Demographics of Minneapolis - Income, Employment and Disparity

Income, Employment and Disparity

After the recent boom of the 1990s, Minneapolis still lags behind its suburban counterparts in terms of income and employment. Job growth was double in suburban areas and with it, the labor force is growing faster outside the city. Though city wages are exceeding regional jobs, most of the increases are in the downtown area and in corporate industries where employees may not necessarily live inside the city. When downtown is excluded from the statistics, Minneapolis' neighborhood wages are 92.0% of their suburban counterparts. Neighborhoods have gained 5,300 jobs since 1996 but the industry makeup has changed with stable manufacturing and trade jobs losing the most in favor of education, health and service jobs.

Though jobs are leaving the city, Minneapolis has a highly educated work force. The share of adults in the labor force was 70.0% and the recorded low unemployment rate was 4.7% in 2002. However, racial and ethnic minorities lag behind White counterparts with 15.0% of African Americans and 13.0% of Hispanics holding bachelor's degrees, compared to 42.0% of European Americans. About 15.8% of families and 21.5% of the population were below the poverty line, including 33.1% of those under age 18 and 12.4% of those aged 65 or over.

Regionally, the population is continuing to decentralize away from Minneapolis, relocating families and middle to upper income brackets outside the city. Growth in the middle class has been slow with the 2000 median household income at $37,974 and the median family income at $48,602. However, the median household income now stands at $44,478 and the median family income now stands at $59,816.