Michigan’s job market in 2025 has faced notable challenges, with the state recording one of the highest unemployment rates in the nation. As of April 2025, Michigan’s unemployment rate stood at 5.5%, marking a 1.1 percentage point increase from the previous year and placing it just behind Nevada for the highest state jobless rate in the U.S..
While the state average is concerning, some counties are experiencing unemployment rates far above this figure, reflecting regional disparities driven by local economic conditions, industry shifts, and seasonal employment patterns.
Latest Unemployment Statistics by County
Unemployment rates in Michigan vary widely across counties. According to the most recent data from April 2025, the range spans from a low of 2.7% in Livingston County to a staggering 17.9% in Mackinac County. The counties with the highest unemployment rates are predominantly rural and often reliant on seasonal industries or sectors experiencing long-term decline.
Top 10 Michigan Counties by Unemployment Rate (April 2025)
| Rank | County | Unemployment Rate (%) |
|---|---|---|
| 1 | Mackinac | 17.9 |
| 2 | Cheboygan | 13.9 |
| 3 | Oscoda | 12.3 |
| 4 | Presque Isle | 11.9 |
| 5 | Alger | 11.4 |
| 6 | Alcona | 10.9 |
| 7 | Luce | 10.7 |
| 8 | Ogemaw | 10.1 |
| 9 | Montmorency | 9.8 |
| 10 | Iron | 9.5 |
Source: USAFacts, April 2025
Factors Behind High Unemployment
Several factors contribute to the elevated unemployment rates in these counties:
Seasonal Employment: Many of the highest-unemployment counties, such as Mackinac and Cheboygan, are heavily reliant on tourism and hospitality, which see significant off-season layoffs.
Industry Decline: Areas dependent on manufacturing, mining, or resource extraction have faced job losses as these sectors contract or automate.
Rural Challenges: Smaller populations and fewer diverse job opportunities make economic recovery slower in rural areas.
Statewide and Regional Trends
The overall unemployment rate in Michigan increased for the third consecutive month as of March 2025, with notable job losses in manufacturing, professional services, and retail trade.
Regional unemployment rates in May 2025 ranged from 4.6% to 7.4%, with the Detroit metropolitan area experiencing the largest monthly increase.
All 18 labor market areas in Michigan saw year-over-year unemployment rate increases, with the Bay City, Flint, and Saginaw areas recording the most significant annual jumps.
Conclusion
Michigan’s unemployment landscape in 2025 highlights stark contrasts between counties. While the state as a whole faces elevated joblessness, certain counties—especially those dependent on seasonal or declining industries—are grappling with unemployment rates several times higher than the state average.
Mackinac County, with a 17.9% unemployment rate, exemplifies the acute challenges facing some rural communities. Addressing these disparities will require targeted economic development, workforce retraining, and support for industry diversification to foster more resilient local economies.
Source:
[1] https://usafacts.org/answers/what-is-the-unemployment-rate/state/michigan/
[2] https://milmi.org/datasearch/unemployment-by-county
[3] https://www.bls.gov/news.release/laus.nr0.htm
[4] https://www.michigan.gov/dtmb/about/newsroom/all-news/2025/06/26/michigan-regional-jobless-rates-advance-in-may
[5] https://stacker.com/stories/michigan/counties-highest-unemployment-michigan
[6] https://www.cbsnews.com/detroit/news/michigan-unemployment-rate-second-highest-march-2025/
[7] https://www.bls.gov/web/laus/laumstrk.htm
[8] https://fred.stlouisfed.org/release/tables?rid=116