Associated Builders and Contractors reported that its Construction Backlog Indicator remained unchanged at 8.9 months in June 2023, according to an ABC member survey conducted June 20 to July 5. The reading is unchanged from June 2022.
Backlog in the infrastructure category increased for the third straight month and is now at the highest level in nearly two years. On a regional basis, the South remains the region with the highest backlog, despite being the only region in which backlog declined in June.
“Backlog once again remained stable in June despite tight credit conditions and high interest rates,” said ABC Chief Economist Anirban Basu. “While those risk factors drove a decline in all three Construction Confidence Index series, contractors continue to signal an expectation that sales, profit margins and staffing will expand over the second half of 2023.
ABC’s Construction Confidence Index reading for sales, profit margins and staffing levels moved lower in June. All three readings remain above the threshold of 50, indicating expectations of growth over the next six months.
“Many aspects of the economy, including consumer spending and the labor market, held up better than expected in the second quarter,” said Basu. “That bodes well for economic growth over the summer, but also suggests that the Federal Reserve may raise rates higher and keep them there longer in their ongoing efforts to suppress inflation. All else equal, that will reduce construction activity in the quarters to come.”
Related Stories
| Aug 11, 2010
Jacobs, Hensel Phelps among the nation's 50 largest design-build contractors
A ranking of the Top 50 Design-Build Contractors based on Building Design+Construction's 2009 Giants 300 survey. For more Giants 300 rankings, visit http://www.BDCnetwork.com/Giants
| Aug 11, 2010
Balfour Beatty agrees to acquire Parsons Brinckerhoff for $626 million
Balfour Beatty, the international engineering, construction, investment and services group, has agreed to acquire Parsons Brinckerhoff for $626 million. Balfour Beatty executives believe the merger will be a major step forward in accomplishing a number of Balfour Beatty’s objectives, including establishing a global professional services business of scale, creating a leading position in U.S. civil infrastructure, particularly in the transportation sector, and enhancing its global reach.
| Aug 11, 2010
Construction unemployment rises to 17.1% as another 64,000 construction workers are laid off in September
The national unemployment rate for the construction industry rose to 17.1 percent as another 64,000 construction workers lost their jobs in September, according to an analysis of new employment data released today. With 80 percent of layoffs occurring in nonresidential construction, Ken Simonson, chief economist for the Associated General Contractors of America, said the decline in nonresidential construction has eclipsed housing’s problems.
| Aug 11, 2010
CHPS debuts high-performance building products database
The Collaborative for High Performance Schools (CHPS) made a new tool available to product manufacturers to help customers identify building products that contribute to sustainable, healthy, built environments. The tool is an online, searchable database where manufacturers can list products that have met certain environmental or health standards ranging from recycled content to materials that contribute to improved indoor air quality.
| Aug 11, 2010
ICC launches green construction code initiative for commercial buildings
The International Code Council has launched its International Green Construction Code (IGCC) initiative, which will aim to reduce energy usage and the carbon footprint of commercial buildings.Entitled “IGCC: Safe and Sustainable By the Book,” the initiative is committed to develop a model code focused on new and existing commercial buildings. It will focus on building design and performance.
| Aug 11, 2010
Green Building Initiative launches two certification programs for green building professionals
The Green Building Initiative® (GBI), one of the nation’s leading green building organizations and exclusive provider of the Green Globes green building certification in the United States, today announced the availability of two new personnel certification programs for green building practitioners: Green Globes Professional (GGP) and Green Globes Assessor (GGA).
