September Payrolls Expand by 8,000 But Businesses Struggling To Keep Up

(KNSI) – Minnesota added 8,000 jobs in September, but most of that was in the public sector and not with private companies.

Education and health services grew by 6,000 jobs with support staff back at work. This summer was the first time certain school employees were allowed to claim unemployment while class was not in session. It applied to positions like food servers and others. It made it easier to track the seasonal layoffs and rehirings.

The Minnesota Department of Employment and Economic Development says government added 1,800 jobs. By contrast, the professional and business services sector lost 3,600 jobs. October’s data will be closely watched for the effects of another potential disruption.

Over the past year, manufacturing has shed over 1,700 jobs in Minnesota. The U.S. Bureau of Labor Statistics surveys unemployment data in the second week of each month. The figures for September were taken before the United Auto Workers began its strike. A cutback in production from automakers will be felt across several manufacturing and mining industries, which are already struggling to grow.

DEED is also highlighting an increase in the labor force, the seventh consecutive monthly gain. About 1,500 people began seeking employment in September. The jobless rate stayed constant at 3.1%. Commissioner Matt Varilek says, “Minnesota continues to add jobs and draw more people into the labor force – that’s great news.”

The labor force participation is 68.5%, slowly recovering towards pre-pandemic levels.

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