Unemployment rate reaches historic low as Michigan legislators work to make Michigan a place of economic opportunity for all
In June, Michigan saw an additional 23,000 workers join the labor force which contributed to the state reaching a near-record-low unemployment rate of 3.6% — the lowest it’s been in nearly 25 years and a level only seen three times in the last 50 years. At the same time, CNBC named Michigan as a top ten state for business in 2023. With all this new data, the message to workers and businesses is clear: whether you’re looking for a good-paying job or a place to start a successful small business, Michigan is a state where you can thrive.
Sen. John Cherry (D-Flint), Chair of the Senate Labor Committee, listens to testimony on bills to restore prevailing wage and collective bargaining rights in March 2023.
“We’re working to build a Michigan where everyone — students, workers, business owners and retirees — can realize their full potential and achieve their version of the American Dream,” said Sen. John Cherry (D-Flint), Chair of the Senate Labor Committee. “These new unemployment numbers are proof that the Senate’s work to lower costs for Michiganders while passing a transformational, fiscally responsible budget is creating new economic gains that are directly impacting residents.”
Since taking office, our new Majority for the People has championed legislation to provide tax relief for Michiganders, protect workers’ rights and make it easier for businesses to relocate and expand here in Michigan. Here’s just a few highlights from our first seven months in office:
- Expanded the Earned Income Tax Credit (EITC), benefiting 750,000 Michigan workers and boosting local purchasing power to add an additional $553 million to our economy;
- Rolled back the unfair and unpopular retirement tax, putting an average of $1,000 back in the pockets of 500,000 seniors;
- Reinstated prevailing wage, ensuring workers receive fair pay for their labor;
- Restored collective bargaining rights, helping Michigan workers earn an average of 3.1% more than they would in states without strong worker protections;
- Expanded the Transformational Brownfield Plan program and made housing development projects eligible to receive tax increment financing (TIF) when transforming obsolete and vacant properties, helping to increase access to affordable housing; and
- Provided additional flexibility to businesses to establish Business Improvement Zones, increasing the tools that business owners have at their disposal to build more vibrant, cohesive community centers.
“We all want Michigan to be a place people want to work, live and raise a family — and a safe, equitable workplace is a desirable workplace. These policies will benefit our working families and, in turn, our businesses, our economy and our state,” said Sen. Mallory McMorrow (D-Royal Oak).
The release of these job growth and unemployment numbers also comes shortly after the Michigan Legislature passed a budget to make significant investments in people and communities across the state.
“We have made historic increases in funding for schools, infrastructure, housing, and workforce development,” said Sen. Sarah Anthony (D-Lansing). “We have reinvested in communities and programs that have been overlooked for far too long while remaining fiscally responsible and implementing unprecedented transparency measures. This transformational budget prioritizes the needs and wants of the people of Michigan — and that’s always how it should be.”
Just a few of the many investments included in the $81.7 billion budget that will propel Michigan’s economy forward include:
- $2.9 million to help expand minority-owned food and agriculture businesses, diversifying the industry and increasing Michigander’s access to nutritious and affordable food;
- $50 million in sustainable, recurring funding for the Housing and Community Development Program helping to alleviate affordable housing needs for workers across the state and support thousands of jobs;
- $70 million to prepare Michiganders to compete in the modern workforce by expanding the eligibility age for Michigan Reconnect and making a tuition-free associate degree or skills training certificate available to 350,000 more residents;
- $500 million for the Make it in Michigan Fund to bring manufacturing and other good-paying jobs back to our state and set Michigan up for continued economic success; and
- $50 million in sustainable, recurring funding for Revitalization and Placemaking Grants to make communities more attractive places to live and work by expanding housing options, constructing parks and beautifying shared space.
As a result of this historic slate of pro-worker, pro-business legislation and investments, Michigan is seeing manufacturing jobs come back home, new housing developments begin, community revitalization projects take off and more. Just recently, Gov. Gretchen Whitmer announced LuxWall, a leading venture capital backed company that manufactures energy-efficient windows, is establishing two manufacturing facilities in Michigan, creating more than 450 high-paying jobs in the process.
Jobs in advanced and automotive manufacturing are returning home, as state leaders strive to make Michigan a place where workers and businesses can thrive.
“Michigan is serious about being a leader in clean technology and [this] investment proves that the best manufacturing in the world happens in Michigan,” said Gov. Whitmer. “Let’s keep competing with anyone and working with everyone to bring home transformational investments in manufacturing so we can spur economic growth and create good-paying jobs for Michiganders.”
While we have much cause to celebrate, our work to keep growing our state’s economy and create economic opportunity for all continues. Included in the next round of legislation aimed at growing our economy is Sen. Kristen McDonald Rivet’s “Buy Michigan” bill, which would provide Michigan businesses with additional opportunities to secure contracts with the state.
As Legislators return to Lansing for fall session, our Senate Democratic Majority looks forward to building upon this economic momentum and delivering real results for Michiganders.
Read more from the Michigan Senate Democrats at SenateDems.com/press.