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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 41,515 in May 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
May 2025

Labor Force

This data is seasonally adjusted.

Preliminary estimates show South Dakota's unemployment rate remained unchanged at 1.8% in May 2025. The labor force increased over the month by 300 workers (0.1%) to 493,900 workers. The level of unemployed remained steady with 9,000 persons unemployed.

South Dakota's May 2025 labor force of 493,900 increased compared to the May 2024 level of 487,300. The level of employed increased by 6,300 (1.3%); the number of unemployed increased by 300 persons (3.4%). The unemployment rate remained unchanged at 1.8%.

South Dakota Unemployment Rates by County

May 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 increased by 6,800 (1.5%) from April 2025 to May 2025. This gain was primarily related to strong seasonal hiring in Leisure and Hospitality, Construction, and Retail Trade.

Leisure and Hospitality worker levels rose 8.1%, adding 3,900 workers in May 2025. Museums, arcades, zoos, casinos, ice cream parlors, campgrounds, and restaurants are examples of establishments included in this supersector. Growth is common this time of year as many establishments increase worker levels to keep up with the demand of visitors in the summer.

Construction added 1,100 workers (3.7%) over the month, jumping to 31,100 workers in May 2025. Heavy and Civil Engineering Construction accounted for a little over half of this growth with the addition of 600 workers (13.0%). Heavy and Civil Engineering Construction includes establishments in highway paving, land subdivision, gas main construction, underground cable laying, and water main construction. Specialty Trade Contractors and Construction of Buildings also had gains, adding 300 workers and 200 workers, respectively. This type of growth is expected as many establishments are busy repairing roads, doing concrete work, and working on new buildings after spring arrives.

Retail Trade gained 800 workers (1.5%) over the month. This sector went from 53,500 workers in April 2025 to 54,300 workers in May 2025. Seasonal establishments increasing their workforce to prepare for the inflow of consumers contributed to this gain. Souvenir stores, sporting goods retailers, garden centers, hardware stores, supermarkets, and gasoline stations are examples of establishments in this sector.

Government worker levels increased 1,100 (1.3%) in May 2025. Local Government accounted for this growth, adding 1,400 workers. Growth in Local Government is attributed to the hiring of summer workers for ground maintenance, road work, lifeguarding, etc. Federal Government had a loss of 100 workers (0.9%), dropping to 11,500 workers in May 2025. State Government declined by 200 workers (1.0%).

Over-the-year comparisons

The total nonfarm wage and salaried worker level increased by 2,200 workers (0.5%) from May 2024 to May 2025.

Worker levels in Construction continued to trend up over the year, adding 1,300 workers (4.4%). Construction of Buildings had the largest growth within Construction, adding 700 workers (9.9%). Heavy and Civil Engineering and Specialty Trade Contractors each added 300 workers over the year. Gains in construction are fueled by increased demand for housing and new commercial projects that come with population growth.

Private Education and Health Services increased 700 workers (0.9%), reaching 80,100 workers. Health Care and Social Assistance accounted for this growth, adding 1,100 workers (1.5%). Hospitals added 400 workers (1.4%). Worker levels in Health Care and Social Assistance have remained strong due to population increases and increased access to specialized services.  Private Educational Services had a loss of 400 workers (5.1%), dropping to 7,500 workers in May 2025.

Manufacturing worker levels fell 1,800 (4.0%), dropping to 43,700 workers in May 2025. Over-the-year losses were spread across multiple establishments. Manufacturing has had over-the-year losses since June 2024. Durable Goods Manufacturing worker levels declined by 1,000 workers (3.5%). Examples of durable goods include trailers, furniture, and electronic equipment. Non-Durable Goods also declined over the year with a loss of 800 workers (4.6%). Non-durable goods include food and beverage products, paper products, and fuel.