Minnesota reports third month of job growth in 2026

Published July 16, 2026 6:15 PM CDT

State officials are touting a third month of consecutive job growth in Minnesota despite a shrinking labor force and slow wage growth. 

READ MORE: Minnesota job report shows growth after job losses to start 2026

Job growth in Minnesota

By the numbers:

The Minnesota Department of Employment and Economic Development (DEED) reported the state added 13,200 jobs in June.

The year started off with widespread job losses that state officials pointed out happened during Operation Metro Surge. 

The private sector saw the greatest gains with 14,600 jobs added.

Meanwhile, a stubborn unemployment rate remained at 4.4%.

Five "supersectors," according to DEED, saw job increases, including educational and health services (7,800 jobs, up 1.2%), professional and business services (3,500 jobs, or 1.0%), manufacturing (2,800 jobs, up 0.9%), leisure and hospitality (2,700 jobs, up 1.0%), as well as other services (1,300 jobs, up 1.1%). 

However, other supersectors reported an overall loss of jobs, including trade, transportation and utilities (2,000 jobs, down 0.4%), government (1,400 jobs, down 0.3%), construction (1,100 jobs, down 0.7% and information (400 jobs, down 1%).

The mining and logging and financial activities supersectors showed no change.

DEED encouraged by numbers

What they're saying:

DEED Commissioner Matt Varilek praised the growth while outlying plans to capitalize on the recent gains.

"Last month’s job gains are good news for Minnesota workers and businesses," Varilek said. "To build on that momentum, we need to continue to address the steady decline in our labor force by helping more people enter and return to the workforce." 

DEED Labor and Market Information Director Andelina Nguyen said, "This month’s data continues to paint a mixed picture. It’s good news to see job growth, but labor force and wage growth continue to decline." 

Minnesota Governor Tim Walz shared the following statement on the report:

"Minnesota continues to be a leader in economic recovery and expansion despite national uncertainty. Continued job growth reflects our strategic investments in workforce training, the prioritization of job protections, and support of small businesses impacted by federal operations." 

Dig deeper:

The latest DEED data can be viewed here.

The Source: This story uses information from the Minnesota Department of Employment and Economic Development. 

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