Jobless rate declines as workforce continues to shrink

Michigan notched another decline in its unemployment rate for February, but for the wrong reasons. The Michigan Department of Technology, Management, and Budget reports, “The state’s labor force experienced a second consecutive month of labor force withdrawal, down by 42,000, in February.” Throughout the decades the definition of someone who is unemployed has changed, generally becoming more narrow. It doesn’t just mean an able-bodied adult without a job. One of the components that has to be met when completing the household survey conducted by the Bureau of Labor Statistics is to confirm that you are still trying to find a job. You need to have actively searched for one within the last four weeks.

There is a secondary measure of unemployment calculated at the federal level more favored by economists, known as the U-6 rate. That includes people who are underemployed, generally defined as those accepting part-time work when they actually want full-time status. It also does not discard discouraged workers who have stopped looking. In economic booms, the two rates will converge, but during recessions and weak recoveries there is a noticeable gap.

The area has organizations dedicated to helping people find a job. Director of Workforce Service Debb Brunell says UP Michigan Works meets its mission through collaboration.

From there, Michigan Works is able to match the desires of its business partners with individuals locally. Houghton and Keweenaw Counties are both served through the service’s Hancock location on the third floor of the Huntington Bank Building at 400 Quincy Street.