Marcia Hultman

Cabinet Secretary

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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 43,685 in March 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
March 2025

Map showing estimated labor supply for South Dakota counties. The same data is available in table format at https://dlr.sd.gov/lmic/lbtables/laborsupply.aspx

Labor Force

This data is seasonally adjusted.

Preliminary estimates show South Dakota's unemployment rate decreased 0.1% to 1.8% in March 2025. The labor force increased over the month by 700 workers (0.1%) to 492,900 workers. The level of unemployed decreased by 100 (1.1%) to 9,100 persons unemployed.

South Dakota's March 2025 labor force of 492,900 increased compared to the March 2024 level of 485,400. The level of employed increased by 6,800 (1.4%); the number of unemployed increased by 700 persons (8.3%). The unemployment rate increased 0.1% to 1.8%.

South Dakota Unemployment Rates by County

March 2025

This data is not seasonally adjusted.

Map showing unemployment rates by county in South Dakota. The same data is available in table format at https://dlr.sd.gov/lmic/lbtables/countylf.aspx

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 2,000 (0.4%) from February 2025 to March 2025.

Construction added 600 workers (2.2%) over the month, climbing to 28,000 workers in March 2025. Specialty Trade Contractors gained 300 (1.8%). Specialty Trade Contractors perform a specific activity, such as site preparation, pouring concrete, plumbing, painting, or doing electrical work. Heavy and Civil Engineering Construction also had over-the-month gains, adding 200 workers (5.3%). Construction of Buildings gained 100 workers (1.4%), reaching 7,200 workers in March 2025. Construction growth is typical this time of year, as many establishments ramp up worker levels as the temperatures rise.

Professional and Business Services worker levels rose 1.6% over the month with the addition of 600 workers. Establishments in this sector offer a wide range of services frequently used by other businesses and occasionally households. Growth was scattered throughout many of the establishments in this sector. Temporary staffing services, payroll processing services, tax preparation services, engineering services, trash collection services, and security guard services are examples of establishments in this sector.

Private Education and Health Services added 500 workers (0.6%). Health Care and Social Assistance gained 400 workers (0.6%), reaching 73,000 workers. Growth is from small gains spread across many of the establishments in this sector. Establishments in Health Care and Social Assistance include dentist offices, chiropractors, childcare centers, assisted living facilities, and vocational rehabilitation agencies. Hospitals had a loss of 100 workers (0.3%). Private Educational Services added 100 workers (1.3%).

Leisure and Hospitality had a loss of 500 workers (1.1%), declining to 45,900 workers in March 2025. March typically produces gains in worker levels as establishments prepare for demand increases in the summer. Over the last 10 years, worker levels in Leisure and Hospitality have had an average gain of 400 workers from February to March. This decline may be an indication establishments are holding off on hiring seasonal workers as they typically do for the summer months.

Over-the-year comparisons

The total nonfarm wage and salaried worker level increased by 3,900 workers (0.8%) from March 2024 to March 2025.

Private Education and Health Services worker levels soared over the year, adding 2,500 workers (3.2%). Health Care and Social Assistance accounted for this growth, adding 2,600 workers (3.7%). Hospitals had an increase of 800 workers (2.8%). Worker levels in Health Care and Social Assistance have remained strong due to population increases and increased access to specialized services. Private Educational Services decreased by 100 workers (1.3%), dropping to 7,900 workers in March 2025.

Construction worker levels rose 5.3% over the year with the addition of 1,400 workers. Specialty Trade Contractors added 600 workers (3.7%), jumping to 16,800 workers in March 2025. Specialty Trade Contractors perform a specific activity, such as site preparation, pouring concrete, plumbing, painting, or doing electrical work. Construction of Buildings also had strong growth, adding 500 workers (7.5%). Heavy and Civil Engineering Construction increased 300 (8.1%). Gains in construction are fueled by increased demand for housing and new commercial projects that come with population growth.

Professional and Business Services added 900 workers (2.5%). This sector went from 36,500 workers in March 2024 to 37,400 workers in March 2025. Growth in Professional and Business Services indicate other businesses are growing at a rate where additional professional services are required. Computer hardware consulting services, payroll processing services, landscaping services, tax preparation services, corporate offices primarily engaged in overseeing a company, and security guard services are examples of establishments in this supersector.

Manufacturing had a loss of 1,200 workers (2.6%), dropping to 44,300 in March 2025. Durable Goods Manufacturing worker levels fell 900 workers (3.2%) over the year. Examples of Durable Goods include trailers, furniture, and electronic equipment. Non-Durable Goods also declined over the year with a loss of 300 workers (1.8%). Non-Durable Goods include food and beverage products, paper products, and fuel.

Leisure and Hospitality declined by 1,200 workers (2.5%) over the year. This loss is a result of declines spread throughout many of the establishments in this supersector. Establishments included in this supersector are museums, skiing facilities, arcades, hotels, and restaurants.