Job Growth Slows, but Rochester Still No. 1 in Minnesota

Rochester, MN (KROC-AM News) - The Rochester area continued to lead the state in job growth last month, though the rate of growth was the slowest in at least a year.

The latest jobs data released by the Minnesota Department of Employment and Economic Development shows that the local economy added 5,637 jobs between December 2024 and last month. That works out to an annualized job growth rate of 4.3%. By comparison, the job growth rate in November was 6.1%, and the rate from December 2024 was 6.9%.

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Rochester Continues To Outpace State

Statewide, the only other metro area that experienced significant job growth was Mankato, with a year-over-year gain of more than 1,700 jobs for a job growth rate of 3%. The job growth rate for the Twin Cities area was just over half of a percentage point, the Duluth area saw no job growth, and St. Cloud lost about 450 jobs compared with December 2024.

Statewide, the data shows Minnesota added a little more than 37,000 jobs during the 12-month period ending in December. That equates to a job growth rate of 1.2%, while the national job growth rate increased by only three-tenths of a percentage point.

Unemployment Up Statewide

A monthly report from the state agency shows the seasonally adjusted unemployment rate for December rose a tenth of a percentage point to 4.1%, while the national jobless rate fell a tenth of a point from November to 4.4%.

Overall, the number of jobs in Minnesota was unchanged from November through December, while the size of the labor force increased by a little more than 2,000 people. The state’s labor force participation rate remained steady at 68.2%.