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Indiana adds jobs in March, unemployment rate drops
The Statehouse File
April 22, 2012


Source: Indiana Department of Workforce Development

Source: Indiana Department of Workforce Development

INDIANAPOLIS — Indiana added jobs in March while its unemployment rate dropped slightly, according to data released Friday by the state’s Department of Workforce Development.

Indiana’s unemployment rate last month was 8.2 percent, which matched the national rate. It was the fourth consecutive month that the state’s jobless rate declined.

The state’s rate has not dropped below 8.2 percent since December 2008.

“It is good news that Indiana’s unemployment rate is on the way down,” said the state’s workforce commissioner, Mark Everson, in a statement. “Indiana has seen steady job growth since the beginning of the year, with manufacturing leading the way, adding almost 8,000 jobs.”

Indiana’s private sector employment grew last month by 5,300 jobs.

Everson said the state’s unemployment rate has improved even as the labor force has been increasing. He said that’s a sharp contrast from some of neighboring states that have seen their unemployment rates drop in large part due to individuals leaving the workforce.

Indiana’s workforce — a number that combines the population of those with jobs and those who are looking for jobs — increased by 36,000 people in the past 12 months.

But in Michigan — where the unemployment rate dropped to 8.5 percent — the number of people in the workforce is down 17,000 in the same period. The workforce is down in Ohio and Kentucky as well.

The number of people in the workforce has increased over the past year in Illinois.

Illinois, Kentucky and Michigan all have unemployment rates higher than Indiana. Ohio’s rate — at 7.5 percent — is lower.

In Indiana, job growth came in manufacturing, which added 3,400 jobs in March, and in hospitality, which added 2,500 jobs. Financial services also added 1,300 jobs.

Lower benefits

The drop in Indiana’s unemployment rate means that under federal law the state is no longer eligible for the fourth tier of federally funded extended benefits. Tier 4 is the final six weeks of the current 79 weeks of unemployment insurance available.

According to federal law, the state’s three-month average unemployment rate must be higher than 8.5 percent to qualify.

Hoosiers will be unable to file a new claim for tier 4 beginning May 20. Individuals currently receiving tier 4 benefits will be able to finish any remaining weeks on their claim. Roughly 5,000 Hoosiers are currently receiving the fourth tier of federally extended benefits.

Lesley Weidenbener is managing editor of TheStatehouseFile.com, a news website powered by Franklin College journalism students.


Copyright: Reporter-Times.com/MD-Times.com 2012

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