by Nick Dobbins
May 2023
Monthly analysis is based on seasonally adjusted employment data.
Yearly analysis is based on unadjusted employment data.
Seasonally adjusted Minnesota employment was up by 7,700 (0.3%) over the month in May. In the past two months the state has added 12,000 jobs. Goods producers added 800 jobs (0.2%) in May, while service providers added 6,900 (0.3%).
On an annual basis Minnesota employers added 56,261 jobs (1.9%). The private sector added 46,249 jobs (1.8%), and the public sector added 10,012 jobs (2.4%), both of them up from April's over-the-year change.
Employment in Mining and Logging was off by 200 (3%) over the month on a seasonally adjusted basis in May. The decline came on the heels of the addition of 200 jobs in April. Total employment is at 6,500, the same level it was in January of 2023.
Over the year Mining and Logging employers lost 92 jobs (1.4%). It was one of only two supersectors to lose jobs on the year along with Financial Activities.
Construction employers added 1,000 jobs (0.7%) in May. It was the second highest proportional monthly growth of any supersector in the state. The supersector added 1,900 jobs over the previous two months after losing 1,300 jobs in March.
On an annual basis Construction employers added 1,570 jobs (1.1%), which was up from 0.5% over-the-year growth in April. Specialty Trade Contractors added 1,231 jobs (1.4%), and Heavy and Civil Engineering added 782 (4%), while Building Construction was down by 443 (1.5%).
Employment in Manufacturing was flat in May, holding at 326,000. The supersector has not added jobs over the month since February. So far in 2023 Manufacturing employers have lost 800 jobs.
Over the year employment in Manufacturing was up 1,405 or 0.4%. Durable Goods Manufacturing employment was up 1,903 (0.9%) with particular strength in Fabricated Metal Product Manufacturing (up 821 or 1.8%) and Transportation Equipment Manufacturing (up 501, 4.3%). Non-Durable Goods employers lost 498 jobs or 0.4%, despite its only published component, Food Manufacturing, adding 182 jobs (0.4%).
Trade, Transportation, and Utilities employers lost 1,100 jobs (0.2%) over the month in May. Wholesale Trade lost 700 jobs (0.5%), and Retail Trade lost 1,000 jobs (0.4%). Transportation, Warehousing, and Utilities added 600 jobs (0.5%).
On the year Transportation, Warehousing, and Utilities added 3,024 jobs (0.6%), up slightly from April's 0.5% over-the-year increase. Retail Trade was up 1,307 (0.5%), and Transportation, Warehousing, and Utilities added 2,985 (2.6%), while Wholesale Trade employers shed 1,268 jobs or 1%.
Employment in Information was down by 400 (0.9%) in May, following three consecutive months of flat or positive growth.
Over the year Information employers added 990 jobs or 2.2%. This was the lowest proportional over-the-year growth for the supersector since September of 2021.
Financial Activities employment was off by 700 (0.4%) in April. Finance and Insurance lost 600 jobs (0.4%), and Real Estate and Rental and Leasing lost 100 (0.3%).
Over the year the supersector lost 1,175 jobs (0.6%), making it one of just three supersectors to lose jobs over the year. Finance and Insurance was off by 1,762 (1.1%), caused in large part by the loss of 2,500 jobs (4.1%) in component Credit Intermediation and Related Activities. Real Estate and Rental and Leasing was up 587 (1.7%) on the year.
Professional and Business Services employers lost 1,100 jobs (0.3%) over the month of April. The decline was driven by the loss of 2,900 jobs (2.2%) in Administrative and Support and Waste Management and Remediation Services. Management of Companies added 500 jobs (0.6%), and Professional, Scientific, and Technical Services added 1,300 (0.8%).
Over the year the supersector added 1,359 jobs (0.4%). Professional, Scientific, and Technical Services added 4,770 jobs (2.9%), but Management of Companies lost 75 jobs (0.1%), and Administrative and Support and Waste Management lost 3,336 jobs (2.5%), primarily from the shedding of 2,552 jobs (4.2%) from Employment Services.
Educational and Health Services added 1,900 jobs (0.3%) in May. The supersector has not posted negative monthly growth since June of 2022. Component sector Educational Services was up 1,000 (1.4%), and Health Care and Social Assistance was up 900 (0.2%).
Over the year the supersector added 17,442 jobs (3.2%). Educational Services employment was up 2,609 (3.7%). Health Care and Social Assistance was up 14,883 (3.1%). Every published component of the supersector added jobs on the year.
Employment in Leisure and Hospitality was up 2,300 (0.8%) over the month in May, posting positive growth for the fourth consecutive month. Accommodation and Food Services was up 2,500 (1.1%), while Arts, Entertainment, and Recreation was down by 200 (0.4%).
Over the year Leisure and Hospitality employers added 19,072 jobs or 7.3%. It was the largest real and proportional growth of any supersector in the state, as employers continue to recover from the effects of the COVID pandemic. Arts, Entertainment, and Recreation was up 5,931 (12.6%), and Accommodation and Food Services added 13,141 (6.2%).
Other Services employment was up by 100 (0.1%) in May. So far in 2023 the supersector has added 1,700 jobs on a monthly basis.
Over the year Other Services employment was up 1,007 (0.9%). Religious, Grantmaking, Civic, and Professional Organizations drove the growth, adding 1,194 jobs or 2.1%. Personal and Laundry Services was up 83 (0.3%), while Repair and Maintenance was down by 270 (1.2%).
Government employment was up by 1,400 (0.3%) over the month in May. The growth was driven by Local Government employment, which was up 1,300 (0.5%), possibly from heavy seasonal effects in education near the end of the school year. Federal employers added 100 jobs (0.3%), and State Government employment was flat.\
On an annual basis Government employment was up 10,012 (2.4%). All three levels of government added jobs. Federal was up 890 (2.8%), State employers added 527 jobs (0.5%), and Local employers added 8,595 (3%).
| Minnesota Seasonally Adjusted Nonagricultural Wage and Salary Employment (In Thousands) | |||
|---|---|---|---|
| Industry | May-23 | Apr-23 | Mar-23 |
| Total Nonfarm | 2986.7 | 2979 | 2974.7 |
| Goods-Producing | 468 | 467.2 | 466.6 |
| Mining and Logging | 6.5 | 6.7 | 6.5 |
| Construction | 135.5 | 134.5 | 133.6 |
| Manufacturing | 326 | 326 | 326.5 |
| Service-Providing | 2518.7 | 2511.8 | 2508.1 |
| Trade, Transportation, and Utilities | 530.5 | 531.6 | 529.5 |
| Information | 46.1 | 46.5 | 46.5 |
| Financial Activities | 189.7 | 189.9 | 191.1 |
| Professional and Business Services | 390.4 | 387.5 | 389.6 |
| Educational and Health Services | 563.4 | 561.5 | 559.5 |
| Leisure and Hospitality | 274.8 | 272.5 | 270 |
| Other Services | 107.1 | 107 | 106.9 |
| Government | 416.7 | 415.3 | 415 |
| Source: Department of Employment and Economic Development, Current Employment Statistics, 2023. | |||
