Regional Analysis

by Nick Dobbins
August 2025

Minneapolis-St. Paul-Bloomington Metropolitan Statistical Area (MSA)

Employment in the Minneapolis-St. Paul-Bloomington MSA was down by 19,031 (0.9%) over the month in July, on a not-seasonally-adjusted basis. This was in line with monthly changes in July in previous years. Government employment drove the losses, shedding 19,189 jobs or 7.2%, the largest real and proportional decline of any supersector. Local Government Educational Services shed 18,394 jobs or 20%, as schools let out for the summer. Professional and Business Services lost 4,139 jobs or 1.4%. The largest proportional growth came in Mining, Logging, and Construction, which was up 1.9% (1,855 jobs). The largest real job growth was in Educational and Health Services, which added 2,410 jobs (0.6%) despite the loss of 1,406 jobs (3.2%) in Educational Services. Health Care and Social Assistance employment was up 3,816 jobs or 1.1%.

Over the year employers in the metro area added 16,093 jobs or 0.8%. Annual growth has been between 0.5% and 1% consistently in every month since July of 2024. Educational and Health Services employment was up 13,673 (3.7%) with growth in all published components. Government employers added 9,042 jobs or 3.8%, the largest proportional growth of any supersector in the area. The largest real job loss was in Financial Activities (down 4,446 or 3%), and the largest proportional loss was in Other Services (down 3.1%, 2,500 jobs). Overall, six of 10 published supersectors added jobs, while four lost jobs on the year.

Duluth-Superior MSA

Employment in the Duluth-Superior MSA was down by 922 (0.7%) in July. This was slightly worse than the statewide monthly growth of 1%. The largest real and proportional decline was in Government, which was down by 1,403 jobs or 5.6%. State Government was down 5.3% (365 jobs), and Local Government was down 6.2% (1,041 jobs). The largest real and proportional growth was in Leisure and Hospitality, which added 261 jobs or 1.7%. Overall seven of 10 published supersectors added jobs on the month, while three lost jobs.

On an annual basis Duluth area employers added 993 jobs or 0.8%. Educational and Health Services drove the growth, adding 1,490 jobs or 4.9%. Government employers added 488 jobs (2.1%) with growth at the state and local levels. Manufacturing employment was up 152 jobs or 1.8%. Only four of 10 published supersectors added jobs on the year. The largest real and proportional job loss in the area came in Mining, Logging, and Construction, which shed 600 jobs or 5.8%. Financial Activities employment was down 3.1% (154 jobs), and Other Services was down 2% (121 jobs).

Rochester MSA

Employment in the Rochester MSA was up by 844 (0.6%) over the month of July. This was the strongest monthly growth of any MSA primarily in Minnesota. Three of the 10 published supersectors lost jobs, while seven added jobs. Educational and Health Services employment was up 1,079 or 1.7%, the largest real and proportional growth of any supersector in the area. The largest declines came in Government employment, which was off by 337 or 2.4%, in large part from the loss of 323 jobs (2.7%) at the Local Government level.

On an annual basis, employers in Rochester added 7,622 jobs or 5.9%. This was the highest annual growth of any MSA primarily in Minnesota. The additions were driven primarily by Educational and Health Services, which was up 7,281 jobs or 13.1%. Government employers added 671 jobs or 5%, with large annual growth at both the State and Local levels. The largest annual real job decline came Leisure and Hospitality (down 482 jobs or 4%) while Information employers posted the largest proportional decline (down 4.5% or 46 jobs).

St. Cloud MSA

The St. Cloud MSA lost 488 jobs (0.4%) over the month. Five supersectors added jobs, and five lost jobs on the month. The overall declines were driven primarily by Government employment, which was down 882 (6.1%) with Local Government employment off by 7.9% (725 jobs). The largest real job growth in the area came in Educational and Health Services (up 233 jobs or 1%) while the largest proportional growth was in Mining, Logging, and Construction (up 1.9% or 168 jobs).

Over the year St. Cloud-area employers lost 69 jobs or 0.1%. It was the only MSA primarily in Minnesota to post negative annual job growth.  Seven of 10 published supersectors lost jobs on the year, led by Leisure and Hospitality (down 270 jobs or 3.2%) and Other Services (down 175 jobs or 4.2%). The largest real and proportional positive job growth was in Educational and Health Services, which added 885 jobs or 4.1%.

Mankato MSA

Employment in the Mankato area was off by 638 or 1.1% in July. This was the lowest proportional growth of any MSA primarily in Minnesota. The decline came entirely from the public sector, which was off by 738 jobs or 7.1%, while private sector employers added 100 jobs or 0.2%. Goods producers added 94 jobs (0.9%) while service providers shed 732 jobs (1.5%).

Annually Mankato employers added 2,963 jobs or 5.3%. All published series posted positive annual growth. Public sector employers added 1,478 jobs (18.1%), and private sector employers added 1,485 jobs (3.1%). Goods producers added 120 jobs (1.2%) while service providers added 2,843 jobs (6.2%).

Fargo-Moorhead MSA

Employment in the Fargo-Moorhead MSA was down by 2,479 jobs (1.6%) over the month of July. The loss was driven largely by a decline in Government employment, which was off by 2,441 jobs (11.6%) on the month with losses at all three levels. Only two of 10 published supersectors added jobs in the area, with Manufacturing up 349 (2.8%) and Mining, Logging, and Construction up by 32 (0.3%). Service providers lost a combined 2,860 jobs or 2.2%.

Over the year employers in the Fargo-Moorhead area added 152 jobs or 0.1%. Educational and Health Services posted the largest gains, adding 1,343 jobs or 4.6%. Six published supersectors lost jobs on the year, with the Professional and Business Services down 890 (5.8%), Government down 554 (2.9%), and Trade, Transportation, and Utilities down 470 (1.5%).

Grand Forks-East Grand Forks MSA

The Grand Forks-East Grand Forks MSA lost 455 jobs (0.8%) in July. Government employment drove the declines as it was down 450 jobs (3.5%) with losses in all three component sectors. State and Local Government were both down 3.6% (194 jobs and 234 jobs, respectively), while Federal employment was down 2.2% (22 jobs). The largest monthly growth came in Manufacturing, which was up by 64 jobs or 0.4%. Seven of 10 published supersectors in the area lost jobs on the month.

Over the year Grand Forks-area employers added 1,141 jobs or 2.1%. Eight of 10 published supersectors added jobs on the year. Manufacturing was up by 224 (4.8%), Educational and Health Services was up by 429 jobs (4.5%), and Trade, Transportation, and Utilities was up by 282 (2.6%). The only supersectors to post negative annual growth were Mining, Logging, and Construction (down 23 jobs or 0.6%) and Financial Activities (down 18 jobs or 1%).