Minnesota's monthly jobless rate fell to a seasonally adjusted 3.1 percent in May, the lowest level since July 2000.
Minnesota employers added 10,200 jobs in May, the Minnesota Department of Employment and Economic Development said Thursday as it released the data.
While Minnesota has added 29,188 jobs in the past year, its 1 percent job growth rate was significantly slower than the 1.7 percent U.S. rate of job growth during that period.
The U.S. unemployment rate was 3.8 percent in May.
"Minnesota bounced back with its strongest month of job gains in more than a year, following weather-related delays in new hiring in April," DEED Commissioner Shawntera Hardy said in a statement. "Businesses are continuing to add employees, despite a tightening labor market."
The manufacturing sector added the most jobs (6,063) over the past 12 months, followed by government (5,804) and trade, transportation and utilities (4,986). Two industries lost jobs in the past 12 months: financial activities (188) and logging and mining (34).