Regional Analysis

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

Monthly analysis is based on unadjusted employment data.

Minneapolis-St. Paul Metropolitan Statistical Area (MSA)

Employment in the Minneapolis-St. Paul-Bloomington MSA grew 1.1 percent, 19,600, in May. This is nearly in line with the average monthly growth for the area (up 1.2 percent, 21,800), but over-the-year declines are still substantial (down 3.5 percent, 62,400), mostly from the private sector (down 4.1 percent, 63,400). This month’s gain has more proportionately affected the sector, which grew 1.1 percent over the month, 16,700. The largest over-the-month loss was in trade, transportation, and utilities, down 0.3 percent, 1,000. Monthly gains came mostly from leisure and hospitality (up 8,500, 5.5 percent), administrative and support services (up 5.7 percent, 4,400), and specialty trade contractors (up 9.9 percent, 3,400). Government increased 1.2 percent, 3,000. State government declined 1.3 percent, 1,000, while local government was up 2.5 percent over the month, 3,900.

Duluth-Superior MSA

Duluth-Superior employment grew 0.7 percent (1,000), well below the typical May monthly increase of 1.9 percent (2,500). Over the year, employment declined 3.7 percent (5,000). The private sector gained 1.2 percent, 1,200, in May and over-the-year lost 4.8 percent, 5,200. Leisure and hospitality grew 7.7 percent (1,000) in May. Mining, logging, and construction was up 1.7 percent, 100, but that gain was far below the average May growth in the industry (9.7 percent, 800), and the industry was also a major contributor to the over-the-year declines (down by 26.4 percent, 2,400). Government fell 0.8 percent (200) over the month, but was still up 0.8 percent (200) over the year. The real driver of public sector change was state government (down 4.2 percent, 350 over the month, up 3.5 percent, 270 over the year).

Rochester MSA

Rochester’s employment grew 0.8 percent (830) in May, but was still down 0.3 percent (360) over the year. Government declined 1.3 percent (nearly 150). Federal and state government had nominal gains, but local government declined 1.8 percent (160) over the month. Private-sector employment grew 1 percent in May (970), but is still down 0.3 percent (260) over the year. Faring best over the month were mining, logging, and construction (up 12.5 percent, 430) and leisure and hospitality (up 4.5 percent, 400). Both had over-the-year losses, but their monthly gains were on track with or exceeded typical May growth. Educational and health services saw a private-sector loss (0.1 percent, 50), but over-the-year gains were 3.2 percent (1,300).

St. Cloud MSA

St. Cloud’s employment grew 1.4 percent (1,450) over the month, compared to an average May gain of 1.5 percent (1,460); however, employment is still down 1.3 percent (1,340) over the year. In May both public- and private-sector employment closely tracked the total employment, with private-sector up 1.5 percent (1,240) and public-sector up 1.3 percent (210). Over the year, however, the private sector declined 2 percent (1,740). Mining, logging, and construction was up 11.4 percent (450) over the month and down 6.9 percent over the year (330). Leisure and hospitality grew 6 percent (540) over the month and 3.6 percent (330) over the year. Local government was up 3.2 percent (280), while state government fell 1.2 percent (60). Over the year, government employment as a whole grew 15.9 percent (400).

Fargo-Moorhead MSA

Fargo-Moorhead’s employment grew 1.2 percent, 1,500, in May — up 0.8 percent, 1,000, over the year. The private sector, with an over-the-month increase of 1.7 percent, 1,700, exceeded overall employment change, but over the year it declined 1 percent, 1,000. Monthly growth occurred in mining, logging, and construction, up 18.9 percent, 1,200, and in leisure and hospitality, up 4.6 percent, 600. The over-the-year losses occurred in administrative and support services (down 11.4 percent, 640), manufacturing (down 6.6 percent, 630), and mining, logging, and construction (down 7.1 percent, 570). State government fell 7.7 percent, 700, over the month, and local government grew 5.8 percent, 480, resulting in an overall government employment decline of 1.5 percent, 300. Over the year, government grew 11.5 percent, 2,000, almost entirely from state government (up 30 percent, 1,950).

Grand Forks MSA

Grand Forks’ employment grew 0.5 percent, 260, over May, while the over-the-year change was flat. Private-sector monthly growth was up 1.1 percent, 450, but down over the year 0.8 percent, 330. Mining, logging, and construction grew 14.2 percent, 300 over May, and professional and business services grew 2 percent, 70. Most other industries saw moderate over-the-month growth of less than 1 percent, 100, with only a few losses. Private-sector losses over the year were concentrated in manufacturing (down 13.4 percent, 600) and in mining, logging, and construction (down 5.8 percent, 150). Government declines in May counterbalanced private-sector gains; although local government grew 2 percent, 110, state government lost 4.6 percent, 340, resulting in an overall monthly decline of 1.3 percent, 190. Over the year, government grew 2.3 percent, 320.