County Wayne County Houghton County Wexford County Monroe County Charlevoix County Grand Traverse County Clare County Muskegon County Lake County Saginaw County Roscommon County Cass County Iosco County Newaygo County Gladwin County Branch County Oceana County Lenawee County Emmet County Oakland County St. Clair County Bay County Ontonagon County Livingston County Arenac County Berrien County Lapeer County Genesee County Alcona County Huron County Schoolcraft County Gogebic County Keweenaw County Mecosta County Cheboygan County Hillsdale County Presque Isle County Alpena County Montmorency County Shiawassee County Baraga County Gratiot County Oscoda County Iron County Mackinac County Mason County

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