At a study committee on the issues, regulators said the state may be missing millions in revenue because of fraud – but couldn't say how much they've recouped.
Indiana lags in training enough workers to fill thousands of open manufacturing jobs – and some say reforms passed this year won't help fix that fast enough.
State officials say the increase in the unemployment rate was sparked by an increase in the number of people reentering the job hunt.
Hundreds of school bus drivers are being required to pay back unemployment benefits they received over the past three summers.
Rep. Steve Bruan, R-Zionsville, is taking over for Scott Sanders, who then-Gov. Mitch Daniels appointed in 2012.
Indiana's unemployment rate fell to 5.9 percent in March, according to figures from the Department of Workforce Development.
The Department of Workforce Development will adopt the new program, Serve Indiana, which encompasses volunteer groups like AmeriCorps.
The governor says he hopes the new center will allow for greater cooperation in education and career development efforts.
Pence says the Indiana Career Council will focus on compiling information on the state’s existing workforce development and job training efforts.
Indiana’s manufacturing sector had its biggest one-month job increase in nearly nine years, but the state's unemployment rate also rose to 8.4 percent.