Unemployment rises sharply in Ottawa County, mirroring statewide trend

OTTAWA COUNTY — The number of unemployed people in Ottawa County jumped sharply in June, mirroring a statewide trend of rising joblessness, according to new data from the Michigan Department of Technology, Management and Budget.

The county's unemployment rate climbed to 5.1 percent, a significant increase from 3.8 percent just a year ago. While still among the lowest in the state, the jump reflects a broader weakening in the job market that has state officials paying close attention.

Allegan County experienced a similar upward trend, with its jobless rate hitting 5.2 percent in June, up from 3.9 percent last year.

Wayne Rourke, labor market information director for the Michigan Center for Data and Analytics, said the increase is "mainly due to the sharp rise of unemployed workers" who are actively seeking jobs. The 5.1 percent rate is the highest for Ottawa County since September 2020.

"It is a high rate — that’s one of the highest rates in a long time,” Rourke said.

Here are key points highlighted by Rouke: 

• Ottawa's June unemployment rate of 5.1 percent was the tenth lowest of all 83 Michigan counties.
• Ottawa's June unemployment rate of 5.1 percent was the highest since September 2020 (5.6 percent) when the state was recovering from the worst of the pandemic. Excluding 2020, unemployment rates for the county haven't been this high since the summer of 2014.
• The recent rise in the unemployment rate for Ottawa County and the state is chiefly due to an increase in the number of unemployed workers.

Current industry data for the county is not available, but statewide job data point to manufacturing and professional and business services as the state’s weakest industry sectors for payroll jobs. Statewide job gains have been strongest in private education and health services and construction.

"Michigan is prevalent to manufacturing and it’s one of the more cyclical occupations," Rourke said. He noted that while overall job numbers are still increasing, key industries such as manufacturing and business services are showing signs of weakness. 

Statewide, 74 of Michigan's 83 counties reported a greater number of individuals out of work compared to June 2024. The statewide jobless rate for June was 5.4 percent, a slight increase from May and 0.3 percentage points higher than in June 2024.

"There is a lot of turmoil in the market right now," Rourke said. "Jobs aren’t as strong as they used to be. There is going to be some volatility in the numbers."

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The Grand Rapids area, which includes Ottawa County, saw its jobless rate rise to 5.3 percent in June, an increase of 0.3 percentage points from May. This translates to 1,500 more people looking for work last month compared to the month before.

Despite the recent increases, state officials described the June unemployment rate changes as "typical." However, Rourke said he expects the employment data to be a point of interest for the foreseeable future.

"I think our unemployment data will be interesting for the next five to six months," he said.

In June, Livingston County had the lowest unemployment rate in the state at 3.4 percent, while Oscoda County had the highest rate at 10.7 percent.

To see an interactive annual report of the Ottawa County rate changes, click here. 

— Heather VanDyke covers northern Ottawa County for the Ottawa News Network. Contact her at hvandyke@ottawanewsnetwork.org.