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Michigan's unemployment rate dropped to 12.8 percent in October, marking the first time since March 2009 the rate has been below 13 percent.

The data released Wednesday by the Michigan Department of Energy, Labor & Economic Growth (DELEG) reports unemployment edged downward by 6,000 in October, and total employment was essentially unchanged (-1,000).  The combination of these reductions pushed the state’s labor force down by 7,000 over the month.

The Michigan jobless rate in October 2010 was one and six-tenths percentage points below the October 2009 rate of 14.4 percent.  The national jobless rate decreased by five-tenths of a percentage point over this period.

The U.S. unemployment rate remained flat at 9.6 percent in October. 

“Michigan’s October labor market changes and jobless rate decline continued the relatively stable trends seen throughout 2010,” said Rick Waclawek, director of DELEG’s Bureau of Labor Market Information and Strategic Initiatives.  “Since October 2009, Michigan recorded moderate job gains in temporary help, health care, and manufacturing, which were offset by job losses in government and leisure and hospitality services.”

Job gains occurred throughout most industry sectors, with only two major sectors recording job losses over the month.  Education and health services (+9,000), professional and business services (+5,000) and trade, transportation and utilities (+4,000) reported the largest job additions in October.  Manufacturing and other services posted increases of 3,000 each, while several other major sectors displayed lesser gains.  Somewhat offsetting the various advances were job losses in leisure and hospitality services (-6,000) and government (-2,000).