Construction employment in July remained below the levels reached before the pre-pandemic peak in February 2020 in 36 states, according to an analysis by the Associated General Contractors of America of government employment data released today. Association officials said construction employment would benefit from new federal infrastructure investments and urged the House to quickly pass the bipartisan infrastructure bill.
“This data shows that full recovery remains elusive for construction in most states,” said Ken Simonson, the association’s chief economist. “In fact, the fast-spreading COVID-19 delta variant may make it harder to find employees eligible to work on restricted sites and may also depress demand if some owners defer projects.”
From February 2020—the month before the pandemic caused project shutdowns and cancellations—to last month, construction employment increased in only 14 states and was flat in the District of Columbia. Texas shed the most construction jobs over the period (-56,200 jobs or -7.2%), followed by New York (-52,600 jobs, -12.9%) and California (-35,100 jobs, -3.8%). Louisiana recorded the largest percentage loss (-15.3%, -21,000 jobs), followed by Wyoming (-13.5%, -3,100 jobs) and New York.
Of the states that added construction jobs since February 2020, Utah added the most (7,900 jobs, 6.9%), followed by North Carolina (5,700, 2.4%) and Idaho (4,400 jobs, 8.2%). The largest percentage gain was in Idaho, followed by South Dakota (7.5%, 1,800 jobs) and Utah.
From June to July construction employment decreased in 18 states, increased in 30, and was unchanged in Kansas, Tennessee, and D.C. The largest decline over the month occurred in Colorado, which lost 1,600 construction jobs or 0.9%, followed by a loss of 1,500 jobs each in Oklahoma (-1.9%), Texas (-0.2%), and Pennsylvania (0.6%). The steepest percentage declines since June occurred in New Hampshire (-2.2%, -600 jobs), followed by 1.9% losses in Oklahoma and Arkansas (-1,000 jobs).
North Carolina added the most construction jobs between June and July (4,300 jobs, 1.8%), followed by New Jersey (4,000 jobs, 2.7%) and Illinois (3,700 jobs, 1.7%). The largest percentage gains were in New Jersey and Connecticut (2.7%, 1,500 jobs), followed by South Carolina (2.4%, 2,600 jobs).
Association officials warned that construction employment was being impacted in many parts of the country because of supply chain challenges and growing market uncertainty caused by the resurgent Delta variant. They said new federal infrastructure investments would provide a needed boost in demand and help put more people to work in construction careers.
“New federal infrastructure investments will help put more people to work in high-paying construction careers,” said Stephen E. Sandherr, the association’s chief executive officer. “The House can help put Americans back to work by immediately approving the infrastructure measure that passed the Senate with broad, bipartisan support.”
View state February 2020-July 2021 data and rankings, 1-month rankings.c
Related Stories
Multifamily Housing | Mar 14, 2023
Multifamily housing rent rates remain flat in February 2023
Multifamily housing asking rents remained the same for a second straight month in February 2023, at a national average rate of $1,702, according to the new National Multifamily Report from Yardi Matrix. As the economy continues to adjust in the post-pandemic period, year-over-year growth continued its ongoing decline.
Contractors | Mar 14, 2023
The average U.S. contractor has 9.2 months worth of construction work in the pipeline, as of February 2023
Associated Builders and Contractors reported today that its Construction Backlog Indicator increased to 9.2 months in February, according to an ABC member survey conducted Feb. 20 to March 6. The reading is 1.2 months higher than in February 2022.
Industry Research | Mar 9, 2023
Construction labor gap worsens amid more funding for new infrastructure, commercial projects
The U.S. construction industry needs to attract an estimated 546,000 additional workers on top of the normal pace of hiring in 2023 to meet demand for labor, according to a model developed by Associated Builders and Contractors. The construction industry averaged more than 390,000 job openings per month in 2022.
Market Data | Mar 7, 2023
AEC employees are staying with firms that invest in their brand
Hinge Marketing’s latest survey explores workers’ reasons for leaving, and offers strategies to keep them in the fold.
Multifamily Housing | Feb 21, 2023
Multifamily housing investors favoring properties in the Sun Belt
Multifamily housing investors are gravitating toward Sun Belt markets with strong job and population growth, according to new research from Yardi Matrix. Despite a sharp second-half slowdown, last year’s nationwide $187 billion transaction volume was the second-highest annual total ever.
Contractors | Feb 14, 2023
The average U.S. contractor has nine months worth of construction work in the pipeline
Associated Builders and Contractors reports today that its Construction Backlog Indicator declined 0.2 months to 9.0 in January, according to an ABC member survey conducted Jan. 20 to Feb. 3. The reading is 1.0 month higher than in January 2022.
Office Buildings | Feb 9, 2023
Post-Covid Manhattan office market rebound gaining momentum
Office workers in Manhattan continue to return to their workplaces in sufficient numbers for many of their employers to maintain or expand their footprint in the city, according to a survey of more than 140 major Manhattan office employers conducted in January by The Partnership for New York City.
Giants 400 | Feb 9, 2023
New Giants 400 download: Get the complete at-a-glance 2022 Giants 400 rankings in Excel
See how your architecture, engineering, or construction firm stacks up against the nation's AEC Giants. For more than 45 years, the editors of Building Design+Construction have surveyed the largest AEC firms in the U.S./Canada to create the annual Giants 400 report. This year, a record 519 firms participated in the Giants 400 report. The final report includes 137 rankings across 25 building sectors and specialty categories.
Multifamily Housing | Feb 7, 2023
Multifamily housing rents flat in January, developers remain optimistic
Multifamily rents were flat in January 2023 as a strong jobs report indicated that fears of a significant economic recession may be overblown. U.S. asking rents averaged $1,701, unchanged from the prior month, according to the latest Yardi Matrix National Multifamily Report.
Market Data | Feb 6, 2023
Nonresidential construction spending dips 0.5% in December 2022
National nonresidential construction spending decreased by 0.5% in December, according to an Associated Builders and Contractors analysis of data published today by the U.S. Census Bureau. On a seasonally adjusted annualized basis, nonresidential spending totaled $943.5 billion for the month.
