With May Job Additions, Minnesota Reaches Lowest Unemployment Rate Since Mid-2000
Minnesota employers added 10,200 jobs in May, bringing the state unemployment rate down to 3.1 percent from its previous three-month-long perch at 3.2 percent.
Those seasonally adjusted figures, reported Thursday by the Minnesota Department of Employment and Economic Development (DEED), mark the lowest unemployment level since July 2000.
“Businesses are continuing to add employees, despite a tightening labor market,” said DEED commissioner Shawntera Hardy in a statement.
The May additions also offer a stark contrast to April’s outlook, as 3,200 jobs were shed that month.
“Minnesota bounced back with its strongest month of job gains in more than a year, following weather-related delays in new hiring in April,” said Hardy.
The leading industry for job gains was professional and business services, with 2,700 jobs added in May – after the sector was one of the top industries for April job cuts.
Financial activities saw no change in job numbers, while education and health services was the only sector that lost jobs during the month, shedding 600 positions.
Among the remaining industries, which all added jobs, some of the biggest gains were made in leisure and hospitality (up 2,200), construction (1,600), trade, transportation and utilities (1,500), and manufacturing (1,400).
Minnesota’s unemployment rate has consistently been better than the national average, and May was no different. The U.S. unemployment rate for the month fell slightly to 3.8 percent.
However, the state’s overall job growth in the past year is only 1 percent – with 29,188 jobs added – compared to the national growth rate of 1.7 percent.
Manufacturing, government, trade/transportation/utilities, and education and health services have led all industries in job gains throughout Minnesota in the last 12 months. Meanwhile, financial activities and logging and mining have shed jobs statewide in that same time frame.
Mankato was found to be the Metropolitan Statistical Area with the most jobs gained in the last year. Minneapolis-St. Paul MSA, Duluth-Superior MSA, and St. Cloud MSA all saw gains as well, while Rochester MSA saw a 0.7 percent decrease overall.