Aug. 3, 2021

At 2.9 percent, June’s unemployment rate in the Sioux Falls metro area is among the best in the United States.

Only five metro areas have lower jobless rates ranging from 2.4 percent to 2.8 percent: Logan and Provo, Utah; Lincoln and Grand Island, Neb.; and Idaho Falls.

June’s rate of  2.9 percent in the Sioux Falls area is up from 2.5 percent in May. That represents 4,765 people looking for work in a labor force of 164,122 people. In May, there were 4,075 people who were unemployed out of a labor force of 160,923. A year ago, the rate was 5.4 percent.

From May to June, nonfarm wage and salaried worker levels in the Sioux Falls area rose by 2,200 people to 162,400. The largest percentage increase was the construction, mining and logging category at 4.7 percent, a gain of 500 workers. Wholesale trade and leisure and hospitality both had 3.5 percent gains. The only category with a decline was education and health services, which was down 0.6 percent with a loss of 200 workers. Compared with a year ago, overall worker levels are up 5.1 percent.

Statewide, the number of nonfarm wage and salaried workers increased from May to June by 7,900 workers, or 1.8 percent, to 446,100. May’s number of workers, 438,200, was the first month to surpass the pre-pandemic total of 432,400 from March 2020.

The state’s seasonally adjusted jobless rate was 2.9 percent in June, up from 2.8 percent in May. That represents 13,500 people who do not have jobs, have actively looked for one in the past four weeks and are available to work. A year ago, the rate was 6.1 percent, and there were 28,000 unemployed South Dakotans.

South Dakota’s unemployment rate of 2.9 percent is tied for the third-lowest state in the U.S. with New Hampshire. Nebraska ranks first at 2.5 percent, and Utah is second at 2.7 percent. The highest rates are in Connecticut and New Mexico at 7.9 percent.

The national unemployment rate in June was 5.9 percent, compared with 11.1 percent a year ago. It was 5.8 percent in May.