Minnesota unemployment fell to 8.6 percent in June

People sit on the patio of a pizza restaurant.
Diners stand in line outside and eat on the patio of Punch Pizza in Minneapolis on Wednesday, May 20, 2020. Punch is one of the first restaurants to allow customers to dine on their patio since Gov. Tim Walz ordered dine-in services closed because of the COVID-19 pandemic.
Evan Frost | MPR News

Minnesota's unemployment rate dropped last month as more businesses and restaurants began to reopen following the end of the stay-at-home order.

The Minnesota Department of Employment and Economic Development reported that the state's seasonally adjusted unemployment rate dropped to 8.6 percent in June, down from a record high of 9.9 percent in May.

Minnesota added 84,700 jobs last month — mostly in the private sector, led by the leisure and hospitality industry. The numbers reflect the job situation right after restaurants and bars began reopening for indoor service, following a stay-at-home order issued in March.

Retail trade, education services and health care also saw job growth.

Still, the state's unemployment rate remains more than double what it was before the COVID-19 pandemic began. Some sectors of Minnesota's economy lost jobs last month, including construction, information and financial activities such as real estate.

Minnesota's unemployment rate is lower than the national rate, which fell to 11.1 percent last month.

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