by Angelina Nguyen
June 2023
Minnesota's labor market is at a unique point in history: there are more than twice as many job openings as workers seeking employment.
At this time last year, the U.S saw low unemployment and high inflation peaking at rates not seen in decades. Over the past year, wage growth accelerated in an attempt to keep up with inflation, especially in sectors struggling to attract workers. In that same period, the Federal Reserve aggressively raised interest rates to tame inflation.
As expected, inflation is slowing down – while unemployment is still low and job growth is still positive and consistent. This is good news and a hopeful sign for the "soft landing" sought by the Fed.
Despite one of the highest labor force participation rates in the country, Minnesota's labor market still needs more workers. Like many other states, our workforce shortage is the defining feature in the current labor market. DEED and our workforce development partners throughout the state are working hard to meet this challenge and connect more workers with more open positions. Over the coming months and years, this work will be accelerated through historic workforce development initiatives approved during the last legislative session.
As we look at what's in store for the year ahead, Minnesota is full of opportunities for job seekers and businesses alike.
Angelina Nguyen
Director, DEED Labor Market Information Office
