Healthcare and government leading low job growth in Minneapolis

Although Minneapolis added jobs in the first half of 2024 at a pace that exceeded the US average, it shed jobs in a number of office-based sectors. Industries that have added the most jobs over the last few quarters include state and local government, ambulatory healthcare, and social services. We forecast job growth of 1.7% in 2024 and average annual growth of 0.6% in 2025 through 2028. Industries expected to add the most jobs in the medium term include social services, restaurants, and state and local government.

What you will learn:

• Minneapolis is home to several headquarters including Target, Best Buy, 3M, General Mills, and others. Some of these companies are categorized under “management of companies,” this sector saw job growth of 0.5% in 2023. We forecast that the sector’s job count will fall 2.9% in 2024 but grow 0.3%, on average, in 2025 through 2028. We forecast GDP in this sector will grow 1.9% in 2024 and by 2.5%, on average, in 2025 to 2028.
• Minneapolis saw in-migration of 11,400 in 2023. We forecast in-migration of 13,200 in 2024 and 12,500 in 2025. Following population growth of 0.5% in 2023, we forecast population will grow 0.7%, annually, in 2024 to 2028.
• Minneapolis’s Q2 2024 median house price of $389,000 rose 1.7% from Q4 2023. We forecast that prices will grow 3.7% in 2024 and grow 3.3%, on average, in 2025 through 2028. Personal disposable income per capita grew 0.8% in the first half of 2024. Minneapolis’s 2024 per capita disposable income of $57,300 ranks in the top 20 of the largest 50 metros.