Michigan unemployment holds at 5% as household employment falls
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Michigan’s unemployment rate remained at 5.0% in September, but the state estimated 27,000 fewer employed residents than in August. A separate survey of employers also showed a decline: payroll employment fell 6,300 to 4,487,400 jobs.
The state’s household survey counts people by where they live, while the payroll survey counts jobs at establishments in Michigan. The estimates describe different parts of the labor market, not competing counts of the same workers.
| Measure | September 2026 | Change from August | Change from September 2025 |
|---|---|---|---|
| Unemployment rate | 5.0% | Unchanged | Up 0.1 percentage point |
| Household employment | 4,585,000 | Down 27,000 | Down 173,000 (3.6%) |
| Civilian labor force | 4,826,000 | Down 26,000 | Down 178,000 (3.6%) |
| Unemployed people | 241,000 | Up 1,000 | Down 5,000 (2.0%) |
| Payroll employment | 4,487,400 | Down 6,300 | Up about 2,000 |
The household figures are rounded estimates from the state. The payroll figures are from the U.S. Bureau of Labor Statistics, which reported 4,493,700 jobs in August and 4,485,400 in September 2025. Michigan’s release rounded the September payroll total to 4,487,000 and the monthly decrease to 6,000.
Why the rate stayed level while employment declined
The unemployment rate is the share of the civilian labor force counted as unemployed. In September, Michigan reported 241,000 unemployed people, 1,000 more than in August, while the estimated labor force fell by 26,000. Using those rounded September counts, 241,000 out of a labor force of 4,826,000 is about 5.0%. A stable rate therefore does not mean the number of people working was stable.
The two surveys also show different year-over-year patterns. Household employment and the labor force were each 3.6% below September 2025, while payroll employment was about 2,000 jobs higher. Michigan’s September unemployment rate was 0.1 percentage point above its September 2025 rate of 4.9%; the U.S. rate was 4.2%, 0.8 point below Michigan’s.
Within payroll employment, Michigan attributed much of September’s decline to a 4,000-job drop in private education and health services. Construction and manufacturing each added 1,000 jobs. Those sector changes do not account for the entire payroll decline.
What the estimates mean for readers
The figures are labor-market estimates, not a change to policy or an individual’s eligibility for benefits. The Bureau of Labor Statistics says monthly estimates may be revised. Its next state employment and unemployment release, covering October 2026, is scheduled for November 20, 2026, at 10 a.m. Eastern.
Sources
- Michigan jobless rate remains stable during September, Michigan Department of Technology, Management and Budget, Michigan Center for Data and Analytics
- State Employment and Unemployment Summary — September 2026, U.S. Bureau of Labor Statistics
- Table 1. Civilian labor force and unemployment by state, seasonally adjusted — September 2026, U.S. Bureau of Labor Statistics
- Table 3. Employees on nonfarm payrolls by state and selected industry sector, seasonally adjusted — September 2026, U.S. Bureau of Labor Statistics
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