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Indiana unemployment rate improves in December for first time in months

By Brandon Smith

Posted January 23, 2024

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Indiana government building with the "A state that works" motto on the side

Indiana's unemployment rate has been below 4 percent since July 2021. (FILE PHOTO: Justin Hicks / IPB News)

Indiana’s unemployment rate improved in December for the first time in eight months.

The measure is 3.6 percent, back below the national unemployment rate and where the state’s unemployment rate had been in September and October. And the rate has now been below 4 percent for two-and-a-half years.

But Indiana’s labor force participation rate dropped in December to its lowest point in nearly two years. That measure takes into account not just people with jobs, but also those actively looking for work. It’s often used as a sign of optimism in the economy.

Join the conversation and sign up for the Indiana Two-Way. Text "Indiana" to 765-275-1120. Your comments and questions in response to our weekly text help us find the answers you need on statewide issues.

Still, the rate remains above the national labor force participation rate. And most of the state’s employment sectors added jobs last month. The notable exceptions were the financial sector and leisure and hospitality jobs.

Brandon is our Statehouse bureau chief. Contact him at bsmith@ipbs.org or follow him on Twitter at @brandonjsmith5.