flexiblefullpage -
billboard - default
interstitial1 - interstitial
Currently Reading

Construction employment trails pre-pandemic level in 39 states

Market Data

Construction employment trails pre-pandemic level in 39 states

Supply chain challenges, rising materials prices undermine demand.


By AGC | July 19, 2021

Construction employment in June remained below the levels reached before the pre-pandemic peak in February 2020 in 39 states, according to an analysis by the Associated General Contractors of America of government employment data released today. Association officials noted that many construction firms are struggling to cope with supply chain challenges and rising materials prices, which is undermining demand for new projects and impacting firms’ ability to hire new workers.

“The construction industry is a long way from full recovery in most states, in spite of a hot homebuilding market in many areas,” said Ken Simonson, the association’s chief economist. “Soaring materials costs, long production times for key items, and delayed deliveries are causing owners to postpone projects.”

From February 2020—the month before the pandemic caused project shutdowns and cancellations—to last month, construction employment increased in only 11 states and was flat in the District of Columbia. New York shed the most construction jobs over the period (-54,300 jobs or -13.3%), followed by Texas (-54,100 jobs, -6.9%) and California (-36,500 jobs, -4.0%). Wyoming recorded the largest percentage loss (-15.3%, -3,500 jobs), followed by Louisiana (-15.1%, -20,700 jobs) and New York.

Of the states that added construction jobs since February 2020, Utah added the most (7,000 jobs, 6.1%), followed by Idaho (4,400 jobs, 8.0%), South Dakota (1,400 jobs, 5.9%) and Rhode Island (1,200 jobs, 5.9%). The largest percentage gain was in Idaho, followed by Utah, Rhode Island, and South Dakota.

From May to June construction employment decreased in 25 states, increased in 24 states and D.C., and held steady in Maine. The largest decline over the month occurred in New York, which lost 6,900 construction jobs or 1.9%, followed by Pennsylvania (-4,100 jobs, -1.6%) and Texas (-3,300 jobs, -1.3%). The steepest percentage declines since May occurred in Vermont (-3.5%, -500 jobs), followed by New York, Alabama (-1.9%, -1,700 jobs), and North Dakota (-1.9%, -500 jobs).

Georgia added the most construction jobs between May and June (5,700 jobs, 2.9%), followed by Kentucky (2,700 jobs, 3.4%) and Florida (2,500 jobs, 0.4%). Kentucky had the largest percentage gain for the month, followed by Alaska (3.0%, 500 jobs) and Georgia.

Association officials cautioned that construction employment is unlikely to grow in many parts of the country until many of the supply chain challenges impacting firms improve. They added that the President could help by removing tariffs on key construction materials. They added that ending the unemployment supplements would add to the pool of workers for manufacturers, shippers, and construction firms to hire.

“Easing tariffs will help, but what the construction supply chain needs are workers to manufacture the products, ship them to contractors and build the projects the economy demands,” said Stephen E. Sandherr, the association’s chief executive officer. “Unemployment supplements helped families survive the pandemic-related lock downs, but they are undermining the post-pandemic recovery.”

View state February 2020-June 2021 data, 16-month rankings, 1-month rankings, and map.

Related Stories

Market Data | Aug 2, 2022

Nonresidential construction spending falls 0.5% in June, says ABC

National nonresidential construction spending was down by 0.5% in June, according to an Associated Builders and Contractors analysis of data published today by the U.S. Census Bureau.

Market Data | Jul 28, 2022

The latest Beck Group report sees earlier project collaboration as one way out of the inflation/supply chain malaise

In the first six months of 2022, quarter-to-quarter inflation for construction materials showed signs of easing, but only slightly.

Hotel Facilities | Jul 28, 2022

As travel returns, U.S. hotel construction pipeline growth follows

According to the recently released United States Construction Pipeline Trend Report from Lodging Econometrics (LE), the total U.S. construction pipeline stands at 5,220 projects/621,268 rooms at the close of 2022’s second quarter, up 9% Year-Over-Year (YOY) by projects and 4% YOY by rooms.

Codes and Standards | Jul 22, 2022

Hurricane-resistant construction may be greatly undervalued

  New research led by an MIT graduate student at the school’s Concrete Sustainability Hub suggests that the value of buildings constructed to resist wind damage in hurricanes may be significantly underestimated.

Market Data | Jul 21, 2022

Architecture Billings Index continues to stabilize but remains healthy

Architecture firms reported increasing demand for design services in June, according to a new report today from The American Institute of Architects (AIA).

Market Data | Jul 21, 2022

Despite deteriorating economic conditions, nonresidential construction spending projected to increase through 2023

Construction spending on buildings is projected to increase just over nine percent this year and another six percent in 2023, according to a new report from the American Institute of Architects (AIA). 

Building Team | Jul 18, 2022

Understanding the growing design-build market

FMI’s new analysis of the design-build market forecast for the next fives years shows that this delivery method will continue to grow, despite challenges from the COVID-19 pandemic.

Market Data | Jul 1, 2022

Nonresidential construction spending slightly dips in May, says ABC

National nonresidential construction spending was down by 0.6% in May, according to an Associated Builders and Contractors analysis of data published today by the U.S. Census Bureau.

Market Data | Jun 30, 2022

Yardi Matrix releases new national rent growth forecast

Rents in most American cities continue to rise slightly each month, but are not duplicating the rapid escalation rates exhibited in 2021.

Market Data | Jun 22, 2022

Architecture Billings Index slows but remains strong

Architecture firms reported increasing demand for design services in May, according to a new report today from The American Institute of Architects (AIA).

boombox1 - default
boombox2 -
native1 -

More In Category




halfpage1 -

Most Popular Content

  1. 2021 Giants 400 Report
  2. Top 150 Architecture Firms for 2019
  3. 13 projects that represent the future of affordable housing
  4. Sagrada Familia completion date pushed back due to coronavirus
  5. Top 160 Architecture Firms 2021

 


Magazine Subscription
Subscribe

Get our Newsletters

Each day, our editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Subscribe

Follow BD+C: