Minnesota Wages Outpace Inflation as Job Market Stays Strong

Average hourly wages rose 5% in Minnesota in January while inflation was 3.1%, meaning real wage growth outpaced inflation.

This reverses a trend in 2022 when inflation exceeded 8% while wages rose around 5%.

Minnesota added 3,000 jobs in January, with gains in education, health, trade, transportation and hospitality.

The state unemployment rate held steady at 2.7% in January, below the national rate.

Recent annual data revisions showed Minnesota's labor market is slightly tighter than previously thought, with a lower unemployment rate and labor force participation rate.