Labor force participation increased in Michigan from 2016 to 2017, marking the second straight year of increased participation. The labor force participation rate in Michigan is 4.2 percentage points less than the “Top Ten” average and 1.7 percentage points less than the peer state average. Michigan’s labor force participation rate in 2017 was lower than that of all peer states except for Alabama and Tennessee.
What It Is: The share of the population age 16 and older, not including residents who are on active duty or institutionalized, that is employed or looking for work.
Why It Matters: Members of the working-age population can stop looking for work and drop out of the labor force for many reasons, including disability, old age, or discouragement. Higher labor force participation is a sign of a healthier economy and workforce.