Welcome to The Indicator, a blog series that highlights key metrics shaping Greater Mankato’s economy and business climate. Each month, we focus on one meaningful indicator that signals where our region is headed and what it means for business leaders.
This Month’s Indicator: Workforce Makeup
The composition of our workforce is one of the most important indicators of economic vitality. As of 2025, the civilian labor force in the Mankato–North Mankato MSA stands at approximately 61,500, with unemployment rates among the lowest in Minnesota: hovering between 2.6% and 3.5% throughout the year. This stability reflects strong employer demand and a resilient regional economy.
Current Workforce Makeup
Greater Mankato’s workforce reflects balance, diversity, and depth across key industry sectors:
- Healthcare & Social Assistance: 17.5%
- Manufacturing: 16.3%
- Education: 10.1%
- Retail Trade: 10.7%
- Construction: 7.3%
Within a 45-minute drive, our extended labor market includes 156,758 working-age individuals, and the region boasts a workforce participation rate of 68.2%, which is well above the national average. Greater Mankato’s median age (33.6) is also younger than both the state and national benchmarks, positioning us well for sustained long-term workforce strength.
Future Workforce Signals and What They Mean for Greater Mankato
The makeup of Greater Mankato’s workforce is shifting in keyways that will significantly influence employer needs and regional competitiveness in the decade ahead.
Aging Workforce:
Like much of Minnesota, the region is experiencing the effects of an aging workforce. Older adults are remaining employed longer and are projected to become the fastest-growing segment of the U.S. labor force from 2023 to 2033. This shift, driven by longer lifespans, delayed retirement, and financial considerations, means employers must prepare for both rising retirements and expanded roles for experienced workers through flexible scheduling, retraining, and knowledge-transfer strategies.
While employers must prepare for the retirement of tenured employees, one unique characteristic of our region is that we do not expect to experience the overall labor force decline associated with the aging workforce. Each 5-year population cohort from age 10 to age 39 is larger than the soon to retire 60 to 64 age cohort.
Increasing Diversity:
Greater Mankato continues to become more diverse. The share of residents identifying as white declined from 93.1% in 2010 to 88.7% in 2021, with projections showing a continued decline to 86.8% by 2026. This increasingly multicultural workforce strengthens the region’s talent pool but also calls for hiring and retention strategies that support cultural inclusion, language access, and equitable advancement.
Remote & Hybrid Work Expectations:
The rise of remote and hybrid work, which are now a long-term reality, expands opportunities for both employers and job seekers. Companies can reach broader talent pools, and workers increasingly expect flexibility as a baseline benefit. Employers not adapting to hybrid models may find themselves at a competitive disadvantage in recruitment and retention, especially among younger professionals.
Technology & Automation:
With nearly 75% of employers nationally planning to integrate AI or robotics, workforce needs are rapidly shifting. Roles in every sector are being reshaped by automation, data tools, and digital collaboration. These trends increase demand for tech-enabled skills and require continued investment in upskilling and reskilling.
Growing Need for Career Pathways:
Minnesota’s long-term projections show sustained growth in healthcare, advanced manufacturing, education, and professional services, all fields requiring specialized training. Strong, accessible career pathways connecting students, adult learners, and career changers to these sectors are essential. Clear pathways strengthen both individual earning potential and regional economic resilience.
Together, these signals highlight a future workforce that is older, more diverse, more flexible, and more technologically integrated. This workforce will require proactive talent development strategies across sectors.
Greater Mankato Growth: Driving Workforce Solutions
Greater Mankato Growth (GMG) plays a critical leadership role in strengthening and shaping our region’s workforce. Every day, GMG works to:
- Attract new businesses and expand economic opportunities
- Support existing companies with data, connections, and problem-solving
- Develop talent pipelines in partnership with employers, schools, and postsecondary institutions
- Advocate for solutions to critical issues such as childcare, housing, and workforce accessibility
GMG serves as a bridge between employers and emerging talent, ensuring that the region’s workforce has the skills and opportunities needed to thrive.
GMG and the CEO Program: Building Tomorrow’s Leaders
One of GMG’s most exciting workforce initiatives is the launch of the Greater Mankato CEO (Creating Entrepreneurial Opportunities) Program. This program gives high school students hands-on experience in entrepreneurship through real-world projects, mentorship from local business leaders, and exposure to the inner workings of our regional economy.
By sparking entrepreneurial thinking early, GMG is helping cultivate the next generation of innovators and business owners who will drive regional growth and strengthen our talent ecosystem. Learn more at: greatermankatoceo.com
A Call to Action: Invest in Workforce, Invest in Growth
A strong workforce doesn’t happen by accident: it is built through intentional investment. GMG’s work to attract businesses, support expansions, and grow talent pipelines is powered by your membership investment.
Supporting GMG is more than a contribution: it’s a strategic investment in the future of your business and the Greater Mankato regional economy.
When you invest in GMG, you help create an environment where workforce development drives innovation, opportunity, and long-term prosperity. Together, we can ensure Greater Mankato remains one of Minnesota’s strongest hubs for talent and growth.