LANSING, Mich. (Michigan News Source) – Michigan’s unemployment rate grew to 5.4% in February, the highest since Sept. 2021, as the state increases the benefits for out-of-work residents for the first time since 2002. The unemployment rate was 5.3% in January.

The U.S. unemployment rate was 4.1% for February.

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Michigan’s unemployment rate has increased from 4.0% in February 2024 to 5.4% this past month.

On April 2, Michigan increases the maximum benefit an unemployed person can collect by $84 a week to $446, the first increase in 23 years. Also, the maximum number of weeks someone can collect benefits will go from 20 to 26. The maximum benefit amount that can be collected will be increased to $530 in 2026 and $614 in 2027.

“Expanding unemployment benefits isn’t just about supporting workers in tough times — it’s about building a stronger, more resilient economy where every Michigander has the stability to recover, grow and thrive,” said Department of Labor and Economic Opportunity Director Susan Corbin in a press release. “Increasing these benefits is a step in the right direction to help those navigating a sudden job loss to get back on their feet and to have financial support as they seek new employment.”