Construction employment in December remained below pre-pandemic levels in two-thirds of the states even though 37 states and the District of Columbia added construction jobs from November to December, according to an analysis by the Associated General Contractors of America of government employment data released today. Association officials said the new data highlights how broadly the industry has been impacted by the pandemic and underscores the need for additional coronavirus recovery measures.
“While most states recorded construction employment gains in December, the pickup is likely to be temporary for many,” said Ken Simonson, the association’s chief economist. “Participants in our association’s recent Hiring and Business Outlook Survey expect the dollar volume of most project types available to bid on to decline in 2021.”
The survey, which included responses from more than 1,300 contractors in every state and D.C., asked about prospects for 16 categories of projects. On balance, respondents expect growth only for non-hospital health care, such as clinics, testing and screening facilities, and medical laboratories; warehouses; and water and sewer projects.
Seasonally adjusted construction employment in December was lower than in February—the last month before the pandemic forced many contractors to suspend work—in 34 states and was unchanged in Kansas, Simonson noted. Texas lost the most construction jobs over the 10-month period (-35,600 jobs or -4.5%), followed by New York (-30,900 jobs, -7.5%), Florida (-17,500 jobs, -3.0%) and New Jersey (-16,700 jobs, -10.0%). Vermont experienced the largest percentage loss (-23.1%, -3,400 jobs), followed by New Jersey.
Only 15 states and the District of Columbia added construction jobs from February to December. Virginia added the most jobs (10,800, 5.3%), followed by Utah (7,000 jobs, 6.1%) and Alabama (6,100 jobs, 6.4%). Alabama added the highest percentage, followed by Utah and South Dakota (5.7%, 1,400 jobs).
Construction employment decreased from November to December in 11 states and D.C., increased in 37 states and was unchanged in North Carolina and Rhode Island. Arizona had the largest loss of construction jobs for the month (-4,100 jobs or -2.3%), followed by Louisiana (-2,000 jobs, -1.5%). Delaware had the largest percentage decline (3.2%, -700 jobs), followed by Arizona, Alaska (-1.9%, -300 jobs), and Louisiana.
California added the most construction jobs over the month (31,600 jobs, 3.7%), followed by New York (8,500, 2.3%) and Illinois (8,300 jobs, 3.8%). New Hampshire had the largest percentage gain for the month (4.0%, 1,100 jobs), followed by Illinois and New Mexico (3.8%, 1,800 jobs).
Association officials said demand for construction will continue to suffer until the coronavirus is under control and urged federal officials to enact measures to help stem additional job losses in the sector. These new measures should include new federal investments in infrastructure, backfilling depleted state and local construction budgets and moving quickly to forgive Paycheck Protection Program loans issued last year.
“Contractors are eager to save as many jobs as possible during the next several months on the expectation demand will return once the coronavirus comes under control,” said Stephen E. Sandherr, the association’s chief executive officer. “Washington officials can help save countless construction careers by acting now to stabilize demand.
View state employment February-December data and rankings; and November-December rankings.
Related Stories
Market Data | Nov 18, 2020
Architecture billings remained stalled in October
The pace of decline during October remained at about the same level as in September.
Market Data | Nov 17, 2020
Architects face data, culture gaps in fighting climate change
New study outlines how building product manufacturers can best support architects in climate action.
Market Data | Nov 10, 2020
Construction association ready to work with president-elect Biden to prepare significant new infrastructure and recovery measures
Incoming president and congress should focus on enacting measures to rebuild infrastructure and revive the economy.
Market Data | Nov 9, 2020
Construction sector adds 84,000 workers in October
A growing number of project cancellations risks undermining future industry job gains.
Market Data | Nov 4, 2020
Drop in nonresidential construction offsets most residential spending gains as growing number of contractors report cancelled projects
Association officials warn that demand for nonresidential construction will slide further without new federal relief measures.
Market Data | Nov 2, 2020
Nonresidential construction spending declines further in September
Among the sixteen nonresidential subcategories, thirteen were down on a monthly basis.
Market Data | Nov 2, 2020
A white paper assesses seniors’ access to livable communities
The Joint Center for Housing Studies and AARP’s Public Policy Institute connect livability with income, race, and housing costs.
Market Data | Nov 2, 2020
More contractors report canceled projects than starts, survey finds
Construction employment declined in most metros in latest 12 months.
Multifamily Housing | Oct 30, 2020
The Weekly show: Multifamily security tips, the state of construction industry research, and AGC's market update
BD+C editors speak with experts from AGC, Charles Pankow Foundation, and Silva Consultants on the October 29 episode of "The Weekly." The episode is available for viewing on demand.
Hotel Facilities | Oct 27, 2020
Hotel construction pipeline dips 7% in Q3 2020
Hospitality developers continue to closely monitor the impact the coronavirus will have on travel demand, according to Lodging Econometrics.