Minnesota’s unemployment rate ticked down one-tenth of one point to 2.9 percent in August on a seasonally adjusted basis, bringing the number of unemployed to under 90,000 for the first time in over 18 years. The last time Minnesota’s rate was this low was December 1999.
Minnesota’s labor force participation rate fell two-tenths of a point to 70.3 percent, the second consecutive monthly decline after trending upward throughout the first half of the year, and the employment-to-population ratio fell one-tenth of a point to 68.3 percent.
U.S. unemployment remained at 3.9 percent on a seasonally adjusted basis in August.
Minnesota added 50,900 jobs in August over the year, up 1.7 percent. The private sector added 46,000 of those jobs, up 1.8 percent over the year. These over-the-year growth rates are down slightly from July.
U.S. employment rose 1.8 percent for all payroll jobs and 2.1 percent for private sector payroll jobs.
Three sectors shed jobs over the year, with Other Services down 1,030 or 0.9 percent, Information down 720 or 1.4 percent and Financial Activities down 280 or 0.2 percent.
All other sectors added jobs over the year. The largest gains were in Leisure & Hospitality up 11,800 jobs or 4.1 percent, Trade, Transportation & Utilities up 8,330 jobs or 1.5 percent, Education & Health Services up 8,020 jobs or 1.5 percent, Manufacturing up 7,440 jobs or 2.3 percent and Construction up 6,830 jobs or 5.1 percent.
Five sectors in Minnesota, Construction, Manufacturing, Professional & Business Services, Leisure & Hospitality and Government, lead the U.S. in annual job growth in August, and Trade, Transportation & Utilities tied.
Minnesota lost only 200 jobs over the month in August on a seasonally adjusted basis, virtually flat compared to July. Private employers shed 1,200 jobs. This pause in hiring comes after three months of gains adding up to 30,500 jobs.
The sectors that lost jobs in August were Educational & Health Services, Manufacturing, Trade, Transportation & Utilities, Information, Financial Activities, Professional & Business Services and Other Services. Job losses were wide spread across sub-sectors in these sectors with no large losses standing out.
The sectors that adding jobs in August were Construction, Leisure & Hospitality and Government.