Unemployment fell back below the 1000 barrier last month, dropping to 970.
Last month's figure was a 13-year high, but February saw a year-on-year decrease for the first time since August 2008.
It means 2.3% of the economically active population is unemployed.
Treasury Minister Allan Bell says the figure is encouraging.
Meat and cheese seized at Sea Terminal
Follows ban aimed at preventing spread of foot-and-mouth disease
Island company fined for anti-money laundering regulatory breaches
FSA found IPSL had considerable gaps in control framework and understanding of risk
Electronic red flag system to be tested tomorrow ahead of TT
System allows the clerk of the course to instantly signal a race stoppage
Manx Care's social care director appointed interim chief officer at DHSC
Professor Tim O'Neill joins the department on a 12-month secondment
Island's campsites prepare for TT visitors
Bookings already being taken for 2026