August employment trends for 2025 saw Minnesota’s unemployment rate increase by one-tenth to 3.6% and the labor force participation remain steady at 68.1%, compared to the national rate of 62.3%.
“Minnesota’s labor market had a strong month in August, adding thousands of jobs and people looking for work,” said DEED Commissioner Matt Varilek. “We continue to monitor our economy for signs that federal disruptions are affecting Minnesota employers. But in August, we outpaced national trends.”
August 2025 – Unemployment
Year over year/Month over month comparison
- +0.1% from July 2025
- +0.3% from August 2024
Minnesota’s unemployment rate increased by one-tenth of a percentage point to 3.6%, staying below the national rate of 4.3%, which increased by one-tenth of a percentage point. The state’s labor force participation rate remained steady at 68.1%, compared to the national rate of 62.3%.
*Data from US Bureau of Labor Statistics
August 2025 – Jobs Gained
Jobs Gained & Industries Affected
- 4,300 Education & Health
- 1,900 Construction
- 1,700 Professional Services
- 1,100 Financial Activities
- 1,100 Other Services
“The labor market is moving toward equilibrium,” said Angelina Nguyen, DEED Labor Market Information director. “The unemployment rate is now at a spot close to ‘natural unemployment.’ This month we added more workers looking to access the open jobs in our state. High labor force participation is our labor market’s asset.”
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