March 12, 2024

The unemployment rate rose to 2 percent in the Sioux Falls metro area in January, while the number of job openings also rose.

The unemployment rate for the local metro area, which includes Minnehaha, Lincoln, McCook and Turner counties, was up from 1.8 percent in December, according to the South Dakota Department of Labor & Regulation.

The Sioux Falls unemployment rate, which is not seasonally adjusted and is preliminary, represents 3,277 residents who do not have jobs, have actively looked for one in the past four weeks and are available to work. It also includes those who have been laid off temporarily. In December, the number of unemployed was 2,982.

The total labor force for the Sioux Falls MSA, those who are employed and unemployed, was 161,882 in January, down from 165,761 the previous month.

A year ago, the metro area jobless rate was 1.9 percent, with 3,045 people who were unemployed out of a labor force of 161,230.

The number of job openings in the Sioux Falls MSA rose to 13,275 in January, according to the state’s virtual labor market data system. There were 12,665 open positions the previous month. A year ago, there were 15,662 openings.

Nonfarm wage and salaried worker levels in the Sioux Falls MSA dropped by 4,300 people to 169,100. Mining, logging and construction saw the biggest decline at 6.6 percent, followed by transportation, warehousing and utilities at 6 percent. Every category saw a decline except for “other services, except public administration,” which was unchanged.

Compared with a year ago, overall nonfarm wage and salaried worker levels were up 1.4 percent in the MSA.

South Dakota’s unemployment rate rose from 2 percent in December to 2.1 percent in January but continues to be one of the lowest in the nation.

Only North Dakota had a lower rate at 1.9 percent. Nevada had the highest unemployment rate at 5.3 percent, followed by California at 5.2 percent.

The state’s jobless rate, which is seasonally adjusted, represents 9,900 people who do not have jobs, have actively looked for one in the past four weeks and are available to work, along with those laid off temporarily, according to the state Labor Department. A year ago, the rate was 2 percent, and there were 9,300 unemployed South Dakotans.

In January, South Dakota’s labor force dropped by 100 workers to 481,600. A year ago, it was 476,400.

The labor supply, those who would be available to staff a new or expanding business, was estimated at 44,055 people. That’s down from 51,435 in December and includes people who are not working and those who would like to change jobs.

The national unemployment rate was unchanged in January at 3.7 percent. A year ago, the rate was 3.4 percent.