Minn. unemployment up in August

Associated Press

Last update: September 18, 2008 - 11:49 AM

ST. PAUL, Minn. - Minnesota employers dropped 3,100 jobs in August, causing the state's unemployment rate to rise slightly from the previous month, the Department of Employment and Economic Development reported Thursday.

Minnesota's seasonally adjusted unemployment rate was 6.2 percent for August, compared to 5.8 percent in July and 5.3 percent in May. That makes the state's rate slightly higher than the national unemployment rate of 6.1 percent in August.

Minnesota's unemployment rate was lower than the national average in June, but in July also slightly surpassed it.

"Employers are becoming more cautious about hiring as the national economy has slowed down," said Dan McElroy, the commissioner of the Department of Employment and Economic Development.

The sectors that saw the biggest job losses included professional and business services, manufacturing, leisure and hospitality, construction and information.

Sectors that bucked the trend with some growth included financial activities and trade, transportation and utilities.

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