Only 16 states and the District of Columbia have added construction jobs since just before the start of the pandemic in February 2020, according to a new analysis of federal employment data released today by the Associated General Contractors of America. Association officials noted that prospects for the sector’s recovery will be diminished should the House-passed Build Back Better bill become law.
“Although activity picked up in most states in October, construction employment remains below pre-pandemic levels in two out of three states,” said Ken Simonson, the association’s chief economist. “The record number of job openings shows contractors are eager to hire more workers but can’t find enough qualified applicants.”
From February 2020—the month before the pandemic caused projects to be halted or canceled—to last month, construction employment decreased in 33 states, stalled in Hawaii, and increased in only 16 states and D.C. Texas shed the most construction jobs over the period (-46,400 jobs or -5.9%), followed by New York (-42,800 jobs, -10.5%) and California (-21,300 jobs, -2.3%). The largest percentage losses were in Wyoming (-14.0%, -3,200 jobs), New York, and Vermont (-9.8%, -1,500 jobs),
Utah added the most construction jobs since February 2020 (8,200 jobs, 7.2%), followed by North Carolina (7,700 jobs, 3.3%), Washington (4,900 jobs, 2.2%), and Idaho (4,900 jobs, 8.9%). The largest percentage gains were in South Dakota (10.5%, 2,500 jobs), Idaho, and Utah.
From September to October construction employment decreased in 14 states, increased in 34 states and D.C., and was unchanged in Alabama and Virginia. South Carolina lost the most construction jobs over the month (-1,900 jobs, -1.7%), followed by Missouri (-1,500 jobs, -1.2%). The largest percentage decline was in New Hampshire (-2.2%, -600 jobs), followed by Vermont (-2.1%, -300 jobs).
Louisiana added the largest number and percentage of construction jobs between September and October (8,200 jobs, 7.1%). California was second in construction job gains (7,500 jobs, 0.8%), while West Virginia had the second-highest percentage increase (2.3%, 700 jobs).
Association officials cautioned that the Build Back Better measure, which passed in the House earlier today, will undermine the construction sector’s recovery. They noted that the measure’s tax and labor provisions will stifle investments in construction activity and make it even harder for firms to find qualified workers to hire. They urged Senators to reject the massive new spending bill.
“The last thing Washington should be doing is making it even harder for firms to find projects to build or workers to hire,” said Stephen E. Sandherr, the association’s chief executive officer. “Yet the hyper-partisan Build Back Better bill will hobble employers with new mandates even as it stifles private sector demand with new taxes and regulations.”
View state February 2020-October 2021 data and rankings, 1-month rankings.
Related Stories
Contractors | Dec 6, 2022
Slow payments cost the construction industry $208 billion in 2022
The cost of floating payments for wages and invoices represents $208 billion in excess cost to the construction industry, a 53% increase from 2021, according to a survey by Rabbet, a provider of construction finance software.
Mass Timber | Dec 1, 2022
Cross laminated timber market forecast to more than triple by end of decade
Cross laminated timber (CLT) is gaining acceptance as an eco-friendly building material, a trend that will propel its growth through the end of the 2020s. The CLT market is projected to more than triple from $1.11 billion in 2021 to $3.72 billion by 2030, according to a report from Polaris Market Research.
Market Data | Nov 15, 2022
Construction demand will be a double-edged sword in 2023
Skanska’s latest forecast sees shorter lead times and receding inflation, but the industry isn’t out of the woods yet.
Reconstruction & Renovation | Nov 8, 2022
Renovation work outpaces new construction for first time in two decades
Renovations of older buildings in U.S. cities recently hit a record high as reflected in architecture firm billings, according to the American Institute of Architects (AIA).
Market Data | Nov 3, 2022
Building material prices have become the calm in America’s economic storm
Linesight’s latest quarterly report predicts stability (mostly) through the first half of 2023
Building Team | Nov 1, 2022
Nonresidential construction spending increases slightly in September, says ABC
National nonresidential construction spending was up by 0.5% in September, according to an Associated Builders and Contractors analysis of data published today by the U.S. Census Bureau.
Hotel Facilities | Oct 31, 2022
These three hoteliers make up two-thirds of all new hotel development in the U.S.
With a combined 3,523 projects and 400,490 rooms in the pipeline, Marriott, Hilton, and InterContinental dominate the U.S. hotel construction sector.
Codes and Standards | Oct 26, 2022
‘Landmark study’ offers key recommendations for design-build delivery
The ACEC Research Institute and the University of Colorado Boulder released what the White House called a “landmark study” on the design-build delivery method.
Building Team | Oct 26, 2022
The U.S. hotel construction pipeline shows positive growth year-over-year at Q3 2022 close
According to the third quarter Construction Pipeline Trend Report for the United States from Lodging Econometrics (LE), the U.S. construction pipeline stands at 5,317 projects/629,489 rooms, up 10% by projects and 6% rooms Year-Over-Year (YOY).
Designers | Oct 19, 2022
Architecture Billings Index moderates but remains healthy
For the twentieth consecutive month architecture firms reported increasing demand for design services in September, according to a new report today from The American Institute of Architects (AIA).
