by Nick Dobbins
August 2024
Monthly analysis is based on seasonally adjusted employment data.
Yearly analysis is based on unadjusted employment data.
Employment in Minnesota was up by 14,400 (0.5%) over the month in August on a seasonally adjusted basis. It was the second consecutive month of expansion for the state. Service providers drove the growth, adding 16,100 jobs (0.6%) while goods producers lost 1,700 jobs (0.4%).
Over the year employment in Minnesota was up by 41,695 jobs or 1.4%, an improvement over July's 1.1% growth and the second consecutive month of over-the-year improvement. Service providers posted positive growth (up 2%) while goods producers lost jobs (down 1.9%). Overall, five supersectors added jobs, and six supersectors lost jobs.
Employment in Mining and Logging was down by 100 (1.5%) in August on a seasonally adjusted basis. The supersector has lost jobs in six of eight months so far in 2024.
Over the year employment in Mining and Logging was down 150 jobs (2.2%) in August. The supersector has posted negative annual growth in each of the past three months.
Construction employment was down by 900 (0.7%) over the month in August. It was the second consecutive month of seasonally adjusted job losses in the supersector.
Over the year Construction employers lost 2,242 jobs (1.5%). All but one component sector lost jobs, with Building Equipment Contractors posting the only positive growth, up 633 or 1.5%. Specialty Trade Contractors lost 1,706 jobs (1.8%), and Construction of Buildings was down by 472 (1.4%).
Employment in Manufacturing was down by 700 (0.2%) in August. Employment in both component sectors was down 0.2%, with Durable Goods Manufacturing losing 500 jobs and Non-Durable Goods Manufacturing down 200 jobs.
Over the year Manufacturing employers lost 6,904 jobs (2.1%). Most of that loss came in Durable Goods, which was down 6,249 (3%) with negative growth in every published component sector. Non-Durable Goods was down 475 (0.4%) despite the addition of 979 jobs (2%) in Food Manufacturing, the only published major component sector.
Trade, Transportation, and Utilities employment was up by 1,000 (0.2%) over the month of August. The growth was concentrated entirely in the trade components, with Retail Trade up 1,100 (0.4%) and Wholesale Trade up 500 (0.4%), while Transportation, Warehousing, and Utilities lost 600 jobs (0.5%).
The supersector added 794 jobs or 0.1% on an annual basis. Both trade components lost jobs. Wholesale Trade was off 1,503 (1.1%) with that decline entirely in Nondurable Good Merchant Wholesalers. Retail Trade was down 485 (0.2%), owing in large part to a decline of 847 (3%) in Building Material and Garden Equipment Supplies Dealers, and 444 jobs (1%) in Grocery and Convenience Retailers. Transportation, Warehousing, and Utilities employers added 2,782 jobs (2.5%).
Information employment was up by 400 (1%) in August. The growth came following two consecutive months of job losses in which employment was down a total of 900 in the supersector.
Over the year employers in Information lost 2,365 jobs, or 5.3%. It was the largest proportional decline for any supersector in the state, as employers in Information returned to the long contraction trend that was present prior to the 2020 pandemic.
Employment in Financial Activities was up by 100 (0.1%) over the month in August. Finance and Insurance employers added 100 jobs (0.1%) while employment in Real Estate and Rental and Leasing was flat.
On an annual basis employment in Financial Activities was off by 4,716 or 2.5%, which was worse than July's -2.3%, but still improved over the 2.9% annual loss in March. Finance and Insurance was down 4,030 (2.6%), and Real Estate and Rental and Leasing was down 686 (1.9%). Every published component sector lost jobs on the year.
Professional and Business Services employers lost 3,900 jobs (1.1%) in August. It was the first monthly growth in the supersector since January, and the largest monthly growth since September of 2022. The growth came entirely in Administrative and Support and Waste Management and Remediation Services (up 4,400 or 3.9%) as both other component sectors lost jobs.
Over the year employment in the supersector was down by 12,579 jobs or 3.2%. This is the best annual growth the supersector has posted since April and the second month of improvement after posting annual losses of 5.3% in June. The August change was mostly driven by Administrative and Support and Waste Management, which moved from -11.8% in July to -6.8% in August. Of particular note is Employment Services, which is sometimes viewed as a leading indicator for employment change and which moved from -11.3% annual growth to -5.4% in August.
Employment in Educational and Health Services was up 4,200 (0.7%) over the month in August. Both component sectors added jobs, with Educational Services up 1,100 (1.5%) and Health Care and Social Assistance adding 3,100 jobs (0.6%). The supersector has added jobs in 22 consecutive months dating back to November of 2022.
Over the year Educational and Health Services employers added 39,968 jobs (7.1%). It was the highest proportional annual growth of any supersector in the state. Educational Services was up 7,284 (11.8%), and Health Care and Social Assistance was up 32,684 (6.5%).
Leisure and Hospitality was up 4,300 (1.6%) over the month of August. It was the highest proportional monthly growth of any supersector in the state. The growth came entirely in Accommodation and Food Services, which added 4,500 jobs (2%), while Arts, Entertainment, and Recreation employment was down 200 (0.4%).
On an annual basis employment in Leisure and Hospitality was up 5,523 or 1.9%. Accommodation and Food Services added 7,869 jobs (3.4%), with its growth coming entirely in Food Services and Drinking Places (up 9,341 or 4.6%). Arts, Entertainment, and Recreation employers lost 2,346 jobs or 4.2%.
Employment in Other Services was up 800 (0.7%) in August. It was the second consecutive month of growth for the supersector, adding 1,900 total jobs during those two months.
Over the year employment in Other Services was up 3,233 or 2.8%. All published components added jobs, with Religious, Grantmaking, Civic, and Professional Organizations up 3% (1,880 jobs) and growth of 2.6% in both Repair and Maintenance and Personal and Laundry Services (up 634 jobs and 719 jobs, respectively).
Government employers added 1,400 jobs (0.3%) over the month in August. State employers added 600 jobs (0.6%), and Local Government employers added 800 jobs (0.3%). Employment at the Federal Government level was flat, holding at 33,300 jobs.
Over the year Government employers added 21,133 jobs or 5.4%. This was the second highest proportional annual growth in Minnesota, trailing only Educational and Health Services. Federal employers added 596 jobs (1.8%), State employers added 3,692 jobs (4%), and Local employers added 16,845 jobs (6.3%). The only published government sector to lose jobs on the year was the U.S. Postal Service, which was off by 51 jobs or 0.4%.
