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Labor Market Information Center

Overview of the Labor Market

The overview below is based on South Dakota data for June 2026, the most recent data available.

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 44,015 in June 2026. 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
June 2026

Labor Force

This data is seasonally adjusted.

Preliminary estimates show South Dakota's unemployment rate decreased to 2.0% in June 2026. The labor force decreased over the month by 1,200 workers (0.2%) to 488,700 workers and the level of unemployed decreased by 400 (3.9%) to 9,900.

South Dakota's June 2026 labor force of 488,700 decreased 3,100 (0.6%) workers compared to the June 2025 level of 491,800. The level of employed decreased by 3,100 persons (0.6%); the number of unemployed was unchanged with 9,900. The unemployment rate held at 2.0%.

South Dakota Unemployment Rates by County

June 2026

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 5,300 (1.1%) from May 2026 to June 2026. Employment gains were widespread across industries over the month, with Leisure and Hospitality, Construction, and Professional and Business Services recording the largest increases.

Leisure and Hospitality had the largest over-the-month growth with a gain of 2,700 workers (4.8%). This growth is related to increased visitor levels, which increase the need for additional staffing. Museums, arcades, zoos, casinos, ice cream parlors, campgrounds, and restaurants are examples of establishments included in this supersector.

Construction added 1,600 workers (5.1%) over the month, reaching 32,900 in June 2026. Specialty Trade Contractors increased by 800 workers (4.3%). Specialty Trade Contractors perform a specific activity, such as site preparation, pouring concrete, plumbing, painting, or doing electrical work. Construction of Buildings and Heavy and Civil Engineering Construction also had gains, adding 500 workers and 300 workers, respectively. This growth is typical, as workforce numbers usually increase in the summer when weather conditions are most favorable for construction.

Professional and Business Services increased by 1,300 workers (3.6%). Gains are typical this time of year as many establishments expand their workforce to keep up with demand. Landscaping services, temporary staffing services, janitorial services, payroll processing services, tax preparation services, and corporate offices primarily engaged in overseeing a company are examples of establishments in this supersector.

Over-the-year comparisons

The total nonfarm wage and salaried worker level increased by 3,200 (0.7%) workers from June 2025 to June 2026. The top contributors to this growth were Leisure and Hospitality, Private Education and Health Services, and Construction.

Leisure and Hospitality had significant growth over the year with the addition of 4,100 workers (7.5%). This sector went from 54,500 workers in June 2025 to 58,600 in June 2026. Over-the-year growth is fueled by increased demand by patrons for travel, dining, and entertainment events throughout the state.

Private Education and Health Services added 1,700 workers (2.1%), reaching 80,800 workers in June 2026. Health Care and Social Assistance accounted for this growth, adding 1,500 workers (2.1%). Hospitals added 400 workers (1.4%). Several factors contribute to this growth, including population growth and an aging population. Private Educational Services increased 200 workers (3.3%), reaching 6,300 workers in June 2026.

Construction continued an upward climb, adding 1,100 workers (3.5%) over the year. Specialty Trade Contractors added 800 workers (4.3%) over the year, and Heavy and Civil Engineering Construction added 300 workers (5.5%). Construction of Buildings remained stable with 7,600 workers. Growth in construction is driven by increased demand for housing, infrastructure updates, and new commercial projects that come with population growth.