Minnesota Unemployment Rate Falls In September

TWIN CITIES, MN — Minnesota’s unemployment rate dropped significantly in September, down to 6 percent from 7.4 percent in August, the Minnesota Department of Employment and Economic Development announced Thursday.

However, the drop was caused in part because many people stopped looking for work.

The state’s labor force participation rate fell to 68.4 percent in September, a drop of 1.3 percent. Minnesota’s labor force participation rate stood at 70.2 percent in February 2020.

Still, Minnesota’s labor force participation rate remains above the national average. The national labor force participation rate is at 61.4 percent for September and the national unemployment rate declined to 7.9 percent in September.

Minnesota’s jobs picture continued to improve in September, although more slowly than in previous months, with the addition of 14,800 payroll jobs, up 0.5 percent from August.

"We want people to know that Minnesota employers are hiring now – and many of the jobs being hired for now offer good-paying, steady employment in manufacturing, health care and other fields that offer a career ladder up," DEED Commissioner Steve Grove said in a news release.

"At DEED, we are working hard to connect Minnesotans looking for work with the employers who need them. If you’re looking for work, don’t give up – there are many good jobs out there now."

Employment gains in the state were led in September by the following:

• Educational and Health Services, up 6,100 jobs or 1.2 percent entirely in Health Care & Social Services
• Professional & Business Services up 5,600 or 1.5 percent with gains in both Management of Companies and Administrative & Support Services
• Manufacturing added 2,400 jobs, up 0.8 percent with gains split evenly between Durable and Nondurable Goods
• Leisure & Hospitality added 1,600 jobs overall, up 0.8 percent , with the gains in Accommodations & Food Services while Arts, Entertainment & Recreation lost 300 jobs over the month
• Financial Activities added 1,500 jobs, Information added 1,000 jobs, Construction added 900 jobs and Mining & Logging added 100 jobs over the month

The number of unemployed workers in Minnesota fell to 182,763 in September, down 47,868 from August, and down 120,203 since May, when the number peaked at 302,966. The number of employed people fell by 8,431 in September, up 105,711 since its low point in May.