After three months of stasis, Indiana unemployment rate dips to 4%

After three months stuck at 4.1%, Indiana’s unemployment rate inched lower in September while the national rate continued to catch up, according to numbers released Friday by the Indiana Department of Workforce Development.

The state’s unemployment rate dropped to 4% in September after hovering at 4.1% between June and August.

Meanwhile, the national rate descended from 5.2% in August to 4.8% in September.

An estimated 134,842 Hoosiers are currently unemployed and seeking jobs, the state reported. That’s down from 137,857 in July.

Indiana’s labor force—which is composed of both employed and unemployed-but-willing-to-work residents—had a net decrease of 1,439 over August’s tally to about 3.34 million. This was a result of a decrease of 2,595 unemployed residents and an increase of 1,156 employed residents.

Indiana’s labor-force participation rate drooped to 63% in September from 63.1% in August. It again bettered the national rate of 61.6% in September.

The labor force participation rate indicates the percentage of all people of working age who are employed or are actively seeking work.

Private sector employment in Indiana in September fell by 300 from the previous month and is up by 63,500 over the year. Total private employment stands at 2,650,700, which is 89,800 below the December 2019 peak.

The monthly decrease was due in part to job losses in the Construction (-1,400) and Private Educational and Health Services (-700) sectors. Losses were offset somewhat by gains in the Manufacturing (1,400) and Professional and Business Services sectors (900).

Friday’s report broke out unemployment rates for six nearby states, four of which had higher unemployment rates than Indiana: Illinois (6.8%), Kentucky (4.3%), Michigan (4.6%) and Ohio (5.4%). Minnesota posted a 3.7% rate, and Wisconsin recorded 3.9%.