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Business and Job Growth in Southeast MN

Nearly 6,700 jobs added in five-year period

8/30/2018 11:00:00 AM

If you're looking for work in the manufacturing industry or health care sector, take a look at business expansion activity in southeastern Minnesota.

Manufacturing and the health care and social assistance sector dominated business expansion projects in southeastern Minnesota during the last five years, according to data gathered from DEED’s Publicly Announced Business Expansion tool.

Using the tool, DEED regional analyst Mark Schultz found that the region added nearly 6,700 jobs in the five-year period ending last December. During that span, the region had 59 reported businesses expansion projects, including 43 in the manufacturing sector.

The high number of manufacturing expansions isn’t surprising, given the prevalence of manufacturing in southeastern Minnesota. The industry accounts for nearly 16 percent of the area’s jobs and more than 18 percent of total payroll.

Of course, the largest-employing sector in the region is health care and social assistance, led by Mayo Clinic in Rochester. The analysis found that the sector accounts for 26.4 percent of all jobs and 35.6 percent of the payroll in the area.

Health care and social assistance attracted $330 million in expansion investments from 2013 through 2017. One Mayo project alone was responsible for $217 million in investments, 280 new jobs and 254,000 square feet of construction.

All that expansion and job growth, though, has consequences. Southeastern Minnesota now has the lowest job-seeker-per-vacancy ratio in the state at 0.6 to 1, meaning that for every 10 vacancies there are only six unemployed people actively seeking work.

As a result, businesses that are planning to expand might find it difficult to fill new jobs. Another issue that employers face is skepticism about staffing up to meet demand. An employer in the area fretted that potential new customers might take their business elsewhere if they fear local businesses don’t have the workforce to complete orders on time.

Learn more about the Southeast Planning Region in the latest issue of Trends.

Coming in September: Northfield Job and Career Fair

The Northfield Job and Career Fair will be held from 3-6 p.m., Thurs., Sept. 27 at the Northfield Ballroom. The Northfield Ballroom is located at 1055 Highway 3 in Northfield.

Bring your resume and come dressed to impress. Here are some tips for making the most of your time at the career fair.

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