by Nick Dobbins
Monthly analysis is based on seasonally adjusted employment data.
Yearly analysis is based on unadjusted employment data.*
Minnesota added 7,300 jobs (0.3 percent) in June on a seasonally adjusted basis. The gains were countered by a downward revision in the May estimates, which were revised from 1,900 jobs lost on the month to 8,400 jobs lost. The June rebound was spread around the market, as Public and Private employers, as well as Goods Producers and Services Providers, all saw increases of 0.2 percent or more. One supersector to buck this trend notably was Trade, Transportation, and Utilities, which lost 2,300 jobs (0.4 percent) in June. Over-the-year employment growth sped up in June as the state added 34,246 jobs (1.2 percent) over June 2015 estimates. This is in contrast to May, which showed over-the-year growth of only 0.7 percent. As has been the case in recent months, while annual gains were shared among Public and Private employers and Goods Producers and Service Providers, a handful of supersectors continue to struggle by this measure. Information has been losing employment since early 2013, and Mining and Logging continued its trend of 11 straight months with annual job losses caused by unfavorable ore prices, while Other Services had its second straight month of over-the-year job losses, and Manufacturing dipped back slightly into the red after two months of flat or positive growth.
Mining and Logging
Employment in the Mining and Logging supersector was down in June on a seasonally adjusted basis, off by 200 jobs (3.4 percent) from May estimates. Annually, the supersector lost 1,475 jobs (19.9 percent), continuing a trend of over-the-year job losses that dates back to July of 2015.
Employment in the Construction supersector was up by 1,300 (1.1 percent) in June on a seasonally adjusted basis. However, the gains came on the heels of a downward adjustment to May’s estimates that had the industry group losing 3,500 jobs, so June’s gains still haven’t brought employment levels back up to where they were in April. Annually, Construction added 4,684 jobs (3.7 percent). All three component industries added employment. Construction of Buildings was up by 263 jobs (1 percent), Heavy and Civil Engineering Construction was up by 2,316 (11.3 percent), and Specialty Trade Contractors added 2,105 jobs (2.6 percent).
Manufacturers added 200 jobs (0.1 percent) in June on a seasonally adjusted basis. The gains all came in Non-Durable Goods Manufacturing, which added 1,100 jobs (0.9 percent), as Durable Goods Manufacturing shed 900 jobs (0.4 percent). The monthly increase came on the heels of the loss of 2,200 jobs in May. Over the year, employment in the Manufacturing supersector was off slightly, down 269 jobs (0.1 percent) from June of 2015. Mirroring the monthly estimates, while Non-Durable Goods Manufacturers added employment (up 2,796, 2.4 percent) thanks to an increase of 2,773 jobs (6 percent) in Food Manufacturing, Durable Goods Manufacturers shed employment even faster (down 3,065 jobs or 1.5 percent).
Trade, Transportation, and Utilities
Employment in Trade, Transportation, and Utilities was down by 2,300 (0.4 percent) in June, as all three component industries lost jobs. Transportation, Warehousing, and Utilities dropped 1,000 jobs (1 percent), while Retail Trade lost 1,100 jobs (0.4 percent), and Wholesale Trade lost 200 (0.2 percent). Annually, the supersector added 1,571 jobs (0.3 percent) with split results among component sectors. Wholesale Trade lost 1,100 jobs (0.8 percent), while Retail Trade added 2,452 (0.8 percent) thanks in large part to the addition of 1,160 jobs (2.7 percent) in Grocery Stores. Transportation, Warehousing, and Utilities added 219 jobs (0.2 percent).
The Information supersector added 500 jobs (1 percent) in June, after a month of flat growth in May. Over the year, employment in the supersector shrank by 1,225 jobs (2.4 percent), with both published component industries (Telecommunications and Publishing Industries) losing jobs (down 1.8 and 3.4 percent, respectively).
The Financial Activities supersector added 700 jobs (0.4 percent) in June as both component industries grew. Finance and Insurance added 300 jobs (0.2 percent) while Real Estate and Rental and Leasing added 400 (1 percent). Over the year, Financial Activities added 1,918 jobs (1 percent). Finance and Insurance added 1,091 jobs (0.8 percent) in large part from a gain of 946 jobs (1.4 percent) in Insurance Carriers and Related Activities, while Real Estate and Rental and Leasing added 827 jobs (2.1 percent).
Professional and Business Services
Professional and Business Services lost 400 jobs (0.1 percent) in June, in addition to which May’s estimate was revised from a loss of 500 jobs to a loss of 5,200 jobs, bringing recent estimates to a flatter growth rate following April’s unexpected gain of 6,300 jobs. Management of Companies and Enterprises added 700 jobs (0.9 percent) in June, but was buried under the loss of 400 jobs (0.3 percent) in Professional, Scientific, and Technical Services and 700 jobs (0.5 percent) in Administrative and Support and Waste Management and Remediation Services. Annually, the Professional and Business Services supersector added 1,328 jobs (0.4 percent). Administrative and Support and Waste Management and Remediation Services was the only major component sector to lose jobs (down 1,118 or 0.8 percent), a decline which was primarily caused by the loss of 1,282 jobs (2.1 percent) in Employment Services.
Educational and Health Services
June employment in Educational and Health Services was up by 2,200 (0.4 percent) over May estimates with the addition of 2,600 jobs (0.6 percent) in Health Care and Social Assistance. Educational Services lost 400 jobs (0.5 percent) on the month. Annually, the supersector continued its strong performance, adding 23,105 jobs (4.6 percent) over June of 2015. Educational Services accounted for 7,609 jobs in that increase, while Health Care and Social Assistance added 15,496 jobs (3.5 percent) on the strength of an additional 11,696 jobs (8.2 percent) in Ambulatory Health Care Services, which includes the offices of physicians and dentists as well as medical and diagnostic laboratories and home health care services.
Leisure and Hospitality
Leisure and Hospitality added 2,600 jobs (1.0 percent) in June. All of the new jobs appeared in Accommodation and Food Services, which grew by 3,200 (1.5 percent) while counterpart Arts, Entertainment, and Recreation shrank at the same rate, losing 600 jobs. Annually, Leisure and Hospitality added 4,796 jobs (1.7 percent). As with the monthly estimates, all of that gain came from Accommodation and Food Services (up 5,618 or 2.5 percent) as Arts, Entertainment, and Recreation lost 822 jobs (1.7 percent).
Employment in Other Services was up by 1,200 (1.1 percent) in June. Over the year, employment in the supersector remained down, off by 1,174 jobs (1 percent), thanks primarily to a large decrease of 1,120 jobs (1.7 percent) in Religious, Grantmaking, Civic, Professional, and Similar Organizations.
Government employment was up by 1,500 jobs (0.4 percent) in June, with Federal (up 200 or 0.6 percent), State (up 400, 0.4 percent), and Local (900, 0.3 percent) governments all adding employment. Annually, public sector employers added 987 jobs (0.2 percent). The lion’s share of those gains arose in Local Government Educational Services, which added 1,843 jobs (1.3 percent) on the year.
|Seasonally Adjusted Nonfarm Employment (in thousands)
|Mining and Logging
|Trade, Transportation, and Utilities
|Professional and Business Services
|Educational and Health Services
|Leisure and Hospitality
|Source: Department of Employment and Economic Development, Current Employment Statistics, 2016.
*Over-the-year data are not seasonally adjusted because of small changes in seasonal adjustment factors from year to year. Also, there is no seasonality in over-the-year changes.