Regional Analysis

by Amanda Rohrer - amanda.rohrer@state.mn.us
August 2009

Monthly analysis is based on unadjusted employment data.

Minneapolis-St. Paul Metropolitan Statistical Area (MSA)

Employment in the Minneapolis-St. Paul-Bloomington MSA declined by a more-moderate-than-average 1 percent (17,300) in July. Declines over the year, however, are still substantial at 3.5 percent (63,300). Most of the decline came from losses in government employment, which fell 5.4 percent (13,300) over the month, but was still up 2.4 percent (5,600) over the year. While state government employment change was substantial, falling by 1.8 percent (nearly 1,300) over the month, the overall decline was dominated by local government education, which fell 22.3 percent (19,300) over the month. Private sector employment overall was down 0.3 percent (just over 4,000). Most individual industries were similarly stable, increasing or decreasing employment by less than 2 percent. The exception is mining, logging, and construction which grew 2.7 percent (1,600) over the month, but was still down 20.3 percent (16,600) over the year.

Duluth-Superior MSA

Employment in the Duluth-Superior MSA declined 1.8 percent (2,300) over the month and 4.4 percent (5,800) over the year. The majority of the monthly loss was from a 10.6 percent (1,900) decline in local government employment, a fairly typical decline for July. The most substantial private-sector losses were in trade, transportation, and utilities, which fell 1.2 percent (nearly 300) over the month. Most other industries experienced moderate monthly losses. The annual loss was concentrated in mining, logging, and construction (down 32.1 percent, 3,000), with significant declines in manufacturing (14 percent, more than 1,200) and in trade, transportation, and utilities (down 4 percent, 1,000) as well.

Rochester MSA

The 0.6 percent (less than 700) decline in Rochester’s employment over the month was typical for July, although over-the-year employment is down 1.6 percent (1,800). The annual loss was concentrated in private-sector employment (down more than 1,300, 1.4 percent over the year), but over the month there was actually employment growth (up 0.4 percent, 400) in the sector. Educational and health services drove the growth in the MSA, up 1.2 percent (500) over the month and 1.9 percent (800) over the year. The annual losses were concentrated in manufacturing, which fell 10.6 percent (1,300) over the year, but saw a slight gain over the month (up 0.5 percent, 50). Government employment declines stemmed from a typical seasonal drop in local government employment of 11.4 percent (1,000).

St. Cloud MSA

Employment in the St. Cloud MSA declined 1.7 percent (1,700) over the month and by 2.7 percent (2,700) over the year. Most of the monthly decline was in government employment, which fell 9.6 percent (1,400). Local government employment accounted for nearly 1,300 of the loss (14.8 percent), in line with the seasonal trend driven by education employment. Even so, over the year local government employment has declined 12.1 percent (1,000). Although it fared better over the month (down 0.4 percent, 300), private-sector employment bore the brunt of over-the-year losses (down 3 percent, 2,600). The monthly losses were concentrated in trade, transportation, and utilities (down 200, 1 percent) and in educational and health services (down more than 100, 0.8 percent), while the annual losses were predominantly in manufacturing (down more than 1,600, 9.6 percent), trade, transportation, and utilities (down 600, 2.9 percent), and mining and logging (down 600, 11.7 percent).

Fargo-Moorhead MSA

Employment in the Fargo-Moorhead MSA declined 1.3 percent (1,600) over the month, but was still higher than the previous July’s employment by 0.6 percent (nearly 800). Both the monthly losses and the annual gains were concentrated in government employment, which declined 6.8 percent (1,150) over the month, but grew 11.2 percent (1,600) over the year. Monthly losses occurred primarily in local government employment, while annual gains were concentrated in state government employment. Monthly private-sector losses were in leisure and hospitality (down 2.2 percent, 280), educational and health services (down 1.5 percent, 270) and trade, transportation, and utilities (down 0.7 percent, 180). These were partially counterbalanced by a 2.6 percent gain (210) in mining, logging, and construction, although employment in the industry is still below 2008 levels.

Grand Forks MSA

Employment in the Grand Forks MSA declined 2.9 percent (1,550) over the month of July, contributing to an over-the-year loss of 0.5 percent (250). The monthly losses were concentrated in government employment, which fell 10.5 percent (1,360). Most of those losses were from local government, which fell 23.7 percent (more than 1,200). In the private sector, losses were predominantly in leisure and hospitality, which fell 2.4 percent (140) over the month, while in most other industries there were minor losses or gains of less than 1 percent.