Minnesota’s labor market defied expectations in August, adding thousands of jobs and outpacing the country as a whole just a month after state officials warned of an economic slowdown.
Employers added 5,900 jobs in August, the state Department of Employment and Economic Development (DEED) reported Thursday. A routine revision to the July numbers showed the state lost just 500 jobs that month, less than the 4,400 first reported.
“August showed strong growth for Minnesota’s workforce, despite a nearly flat trend nationally,” DEED Commissioner Matt Varilek said Thursday. “We continue to monitor for changes in this picture due to the uncertainty coming out of Washington, but we’re pleased with Minnesota’s economic resilience.”
A month ago, state officials sounded the alarm that tariffs, federal funding cuts, mass government layoffs and an immigration crackdown were beginning to strain Minnesota’s economy as well as the country’s at large.
The monthly state jobs report, like the national report, relies on business survey responses and is regularly revised as more come in to DEED.
“Naturally, some months will get revisions that report better numbers; some months’ revisions report worse numbers,” said Angelina Nguyễn, DEED’s labor market information director. “So I would say, with monthly data that’s released, take it with a grain of salt in the sense of, don’t let one month define the whole picture.”
Minnesota added more than 39,000 jobs year-over-year in August, a 1.3% bump that outpaced a nationwide uptick of 0.8%, according to DEED. The state’s diverse headquarters economy typically helps protect it from shocks that hurt other parts of the country, officials said.
Cooling demand for workers nationally prompted the Federal Reserve to cut rates at its meeting this week in an effort to juice the slowing economy.