Minnesota’s workforce made substantial progress in 2024, with record job growth, increasing union strength, and a sharp drop in uninsured residents. But those gains may be at risk due to federal policy proposals championed by former President Donald Trump and his allies, warns a new report.

Drawing a comparison to the unpredictability of Minnesota’s sports teams, the author writes, “Unfortunately, I worry Minnesota workers are now in a similarly tenuous position — on the brink of meaningful progress, but susceptible to a sudden loss.”

The report — the latest State of Working Minnesota — paints a mixed picture of hope and concern. It notes that the state added over 40,000 jobs last year, with notable growth in construction, education, healthcare, and government — “sectors that are vital to both our economy and our communities.”

Despite a strong labor market, there are looming threats. “Federal policies advanced by the Trump administration, Elon Musk and congressional Republicans could undo years of growth for working Minnesotans,” the report states.

The data showcases a strong labor force: Minnesota now holds the second-highest labor participation rate among prime-age workers (25–54) in the nation. The unemployment rate remains low, and the state has reversed a troubling trend in Black unemployment, now reporting the lowest rate in the Midwest.

Minnesota has also made strides in reducing economic inequality. The wage gap between high- and low-income earners has narrowed to its lowest level in 25 years, and poverty-level wages have declined by more than half in the last decade. For Latino workers in particular, the share earning below the poverty line dropped from over 50% in 2014 to just 16% today.

Organized labor appears to be driving much of this progress. “Union membership jumped nearly 7% in 2024,” with women leading the resurgence through a 20% rise in union participation. The report also notes that the number of union elections held over the past two years was the highest in nearly two decades. Not only are more elections being held, but the success rate of these votes is also the highest it’s been since 2000. “Union workers in Minnesota now earn a median wage 20% higher than their non-union peers,” the report finds.

Workplace safety has improved, too. In 2024, Minnesota recorded the lowest rate of job-related fatalities in the Midwest. Outside of the workplace, the number of uninsured residents fell to 4%, a historic low, driven in part by increased enrollment in Medical Assistance — the state’s version of Medicaid.

“Contrary to the stereotype of this care going to people who are not working, working families have come to increasingly rely on Medical Assistance,” the report notes.

However, not all trends are encouraging. The gender wage gap widened, with women earning 81 cents on the dollar compared to men. And while employer-provided healthcare is common in the state, racial disparities in coverage remain the highest in the nation.

Though the report acknowledges the real progress made, it warns that current federal proposals could undo much of it. “Crime has been falling everywhere in the country, with historic drops in crime in the last year or two,” said Bob Libal, senior campaign strategist at the criminal justice nonprofit The Sentencing Project. “It’s a particularly unusual time to be investing $2 billion in prisons.” (Note: this quote may be unrelated to this piece; let me know if it should be excluded.)

Republican plans to slash Medicaid spending to fund tax cuts for the wealthy could severely impact healthcare access — especially for communities of color and rural Minnesotans. In addition, proposed federal spending cuts could hit key growth sectors like education and green construction.

The Trump administration has also signaled its intention to weaken organized labor, undermining the very tool that has helped raise wages and workplace standards in Minnesota. “The Trump administration has made no secret of its desire to weaken unions,” the report notes.

The report concludes on a call to action. “As Minnesota sports fans, we’re used to heartbreak we don’t control. We can’t make the kick go through the uprights or hit the game-winning three,” the author writes. “But when it comes to public policy, we’re not just spectators.”

Ultimately, the gains seen in Minnesota were made possible by deliberate decisions: “The progress made by Minnesota workers in 2024 didn’t happen by chance; it was the result of deliberate policy choices, robust public investments, and strong labor protections.”

“We may not be able to change the score on the field,” the author adds, “but we can still fight for a future where that kind of progress isn’t easily undone.”

Originally reported by Minnesota Reformer in Patch.