Detroit’s unemployment rate drops below 7% for first time since 2000

Detroit’s unemployment rate has fallen to 6.4%, a 22-year low, according to November figures from the U.S. Bureau of Labor Statistics released last week.

It’s the first time since December 2000 that Detroit’s unemployment rate fell below 7%, Mayor Mike Duggan celebrated Thursday at the city’s workforce development center.

At the height of the COVID-19 pandemic in May 2020, the city’s unemployment rate spiked to 38%, but the rebound shows sustained progress, Duggan said.

Duggan said he believes even more progress is possible with thousands of jobs available. He attributes the trend to “success in attracting good-paying jobs in Detroit.”

“Detroit at Work currently has more than 8,400 jobs available today,” he said of the city’s workforce development program that aims to help create career opportunities for Detroiters at all levels of education, experience and skills and to give employers access to a pipeline.. “For the first time in my lifetime, we have a job available for every Detroiter who wants one.”

This year, the city is expected to add another 1,200 jobs at the Amazon distribution center at the old Michigan State Fairgrounds and break ground on a new employment center at the site of the former AMC headquarters, expected to provide up to 400 new jobs. Lear’s new seating facility on the site of the former Cadillac Stamping Plant also is expected to reach full employment of at least 400.

Detroit At Work provides training

Nicole Sherard-Freeman, the mayor’s Group Executive for Jobs, the Economy and Detroit at Work, said the city’s unemployment numbers continue to improve in large part because of accessibility to training and other supportive services. 

Dozens of free training programs are available at www.DetroitAtWork.com in construction and skilled trades, health care, information technology, manufacturing, transportation and hospitality.

Detroiters also can call (313) 962-WORK or visit any of the nine Detroit At Work career centers across the city to enroll.

Karen Banks turned to Detroit at Work when she was unemployed and was hired soon after by Majorel, a Fortune 500 Company that recently announced the opening of a Detroit office.

“Working for Majorel is a unique experience,” Banks said. “They are very welcoming. I am excited and looking forward to growing within the company.”

Gus Gikas, Majorel’s vice president of operations for North America, said in a press release that the company is committed to prioritize hiring Detroiters.

“Ultimately, the talent is what brought us to Detroit,” Gikas said. “You can train employees on the technical side of customer service, but success in this role takes compassion, a collaborative attitude, and positive thinking. Detroit at Work has outperformed our expectations and helped us get up and running with a pool of Detroiters who possess these qualities. We currently have over 575 team members and this would not have been possible without the strength of our partnership with Detroit at Work.”

Opportunities for Detroiters

JPMorgan Chase

• JPMorgan Chase launched its first virtual call center in the Corktown neighborhood in October.
• Using Detroit at Work as its sole talent sourcing provider, the center has hired 50 new employees to work as full-time, work-from-home account specialists and account supervisors, with starting wages of $22.50 per hour and an annual benefits package worth about $16,000. 
• More hires are expected as operations grow.  
• The new call center also provides an opportunity for Detroiters with a criminal background. Recently, JPMorgan Chase has removed all questions about criminal backgrounds from job applications. Second Chance hires represent approximately 10% of Chase’s new hires in the U.S. over the last three years.

Learn to Earn 

Detroiters can earn their diploma or GED while receiving a stipend and explore their options for training or new job opportunities immediately after graduating.

• With 20 hours per week participants can earn a GED/diploma in 4-6 months.
• They can also build skills that help find a new or better job after earning a GED/diploma. A career coach helps participants explore training and career options.
• The program includes a weekly stipend for up to 6 months.
• Other support available includes a laptop, internet access and help with transportation and referrals to child care.

Skills for Life

Skills for Life is a program launched by the mayor at the end of 2021 and has two ways to help Detroiters on their career paths.

Enrollees have the option, two days a week, to attend GED prep or Skills Refresh to complete their education or pursue a training certification.

Enrollees will also work with the City of Detroit’s General Services Department the other three days a week. These positions start at $15 and hour. After graduation, they earn up to $20-25 an hour.