Updated
Updated · University of St. Thomas Newsroom · Jun 23
Minnesotans Working Shrinks for 6 Months as Average Hourly Wage Drops 0.5%
Updated
Updated · University of St. Thomas Newsroom · Jun 23

Minnesotans Working Shrinks for 6 Months as Average Hourly Wage Drops 0.5%

2 articles · Updated · University of St. Thomas Newsroom · Jun 23

Summary

  • Six straight months of declines in the number of Minnesotans working marked the latest labor report, even as the state added jobs and the number of unemployed people fell.
  • 0.5% lower average hourly wages in May from a year earlier reflected a shift toward growing blue-collar sectors such as leisure and hospitality while white-collar areas including finance contracted.
  • 4.2% inflation outpaced both Minnesota's wage decline and the 3.5% rise in U.S. pay, deepening the squeeze on workers' real earnings.
  • DEED said it still does not know why more residents are leaving the labor force, leaving a key question over whether the state's mixed labor picture will weaken hiring and consumer spending.

Insights

With a shrinking workforce and falling wages, is Minnesota's economy facing a permanent structural shift?
Why did immigration enforcement in Minnesota unexpectedly harm the job prospects of U.S.-born workers?