MN gains jobs in February; jobless rate steady at 3.7 percent

Updated: 12:30 p.m. | Posted: 10:23 a.m.

Minnesota employers added thousands of jobs in February while the state's unemployment rate held steady at a seasonally adjusted 3.7 percent, state officials said Thursday.

Employers added 11,800 jobs last month, the Minnesota Department of Employment and Economic Development said.

The department also said revised numbers show only 4,900 jobs were lost in January, better than the 7,900 initially reported.

However, the statistics also reveal wide disparities by race. The state's jobless rate for white Minnesotans is 3.2 percent, compared with 11.3 percent for African-Americans.

State labor market economist Steve Hine says the jobless rate for blacks has been on a downward trend in recent years, but it's bumped up lately and is higher than it was last summer.

"That certainly continues to be a significant imbalance in our labor markets," he said.

The jobless rate for Hispanic Minnesotans has declined and averaged 5.4 percent over the last year, Hine added.

While Minnesota's jobless rate remained well below the 5.5 percent rate in the United States, Minnesota's year-over-year job growth lagged the U.S. The state has added 45,414 jobs in the past year, a growth rate of 1.7 percent, compared to a 2.4 percent growth rate in the U.S.

The Employment and Economic Development report also noted:

• Trade, transportation and utilities led all sectors in February with 5,600 new jobs. Leisure and hospitality was up 4,200; construction up 1,600; education and health services up 1,100; government up 400; and professional and business services up 200. Logging and mining held steady.

• Manufacturing lost 600 positions in the month; financial activities fell by 300.

• Two sectors lost jobs in the past 12 months: Information, down 339, and construction, down 49.

MPR News reporter Matt Sepic contributed to this report.