Minnesota Unemployment at 2%
ST PAUL -- Unemployment in Minnesota is at record lows.
The Minnesota Department of Employment and Economic Development set the unemployment rate Thursday at 2%. DEED Commissioner Steve Grove says the state has a mixed bag of economic data.
You have an economy that's doing well, where growth is happening, productivity increases, you see that record-low unemployment rate, labor force participation growing faster than I think many economists thought that it would. But there are some acute pain points with a tight labor market, and inflation outpacing wages faster than the rest of the nation that might make things feel a little more painful to consumers and businesses.
Job gains were seen in construction, manufacturing, professional and business services, and educational and health services. Job losses were reported in leisure and hospitality, government, and retail trade.
Minnesota has gained jobs for eight months in a row, adding more than 73,000 payroll jobs since April 2021.
However, wages in Minnesota are not growing as fast as in the rest of the country.
DEED reports the state wage growth in April was 3.44%, while the nation posted a 5.52% growth rate.
Grove says businesses are trying to adapt to what workers need.
You know, I guess our message to businesses, again, in the aggregate is that Minnesota businesses probably need to be raising wages faster than they are to attract workers, especially given we have the fifth tightest labor market in the country.
The average hourly wage in Minnesota is $33.52 per hour. DEED reports the unemployment rate in Minnesota is 2.4%, a record low.