- 4,415 more businesses
- 277,560 more employees
- 41.1% increase in total wages
- $11,416 in additional annual wages per employee
- 25.2% increase in wages per employee
Since 2009, the number of businesses in Minnesota has grown by 2.8% (6.7% less than the national average of 9.5%). Employment in Minnesota has grown by 12.6% (1.8% less than the national average of 14.4%). Wages have grown by 25.2% since the end of the Great Recession. This wage growth is 2.7% greater than the national average of 22.5%.
The average weekly wage in Minnesota of $1,090 is 2.4% above the national average of $1,064. The gap between the national average has widened from 0.2% a widening of 2.2% since the end of the recession.
The Professional services sector has the most businesses in the state of Minnesota . Since the end of the recession, the number of businesses has grown from 18,154 to 20,631, a gain of 13.6%. The table below illustrates the change in number of businesses in each sector:
|Accommodation and food services||11,691||11,262||3.8%|
|Finance and insurance||9,412||9,954||-5.4%|
|Real estate and rental||6,055||6,919||-12.5%|
|Transport and warehousing||4,585||4,691||-2.3%|
|Arts and entertainment||3,038||2,767||9.8%|
|Agriculture and forestry||2,782||2,107||32.0%|
|Mining and oil extraction||210||189||11.1%|
There has been considerable shifting in the types of businesses in Minnesota since the end of the recession in 2009. Nine of the 19 sectors posted declines in the number of businesses. Retail trade (-6.7%), Construction (-8.9%) and Wholesale trade (-4.2%) posted the largest declines. These declines were made up by increases in Professional services (see above), Other services (+17.2%) and the Healthcare sector (+23.1%) to increase the number of businesses by over 6%, below the national average.
The Healthcare sector employs the most workers in the state of Minnesota . The number of jobs has increased 18.6% since the end of the recession from 391,502 to 464,354. The table below illustrates the change in employment in each sector:
|Accommodation and food services||225,608||200,178||12.7%|
|Finance and insurance||141,172||134,592||4.9%|
|Transport and warehousing||88,411||72,400||22.1%|
|Arts and entertainment||44,882||37,951||18.3%|
|Real estate and rental||34,774||35,956||-3.3%|
|Agriculture and forestry||22,057||17,943||22.9%|
|Mining and oil extraction||5,747||4,418||30.1%|
There were only a few sectors that had net decreases in the number of employees, but they are all in the bottom half of employers. The largest net loss of jobs was in the Information sector, declining by 8.4%, a loss of 4,606 jobs. The sectors with the greatest increases are Professional services (+27.7%) and Construction (+28.1%).
The sector with the highest wages is the Company management sector at $2,404. Prior to the recession, the sector’s average weekly wage was $1,824. This is an increase of $580 per week or 31.8%. The table below illustrates the change in average weekly wages in each sector:
|Finance and insurance||$1,936||$1,437||34.7%|
|Mining and oil extraction||$1,636||$1,223||33.8%|
|Real estate and rental||$997||$843||18.3%|
|Transport and warehousing||$978||$813||20.3%|
|Agriculture and forestry||$728||$546||33.3%|
|Arts and entertainment||$644||$517||24.6%|
|Accommodation and food services||$365||$272||34.2%|
Wage growth in Minnesota was 2.7% above the national average. This is largely due to 7 of the 19 sectors experiencing wage increases above 30% and only 1 sector (Educational services) increasing wages by less than 1/2 of the state average. Education services increased wages by 11.5% since 2009, but employs a relatively small percentage of the workers in the state.
