ST. PAUL — The unemployment rate in Minnesota hovered at 4% for the second month in a row in June, according to new statistics from the state Department of Employment and Economic Development.
The state's labor force participation rate was also unchanged at 67.9%. Those statistics and others published Thursday, July 15, show Minnesota again outpacing the nation in terms of job growth and unemployment as states recover from the pandemic-recession.
"This month's numbers are a reminder that you don't just sail out of a global health pandemic," DEED Commissioner Steve Grove said during a news conference call Thursday. "It's going to be a little choppy, and it's not going to be a straight line between here and what's next."
Minnesota employers as of June have added back 59% of the 416,300 jobs lost between February and April of 2020, or roughly 245,800 jobs. That represents a downward revision from previously reported figures that owes to the difficulty economists face in applying the seasonal adjustment technique to current circumstances, according to DEED.
A statistical technique, seasonal adjustment is used to control for the influence of seasonal hiring patterns when reporting month-to-month unemployment rate changes, according the U.S. Bureau of Labor Statistics, and typically isn't used for annual average estimates. And on a seasonally adjusted basis, Minnesota lost 600 jobs between May and June, putting an end to the state's five-month streak of seasonally adjusted job gains.
But take seasonal adjustment out of the equation, Grove told reporters Thursday, and Minnesota actually added 36,000 jobs over the month in June, a one-month jump not seen since June of 2006.
"One of the things economists are figuring out," he said, "is what seasonally adjusted really means in today's world when the seasons don't match normal patterns given all that's happened with the pandemic."
Over the year in June, on a non-seasonally adjusted basis, Minnesota added 173,827 payroll jobs, up 6.4%. Nine of the state's "super sectors" posted annual gains.
The strongest over-the-year job gains were observed in the Rochester Metropolitan Statistical Area, which added 9,960 jobs in June, and in the Duluth Metropolitan Statistical Area, up 10,743. That represents an increase of 8.8% over the year for Rochester and 8.9% for Duluth.
On a seasonally adjusted basis, the following six Minnesota super sectors lost jobs over the month in June:
- Education & Health Services, down 2,500 jobs or 0.5%.
- Financial Services, down 2,200 or 1.2%.
- Construction, down 2,100 or 1.6.
- Leisure & Hospitality, down 500 or 0.2%.
- Manufacturing, down 300 or 0.1%.
- Mining & Logging, down 100 or 1.6%.
The following five super sectors in Minnesota added jobs over the same period:
Trade, Transportation and Utilities, up 2,700 jobs or 0.5%.
Government, up 2,500, or 0.6%.
Professional & Business Services up 1,200 , or 0.3%.
Information, up 400, or 1.0%.
Other Services, up 300, or 0.3%.