St. Paul, MN – Minnesota employers added 10,700 jobs in March, the largest monthly gain in a year, and the labor force continued its pattern of growth, according to data released today by the Department of Employment and Economic Development (DEED).

Minnesota's overall job growth last month (0.4%) was four times faster than the national rate (0.1%), with Minnesota's private sector growing twice as fast as the U.S. overall (0.2% to 0.1%). The state's unemployment rate is 3.1%, up 0.1% from last month, compared to 4.2% nationally.

More than 2,700 Minnesotans joined the labor force last month, the 10th month out of the last 12 with labor force growth. The labor force participation rate increased one-tenth of a percentage point to 68.2%, compared to 62.5% nationally.

"Minnesota's job market has shown impressive resilience in the face of unprecedented uncertainty from the federal government," said DEED Commissioner Matt Varilek. "This month we added jobs at a much faster rate than the nation as a whole as employers continue hiring, and more Minnesotans joined the labor force to look for work. We stand ready to help employers and workers alike as we navigate the unique challenges we're facing."

Eight of the 11 supersectors gained jobs in March, with particularly strong growth in construction (up 1,900 jobs, or 1.4%). Government employment was up 1,500 over the month in March, with all growth coming from local and state governments. Federal employment was steady.

Recent federal mass layoff announcements are not yet reflected in this data because these estimates are based on employers' reporting of payroll jobs. If a mass layoff is planned but workers are still on payroll, then the job decline will not appear until employees are off payroll.

Minnesota gained 37,581 jobs, over the year, faster than the national rate of growth. The private sector gained 29,579 jobs – in line with the national average.

Locally, the Rochester Metropolitan Statistical Area grew by 5,790 jobs over the year, or 4.7%. Rochester has routinely ranked among the highest percentage-gaining MSAs in the United States over the last six months. The region's growth has been driven by employment gains in health care, as well as steady growth in retail, public administration, transportation & warehousing, leisure & hospitality and education.

"Minnesota has a diverse economy, allowing us to weather shifts in broader macroeconomic trends," said Angelina Nguyen, director of DEED's Labor Market Information Office. "Overall, it's reassuring that we have a strong job market in Minnesota despite the headlines we're seeing nationally."

Visit the DEED website to view full state and national employment statistics, monthly jobs numbers and further analysis of this month's data and a breakdown of the 2024 revisions. You can also find alternative measures of unemployment. In addition, find 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.