Michigan Unemployment Up Again

By: Associated Press
By: Associated Press

Michigan's unemployment rate jumped to 7 percent in July, a rise tied largely to automakers shutting down plants as they traditionally do in the summer to retool for newer models.

The June rate was 6.3 percent, and the state rate a year ago, when temporary auto layoffs also were a factor, was 6.7 percent. The national unemployment rate in July rose to a five-month high of 4.8 percent.

"Over the past year, Michigan has gained jobs in professional services and health care, but those additions continue to be offset by job loss in manufacturing," said Rick Waclawek, director of the state's Bureau of Labor Market Information and Strategic Initiatives.

"Michigan's economy is still being heavily impacted by job losses resulting from the continuing restructuring in the auto industry," he said in a news release.

The state lost 24,000 manufacturing jobs in July, although many of those were temporary layoffs tied to plant retooling. That loss made up much of the total 29,000 payroll jobs lost in July. The state also saw a drop of 5,000 jobs in leisure and hospitality services.

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