This month’s Labor Market Review brings you the latest workforce and economic trends shaping the U.S., Indiana, and Michigan.
- Please note: Indiana and Michigan state data reflects May 2025 activity due to reporting timelines, while national data reflects June 2025. Regional breakdowns are attached for a closer look.
Indiana – May 2025
Unemployment
- May rate: 3.4% (↑ 0.4 pts from April | ↓ 0.6 pts YoY)
Job Growth
- +1,100 jobs from April to May (+0.8%)
- +400 jobs year-over-year
Notable industry increases:
- Construction: +2.2%
- Professional & Business Services: +2.0%
- Leisure & Hospitality: +4.2%
Areas of concern:
- Transportation Equipment Manufacturing: flat, –2.1% YoY
- Retail Trade: flat, –1.0% YoY
Michigan – May 2025
Unemployment
- May rate: 5.4% (↓ 0.1 pts from April | ↑ 0.9 pts YoY)
- Jobless rates increased in 14 of 18 labor markets
- All 83 counties saw unemployment rates higher than last year
Job Growth
- +10,100 jobs added in May
- Private sector added +10,500 jobs; +40,300 over the past 12 months
Industries seeing growth:
- Leisure & Hospitality
- Professional & Business Services
- Construction
- Total employment declined by 5,359
- Labor force participation dipped slightly to 61.9%
U.S. Labor Market – June 2025
Unemployment
- Dropped slightly to 4.1% (↓ 0.1 pts from May)
- About 7.1 million Americans remain unemployed
Job Growth
- Added +147,000 nonfarm payroll jobs in June
Biggest gains:
- Healthcare: +49,000
- Government: +40,000
- Construction: +27,000
- Private-sector hiring is slowing, seeing its weakest growth in 8 months
Wages & Hours
- Average hourly earnings: +0.2% MoM | +3.7% YoY
- Average weekly hours dipped slightly, signaling shifts in demand
Inflation
- May 2025 CPI: +2.4% YoY
- Core inflation (excluding food & energy): +2.8%
- Energy prices have stabilized after earlier volatility
Federal Reserve & Interest Rates
- Fed held rates steady at 4.25%–4.50% on June 12
- A rate cut is now being eyed for September, depending on upcoming data
Trade & Economic Outlook
- Tariff-related inflation pressures continue
- Slower population growth and tighter immigration policy could limit workforce expansion
Market Sentiment
- Stock markets rose on June’s job gains
- Bond yields up as strong labor data fuels speculation on Fed decisions
Labor Market Reviews
Further Reading
National Economic References for Further Reading
📌 BLS – May 2025 CPI Summary
📌 Gross Domestic Product | U.S. Bureau of Economic Analysis (BEA)
📌 JOLTS Home : U.S. Bureau of Labor Statistics
📌 Unemployment Rate (UNRATE) | FRED | St. Louis Fed
📌 Reuters – US consumer prices rise moderately
📌 Reuters – Solid US job growth masks labor market cooling