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Indiana's employment rate improves, but fewer people are looking for work

Purdue University Fort Wayne Community Research Institute's director said although the preliminary data shows more people are being hired in the job market, it could also mean some people may have given up looking for work.
FILE PHOTO: Justin Hicks
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IPB News
Purdue University Fort Wayne Community Research Institute's director said although the preliminary data shows more people are being hired in the job market, it could also mean some people may have given up looking for work.

Indiana's unemployment rate has improved, standing at 3.6% before seasonal adjustments. One expert names a few possible reasons behind this progress.

Indiana's unemployment rate has improved for five consecutive months, with it currently standing at 3.6% before seasonal adjustments. During the same time period, the state's labor force saw a slight decrease.

The labor force participation rate includes Hoosiers 16 and older who are either working or actively looking for work. In February, the rate was 63.8% — currently it is 63.7%.

Rachel Blakeman is the director of the Purdue University Fort Wayne Community Research Institute. She said although the preliminary data shows more people are being hired in the job market, it could also mean some people may have given up looking for work.

"Unemployment rate can go down even if more people aren't working, because when people give up looking, they disappear from the job market," Blakeman said.

READ MORE: What does Indiana's monthly employment report measure? Here's what you should know

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Blakeman said some people looking for work may have a hard time finding a job because their skills may not match available job openings. She also said some people may want a job that not only fits their skills, but also pays enough to incentivize them to go back to work.

Timoria is our labor and employment reporter. Contact her at tcunningham@wfyi.org.
Copyright 2025 IPB News

Timoria Cunningham

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