Minnesota’s labor force growth continues to accelerate, with more than 9,000 people entering the labor market in June, the fourth month with positive change and the most significant monthly gain in three years.
With 9,017 new people in the job market, Minnesota’s labor force participation rate increased two-tenths of a percentage point to 68.4%, compared to 62.6% nationally. Minnesota’s unemployment rate remained steady at 2.9% in June. Nationally, the unemployment rate ticked down a tenth of a percent to 3.6%.
Minnesota lost 4,300 jobs in the last month on a seasonally adjusted basis, and the state’s private sector lost 6,500 jobs. Looking at job growth over the year, Minnesota and the U.S. are up 2.4%.
“More workers mean more good news for Minnesota. Our economy is strong with low unemployment, a growing labor force, and recognition as one of the top five states in the nation for business,” said DEED Commissioner Matt Varilek. “While job growth didn’t continue this month, the long-term trend remains strong: out of the past 12 months, Minnesota has posted nine job gains.”
Most of June’s job losses came from the Leisure and Hospitality supersector, which shed 5,300 positions on a seasonally adjusted basis. After an atypical surge in hiring to meet high consumer demand coming out of the COVID-19 pandemic, the sector’s employment is showing signs of returning to a more sustainable level. Despite this month’s job losses, the supersector has created more than 14,200 jobs yearly.
Other notable details from today’s jobs report include:
- Seven supersectors in Minnesota gained jobs seasonally adjusted since last month, including Government, which gained 2,200 jobs, and Trade, Transportation, and Utilities, which gained 1,200 jobs.
- In addition to Leisure and Hospitality, two supersectors lost jobs over the month: Professional & Business Services lost 2,500 jobs, and Manufacturing lost 2,300 jobs.
- All but one supersector posted optimistic over-the-year growth in Minnesota. Notable supersectors experienced annual growth that outpaced the nation: Education & Health Services led with the most significant increase, up 24,090 jobs (up 4.5% vs. 4.2% nationally); Leisure & Hospitality continued posting considerable growth, up 14,212 jobs (5.2% vs. 4.7% nationally); and Government was up 12,788 jobs (up 3.1% vs. 2.8%).
- Every Minnesota Metropolitan Statistical Area (MSA) gained jobs over the year, with the Minneapolis-St. Paul MSA leads with the most added jobs, up 45,105 positions, or 2.3%. The Mankato MSA is leading with the highest job growth rate, up 3,576 posts, or 6.5%.
DEED offers many services to both job seekers and employers. People wanting to find work now or explore their career options and employers looking for help finding workers are encouraged to contact a CareerForce location near them or call 651-259-7500. CareerForce staff can connect job seekers with local employers who are hiring or help them determine if they are eligible for free training for an in-demand career.
Visit the DEED website to view state and national employment statistics, monthly job numbers, and data. You can also find alternative measures of unemployment on the DEED website. In addition, see related articles about job growth and labor market changes in the latest issue of Minnesota Employment Trends—access resources to help Minnesotans prepare for and find employment now at CareerForceMN.com/GoodJobsNow.
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