Each of the sectors in the previous section are made up of a number of detailed industries. The top industry that has experienced the most growth (as a percent) since the recession is All other professional and technical services which has grown 110.4%. The top industry that has contracted the most is Wholesale trade agents and brokers which has contracted by 16.5% in the years since the recession. The table below illustrates the 10 largest industries and their change in the number of businesses since the recession:
|Computer systems design and related services||5,323||4,076||30.6%|
|Wholesale trade agents and brokers||4,280||5,128||-16.5%|
|Residential building construction||3,344||3,910||-14.5%|
|Insurance agencies and brokerages||3,187||3,237||-1.5%|
|All other professional and technical services||2,417||1,149||110.4%|
|Management consulting services||2,221||2,204||0.8%|
|All other specialty trade contractors||2,202||1,753||25.6%|
|Offices of lawyers||2,179||2,272||-4.1%|
|Accounting and bookkeeping services||2,135||2,107||1.3%|
The industry that has experienced the most growth in number of employees (as a percent) since the recession is Services for the elderly and disabled which has grown 50.0%. The industry that has lost the most employees is Nursing care facilities, skilled nursing which has contracted by 8.6% in the years since the recession. The table below illustrates the 10 largest industries and their change in the number of employees since the recession:
|General medical and surgical hospitals||108,127||94,265||14.7%|
|Management of companies and enterprises||80,087||69,823||14.7%|
|Offices of physicians||71,747||62,374||15.0%|
|Temporary help services||54,101||38,198||41.6%|
|Supermarkets and other grocery stores||46,813||42,661||9.7%|
|Nursing care facilities, skilled nursing||42,913||46,943||-8.6%|
|Services for the elderly and disabled||42,697||28,460||50.0%|
|Computer systems design and related services||36,688||27,442||33.7%|
|Electronic instrument manufacturing||26,258||25,385||3.4%|
Since the recession ended, the industry that has experienced the greatest increase in average weekly pay per employee (as a percent) is Paint and supplies merchant wholesalers which has grown 688.8%. The average weekly wage in the Commodity contracts dealing industry has grown by 38.6% since the recession. This is the industry with the lowest change in wages a month the top industries in Minnesota . The table below illustrates the 10 largest industries and their change in the average weekly wages since the recession:
|Paint and supplies merchant wholesalers||$9,608||$1,218||688.8%|
|Commodity contracts dealing||$4,636||$7,555||-38.6%|
|Securities and commodity exchanges||$3,847||$1,502||156.1%|
|Credit card issuing||$3,603||$1,008||257.4%|
|Other business support services||$3,263||$959||240.3%|
|Investment banking and securities dealing||$3,084||$2,256||36.7%|
Please note, during the comparison period the NAICS coding has had changes made to it. For proper comparisons we are only including industries that have NOT been affected by these changes.
The biggest percentage change in the number of businesses has been in businesses with 1,000 or more employees. The number of businesses with this number of employees has grown from 112 to 140, which is an increase of 25.0%.
The smallest percentage change in the number of businesses has been in businesses with 5 to 9 employees. The number of businesses with this number of employees has grown from 23,257 to 24,098, which is an increase of 3.6%.
Table: Change in the number of Businesses by Size of Business, since the Recession:
|Company Size||Q1 2018||Q1 2010||% Change|
|Fewer than 5 Employees||102,570||93,244||10.0%|
|More Than 1,000 Employees||140||112||25.0%|
The biggest percentage change in the number of employees has been in businesses with 1,000 or more employees. The number of employees in companies this size has grown from 244,780 to 318,668, which is an increase of 30.2%.
The smallest percentage change in the number of employees has been in businesses with 5 to 9 employees. The number of employees with this number of employees has grown from 153,798 to 161,197, which is an increase of 4.8%.
Table 2: Change in the number of Employees by Size of Business, since the Recession:
|Company Size||Q1 2018||Q1 2010||% Change|
|Fewer than 5 Employees||135,867||124,818||8.9%|
|More Than 1,000 Employees||318,668||244,780||30.2%|
The biggest percentage change in the average weekly wage has been in businesses with 1,000 or more employees. The average weekly wage in companies this size has grown from $1,435 to $2,088, which is an increase of 45.5%.
The smallest percentage change in the average weekly wage has been in businesses with 20 to 49 employees. The average weekly wage in companies this size has grown from $762 to $918, which is an increase of 20.5%.
Table: Change Average Weekly Wage by Size Since the Recession:
|Company Size||Q1 2018||Q1 2010||% Change|
|Fewer than 5 Employees||$1,039||$742||40.0%|
|More Than 1,000 Employees||$2,088||$1,435||45.5%|
This page, created and maintained by Kurt Tietjen, Founder of Stavera, High Peak Media & HomeGearWorks.com. Kurt Tietjen has spent the bulk of his career working with and using data to grow businesses. As the SVP of Operations at TheStreet and the head of Audience & Product at Purch, data helped us create products and content strategies to grow the businesses. My LinkedIn Profile is here.