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Labor Market Information Center

Overview of the Current Labor Market

The analysis below is based on the most current labor market data available at any point in time.

Labor Supply

The number of South Dakotans who would be available to staff a new or expanding business, or South Dakota's labor supply, was estimated at 50,200 in July 2025. Included in this labor supply are those who currently hold jobs (and would like to change) and those who, for a variety of reasons, do not have jobs.

South Dakota Labor Supply
July 2025

Labor Force

This data is seasonally adjusted.

Preliminary estimates show South Dakota's unemployment rate increased 0.1% to 1.9% in July 2025. The labor force decreased over the month by 500 workers (0.1%) to 493,300 workers. The level of unemployed increased by 200 (2.2%) to 9,200 persons unemployed.

South Dakota's July 2025 labor force of 493,300 increased compared to the July 2024 level of 489,200. The level of employed increased by 3,800 (0.8%); the number of unemployed increased by 300 persons (3.4%). The unemployment rate increased 0.1% to 1.9%.

South Dakota Unemployment Rates by County

July 2025

This data is not seasonally adjusted.

Notes about labor force data

The unemployment rate represents the number of unemployed as a percent of the labor force. People are classified as unemployed if they do not have jobs, have actively looked for work in the prior four weeks and are currently available for work. People who were not working and were waiting to be recalled to jobs from which they were temporarily laid off are also included as unemployed.

Labor force estimates for South Dakota are produced by the Labor Market Information Center in cooperation with the U.S. Bureau of Labor Statistics. The concepts and definitions underlying the labor force data come from the Current Population Survey (CPS), the household survey which is the official measure of the labor force for the nation. The statewide estimate of the number of nonfarm jobs is a component of the model used to produce the labor force estimates. Other data used in this model include the number of continued unemployment insurance claims and survey data from the Current Population Survey (CPS) which is specific to the state.

Although state specific data is used in the production of the labor force estimates for South Dakota, the state monthly model estimates are controlled in "real time" to sum to national monthly labor force estimates from the CPS. Therefore, variation in the estimates of the employed and unemployed are somewhat controlled by what is happening nationally.

South Dakota Nonfarm Wage & Salaried Workers by Industry

This data is not seasonally adjusted.

Over-the-month comparisons

Based on a monthly survey of South Dakota establishments, preliminary estimates show the total nonfarm wage and salaried worker level decreased by 5,500 (1.1%) from June 2025 to July 2025.

Over-the-month losses are primarily due to declines in Government. Government had a loss of 7,100 workers (8.4%) over the month. Local Government worker levels fell 6,700 (12.0%) with Local Government Educational Services dropping 6,200 (22.5%). This type of drop is consistent with historical trends, with schools on summer break decreasing the number of educational services workers. Federal Government had a loss of 300 workers (2.6%). State Government had a loss of 100 workers (0.6%).

Construction added the largest number of workers over the month with the addition of 1,100 workers (3.4%). Heavy and Civil Engineering Construction had an increase of 500 workers (9.3%), jumping to 5,900 workers in July 2025. Specialty Trade Contractors and Construction of Buildings also had gains, adding 400 workers and 200 workers, respectively. Gains in Construction are typical this time of year as many establishments are busy repairing roads, doing concrete work, and working on new buildings.

Financial Activities increased by 600 workers (2.2%), reaching 28,100 in July 2025. Worker levels in Financial Activities are driven by advancements in technology, demand for financial services, and evolving regulations. Credit card banks, saving institutions, portfolio fund managing, and insurance claims adjusting are examples of establishments.

Retail Trade gained 400 workers (0.7%) over the month. Growth is related to small gains spread throughout many of the establishments in this sector. Souvenir stores, sporting goods retailers, garden centers, hardware stores, supermarkets, and gasoline stations are examples of establishments in this sector.

Over-the-year comparisons

The total nonfarm wage and salaried worker level increased by 5,900 workers (1.3%) from July 2024 to July 2025.

Leisure and Hospitality continued to trend up over the year, adding 2,300 workers (4.3%). This sector went from 54,000 workers in July 2024 to 56,300 workers in July 2025. Examples of establishments in this industry include hotels, restaurants, casinos, zoos, museums, fitness centers, and water parks. Gains in this supersector are a result of more travel and entertainment activities throughout the state during the summer with related increased demand for dining out.

Construction worker levels rose by 1,400 (4.4%) over the year, reaching 33,100 workers in July 2025. Construction of Buildings and Heavy and Civil Engineering each added 600 workers over the year. Specialty Trade Contractors added 200 workers (1.1%). The Construction sector has remained strong over the year as cities continue to expand their footprint to keep up with population growth.

Private Education and Health Services increased 1,000 workers (1.3%). Health Care and Social Assistance accounted for this increase, adding 1,100 workers (1.5%). Hospitals added 400 workers (1.4%). Growth in Health Care and Social Assistance is related to establishments expanding their workforce to keep up with demand increases related to population growth and a rise in medical specializations. Private Educational Services declined by 100 workers (1.8%), dropping to 5,500 workers in July 2025.

Manufacturing worker levels fell 2.2% with a loss of 1,000 workers. Manufacturing has had over-the-year losses since June 2024. Non-Durable Goods had a loss of 600 workers (3.5%). Non-durable goods are immediately consumed in one use or have a lifespan of less than three years. Non-Durable Goods include food and beverage products, paper products, and fuel. Durable Goods Manufacturing also declined over the year with a loss of 400 workers (1.4%). Durable Goods, such as trailers, furniture, and electronic equipment, are not immediately consumed and can be kept for a longer time.