State unemployment rate ticks down to 3.3%
12/16/2021 8:25:38 AM
Minnesota gained 8,600 jobs in November, up 0.3% on a seasonally adjusted basis. The private sector gained 10,200 jobs, up 0.4%, according to numbers released today by the Minnesota Department of Employment and Economic Development (DEED).
The state unemployment rate ticked down two-tenths of a percentage point to 3.3%, due to people moving from unemployment to employment. The labor force participation rate declined slightly, to 67.7% from 67.8% in October, as 2,575 Minnesotans left the labor force.
Nationally, the U.S. gained 210,000 jobs in November, up 0.1%, with the private sector adding 235,000 jobs, up 0.2%. The U.S. unemployment rate fell four-tenths of a percentage point to 4.2% and the size of the labor force increased by 594,000, pushing the labor force participation rate up two-tenths to 61.8% in November.
"Continued job growth this fall has put Minnesota on steadier path for growth" said DEED Commissioner Steve Grove. "Combined with significant wage increases, the job market in Minnesota is hot. We’re reaching out every day to assist thousands of Minnesotans in finding meaningful careers that will help advance our economy at this critical point in our pandemic recovery."
Average hourly earnings for all private sector workers in Minnesota rose 42 cents to $33.79 in November over the month. Over the year average hourly earnings rose $1.73, up 5.4% and since November 2019 they are up 9.5%. Nationally private sector wages rose 4.1% over the year and 9.6% over two years. However, the Consumer Price Index, a measure of inflation, rose 6.8% over the year in November and 8.1% over 2 years.
Minnesota lost 416,300 jobs from February through April 2020 and has since gained 304,400 jobs, or 73% of the jobs lost on a seasonally adjusted basis. The private sector has regained 77% of the jobs lost.
In Minnesota, seven supersectors gained jobs and four lost jobs on a seasonally adjusted basis in November. Gains were in Leisure & Hospitality, up 2,900 jobs, Professional & Business Services up 2,100 jobs, Educational & Health Service up 1,600, Construction and Manufacturing each up 1,500 jobs, Other Services up 1,200 jobs and Trade, Transportation & Utilities up 600 jobs. Construction employment is near an all-time high for this time of year. Losses were in Government down 1,600 jobs, Information down 700 jobs, Financial Activities, down 400 jobs and Mining & Logging down 100 jobs.
Over the year, Minnesota gained 114,609 payroll jobs, up 4.1%. The private sector gained 115,950 jobs, up 4.9% over the year. Eight supersectors gained jobs and three lost jobs. Information and Financial Activities continued to show over the year losses, down 1,265 (-3.1%) and 3,353 (-1.7%) respectively. Government also showed over the year losses, down 1,341 or 0.3%. U.S. employment grew 4.1% over the year with the private sector up 4.6% in November. All supersectors showed gains nationally over the year. Four Minnesota supersectors show strength over the year compared to the U.S.: Leisure & Hospitality, Construction, Professional & Business Services and Manufacturing. Employment rose over the year in all Minnesota Metropolitan Statistical Areas.
Many Minnesotans continue to be out of work, but the employment impact of the pandemic on workers has been difficult to measure. The pandemic caused some people to drop out of the workforce, lowering labor force participation, which resulted in an unemployment rate below what would be expected given job losses. The table below accounts for this by showing an adjusted unemployment rate, based on 12-month moving averages, that includes both Minnesotans who are looking for work now and who would have been expected to be working or looking for work if it wasn't for the impact of the pandemic.
Not Seasonally Adjusted
|Unemployment Rate||Nov. 2021||Oct. 2021||Nov. 2021||Nov. 2020|
|Non-Farm Jobs||Nov. 2021||Oct. 2021||Nov. '20- Nov. '21 Level Change||Nov. '20- Nov.'21 % Change|
|Industry Supersector||OTY Job Change||OTY Growth Rate (%)||U.S. OTY Growth Rate (%)|
|Mining & Logging||21||0.3||8.2|
|Trade, Transport. & Utilities||11,489||2.2||3.0|
|Prof. & Business Services||24,201||6.8||5.5|
|Ed. & Health Services||1,498||0.3||2.1|
|Leisure & Hospitality||52,424||27.2||14.3|
|Metropolitan Statistical Area||OTY Employment Change||OTY Employment Change (%)|
|Minneapolis-St. Paul MN-WI MSA||68,883||3.7|
|Duluth-Superior MN-WI MSA||3,189||2.5|
|St. Cloud MSA||2,975||2.8|
Visit the DEED website to see DEED's alternative measures of unemployment. You can also find monthly jobs numbers and unemployment data on DEED's website. You can see resources to help Minnesotans prepare for and find employment now at CareerForceMN.com/GoodJobsNow.
DEED is the state’s principal economic development agency, promoting business recruitment, expansion and retention, workforce development, international trade and community development. For more details about the agency and its services, visit the DEED website, the JoinUsMn.com website, or follow us on Twitter.