Industrial Analysis
by Nick Dobbins
February 2025
Monthly analysis is based on seasonally adjusted employment data.
Yearly analysis is based on unadjusted employment data.
Overview
The state of Minnesota added 9,600 jobs (0.3%) over the month in January on a seasonally adjusted basis. Goods producers added 900 jobs (0.2%), and service providers added 8,700 jobs (0.3%). The private sector added 9,700 jobs (0.4%) while the public sector lost 100 jobs (0.0%).
Over the year Minnesota employers added 46,785 jobs or 1.4%. Goods producers added 1,580 jobs (0.4%), and service providers added 45,205 jobs (1.8%). Private sector employment was up 34,610 (1.3%), and public sector employment was up 12,175 (2.9%).
Mining and Logging
Employment in Mining and Logging was flat over the month over the month on a seasonally adjusted basis in January. The supersector has had positive growth or stability in every month since June of 2024.
Over the year the supersector added 293 jobs (4.9%). This was higher than the nation, which was down 2.1% over the year.
Construction
Construction employment was up 1,200 (0.9%) in January on a seasonally adjusted basis. The growth came on the heels of a loss of 100 jobs in December.
On an annual basis the Construction supersector added 3,934 jobs or 3.3%, outpacing the national growth of 2%. Heavy and Civil Engineering Construction drove the growth, up 3,904 jobs or 35.3% on the year. Building Construction added 1,063 jobs (3.6%), while Specialty Trade Contractors lost 1,033 jobs or 1.3%.
Manufacturing
Employment in Manufacturing was down by 300 (0.1%) over the month of January. Durable Goods Manufacturing was down 400 (0.2%) while Non-Durable Goods Manufacturing added 100 jobs (0.1%).
Over the year Manufacturing employers lost 2,647 jobs or 0.8%, which was better than the national loss of 1.5%. The annual decline came among Durable Goods Manufacturers, which lost 5,273 jobs (2.5%) with declines in every published component sector save Wood Products Manufacturing (up 161 or 1.2%). Non-Durable Goods Manufacturing was up 2,626 jobs or 2.3%. Food Manufacturing was up 2,520 jobs or 5.5%.
Trade, Transportation, and Utilities
Trade, Transportation, and Utilities employers added 700 jobs (0.1%) in January. Retail Trade added 400 jobs (0.1%), and Transportation, Warehousing, and Utilities added 300 jobs (0.3%) while employment in Wholesale Trade was flat at 134,000 jobs.
On an annual basis employers in the supersector added 2,342 jobs or 0.4%, slightly less than the national growth of 0.7%. All three published component sectors added jobs on the year. Wholesale Trade was up 933 (0.7%), Retail Trade was up 599 (0.2%), and Transportation, Warehousing, and Utilities 810 jobs (0.7%).
Information
Information employment was up by 500 (1.2%) over the month. It was the first month of positive growth for the supersector since October 2024.
Over the year Information employment was down by 198 or 0.5%, which was better than the national decline of 2.2%. Telecommunications employers lost 344 jobs or 4%, while employment in Publishing Industries was mostly flat (down 7 jobs, 0.0%).
Financial Activities
Employment in Financial Activities was up by 100 (0.1%) on a seasonally adjusted basis in January. Real Estate and Rental and Leasing employment was up 100 (0.3%) while Finance and Insurance employment was flat.
On an annual basis the supersector lost 2,182 jobs or 1.2%. The decline came primarily from Finance and Insurance, which shed 2,644 jobs or 1.7%. Real Estate and Rental and Leasing added 462 jobs or 1.3%.
Professional and Business Services
Professional and Business Services employers added 1,900 jobs (0.5%) over the month of January after losing 200 jobs in December. All three published component sectors added jobs. Professional, Scientific, and Technical Services added 500 jobs (0.3%), Management of Companies and Enterprises added 700 jobs (0.8%), and Administrative and Support and Waste Management and Remediation Services added 700 jobs (0.6%).
Over the year Professional and Business Services lost 2,188 jobs or 0.6%. Administrative and Support and Waste Management and Remediation Services lost 4,573 jobs (3.9%), and Management of Companies lost 378 jobs (0.4%) while Professional, Scientific, and Technical Services added 2,763 jobs, or 1.7%.
Educational and Health Services
Employment in Educational and Health Services was up 4,300 (0.7%) over the month iv January. Educational Services added 1,100 jobs (1.5%), and Health Care and Social Assistance added 3,200 jobs (0.5%). The supersector has added jobs on a seasonally adjusted basis for 31 consecutive months.
On an annual basis Educational and Health Services employers added 28,315 jobs or 4.9%, while national employment in the supersector was up 4.3%. The annual growth came primarily in the Health Care and Social Assistance sector, which added 25,817 jobs or 5.2%. The Educational Services component added 2,498 jobs or 3.5%.
Leisure and Hospitality
The Leisure and Hospitality supersector added 800 jobs (0.3%) over the month on a seasonally adjusted basis. Accommodation and Food Services added 700 jobs (0.3%) while Arts, Entertainment, and Recreation added 100 jobs (0.2%).
Over the year the supersector added 3,930 jobs (1.5%), outpacing the national growth of 1.2%. Arts, Entertainment, and Recreation added 1,520 jobs (3.6%) while Accommodation and Food Services added 2,410 jobs (1.1%).
Other Services
Employment in Other Services was up by 500 (0.4%) over the month of January, after losing 1,100 jobs in December.
On an annual basis Other Services employers added 3,011 jobs (2.7%), slightly outpacing the national growth of 2.6%. All three published component sectors added jobs, with Repair and Maintenance up 482 jobs (2%), Personal and Laundry Services up 218 jobs (0.8%) and Religious, Grantmaking, Civic, and Professional Organizations up 2,311 jobs (3.7%).
Government
Government employment was mostly flat over the month, losing 100 jobs or 0.0%. Federal employers lost 100 jobs (0.3%), Local employers lost 500 jobs (0.2%), and State employers added 500 jobs (0.5%).
Over the year, Government employers added 12,175 jobs, or 2.9%. All three levels of Government added jobs. Federal employment was up 332 (1%), State employment was up 4,042 (3.9%), and Local employers added 7,801 jobs (2.7%). Most of the growth at both the State and Local levels came among non-education employers.
| Minnesota Seasonally Adjusted Nonagricultural Wage and Salary Employment (In Thousands) | |||
|---|---|---|---|
| Industry | Jan-25 | Dec-24 | Nov-24 |
| Total Nonfarm | 3044 | 3044 | 3034.4 |
| Goods-Producing | 467.5 | 467.5 | 466.6 |
| Mining and Logging | 6.6 | 6.6 | 6.6 |
| Construction | 140.2 | 140.2 | 139 |
| Manufacturing | 320.7 | 320.7 | 321 |
| Service-Providing | 2576.5 | 2576.5 | 2567.8 |
| Trade, Transportation, and Utilities | 537 | 537 | 536.3 |
| Information | 43.6 | 43.6 | 43.1 |
| Financial Activities | 188.1 | 188.1 | 188 |
| Professional and Business Services | 374.5 | 374.5 | 372.6 |
| Educational and Health Services | 604.8 | 604.8 | 600.5 |
| Leisure and Hospitality | 272.7 | 272.7 | 271.9 |
| Other Services | 117.3 | 117.3 | 116.8 |
| Government | 438.5 | 438.5 | 438.6 |
| Source: Department of Employment and Economic Development, Current Employment Statistics, 2025. | |||