ST. PAUL, MN – Minnesota employers added 5,900 jobs in August, strong growth that defied a nearly-flat employment picture on the national level, according to new data from the Department of Employment and Economic Development (DEED).
Minnesota’s growth equated to a 0.2% increase in jobs in August, compared to effectively flat employment for the United States as a whole. Minnesota also added nearly 1,100 workers to its labor force. The unemployment rate increased one-tenth of a percentage point to 3.6%, compared to 4.3% nationally, and the labor force participation rate is at 68.1% compared to 62.3% nationally.
Over the year, Minnesota gained 39,255 jobs, up 1.3%. The private sector gained 37,692 jobs, up 1.4%. Both figures outpaced national statistics: U.S. employment grew 0.8% over the year with the private sector up 0.9%.
“Minnesota’s labor market had a strong month in August, adding thousands of jobs and people looking for work,” said DEED Commissioner Matt Varilek. “We continue to monitor our economy for signs that federal disruptions are affecting Minnesota employers. But in August, we outpaced national trends.”
Six supersectors added jobs over the month, with particularly strong gains in Construction (up 1,900 jobs, or 1.3%), the third consecutive month of growth, and Education and Health Services (up 4,300 jobs, or 0.7%).
Four supersectors lost jobs, led by Government employers, which shed 2,400 jobs, or 0.5%, mostly at the local level. Over the year, Minnesota has added government jobs overall, even as federal employment has fallen by 1,076 jobs, or 3.2%.
Manufacturing lost 900 jobs in August, down 0.3%, the third consecutive month of job losses in that supersector.
“The labor market is moving towards equilibrium,” said Angelina Nguyen, DEED Labor Market Information director. “The unemployment rate is now at a spot close to ‘natural unemployment.’ This month we added more workers looking to access the open jobs in our state. High labor force participation is our labor market’s asset.”
Minnesota’s employment numbers for July were revised upward by 3,900 jobs, meaning the state only saw a small loss of 500 jobs that month.
On September 9, the Bureau of Labor Statistics announced preliminary revisions for national-level job estimates over the last year. Minnesota’s annual data will be updated after national revisions are finalized in February.
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