More than a quarter of construction firms responding to an online survey conducted by the Associated General Contractors of America last week reported they had furloughed or terminated jobsite workers because of the coronavirus pandemic. The finding contrasts starkly with the association’s analysis of government data released today that showed a majority of the nation’s metro areas added construction jobs through February.
“The metro-level employment data show that construction was still growing strongly in many parts of the country in February, immediately before the pandemic forced contractors to shut down projects and lay off workers,” said Ken Simonson, the association’s chief economist. “In contrast, our survey, completed less than a week ago, found that a majority of respondents had been told by owners or government agencies to cease work.” Click here for additional video comments from Mr. Simonson regarding last week’s survey.
Simonson added that 27% of respondents to the survey reported they have furloughed or terminated construction workers. In addition, 55% of the firms said they had been directed to delay or cancel projects by their clients, while 26% reported they had been directed to stop construction activities by government officials. The survey was conducted from March 30 through April 2 and drew 1,294 responses.
The association’s analysis of metro employment data showed that construction employment increased between February 2019 and February 2020 in 217 (61%) of metro areas, declined in 89, and held steady in 52. The Dallas-Plano-Irving, Texas metro added the most construction jobs over 12 months (12,000 jobs, 8%), while the largest percentage increase occurred in Walla Walla, Wash. (22%, 200 jobs). The Orange-Rockland-Westchester, N.Y. area lost the most construction jobs over the year (-4,400 jobs, -10%). The largest percentage decline occurred in Danville, Ill. (-20%, -100 jobs).
Association officials said the new February metro employment data, when compared to the recent survey results, demonstrates how quickly construction market conditions have deteriorated because of the coronavirus pandemic. They urged federal officials to begin crafting measures to support the post-pandemic recovery, including funding new infrastructure investments, compensating contractors for cancelled or delayed federal projects and supporting hard-hit pension plans many construction workers rely on for health and retirement benefits.
“The deterioration of the construction market in many parts of the country has been both swift and severe,” said Stephen E. Sandherr, the association’s chief executive officer. “Unless Washington officials begin crafting a comprehensive recovery plan that includes measures to help the industry, the industry will continue to suffer even after the pandemic passes.”
View AGC’s coronavirus resources and survey. View comparative data here. View the metro employment data, rankings, top 10, and map.
Related Stories
Coronavirus | Apr 17, 2020
The case for public space in the age of COVID-19
As our daily footprint narrows under “stay at home” measures, we must reconsider our relationship with public spaces.
Coronavirus | Apr 16, 2020
COVID-19: Pennsylvania building products supplier raises $1.2 million for Pittsburgh-area food bank
Pennsylvania building products supplier raises $1.2 million for Pittsburgh-area food bank.
Coronavirus | Apr 15, 2020
How has your work been impacted by COVID-19?
The SMPS Foundation and Building Design+Construction are studying the impact of the coronavirus pandemic on the ability to attain and retain clients and conduct projects, along with other consequences.
Coronavirus | Apr 15, 2020
COVID-19 alert: 93% of renters in professionally managed multifamily housing paid some or all of their rent, says NMHC
In its second survey of 11.5 million units of professionally managed apartment units across the country, the National Multifamily Housing Council (NMHC) found that 84% of apartment households made a full or partial rent payment by April 12, up 15 percentage points from April 5.
Coronavirus | Apr 15, 2020
DCAMM teams with SLAM and Gilbane Building Company to re-occupy Newton Pavilion for temporary quarantine of homeless during COVID-19 pandemic
First and only quarantine shelter in Boston-area to convert a shuttered hospital for homeless patient occupancy.
Coronavirus | Apr 15, 2020
3D printing finds its groove fabricating face shields during COVID-19 crisis
The architecture firm Krueck + Sexton is producing 100 shields for a Chicago-area hospital.
Coronavirus | Apr 14, 2020
COVID-19 alert: Missouri’s first Alternate Care Facility ready for coronavirus patients
Missouri’s first Alternate Care Facility ready for coronavirus patients
Coronavirus | Apr 13, 2020
COVID-19 alert: City conducts a 'virtual building inspection' to allow Starbucks and bank to open
Bothell, Wash., issues a certificate of occupancy to developer after inspecting the property online.
Coronavirus | Apr 12, 2020
How prefab can enable the design and construction industry to bring much needed beds to hospitals, faster
The outbreak of COVID-19 represents an unprecedented test for the global healthcare system. Managing the pandemic—and saving lives—depends largely on the availability of medical supplies, including the capacity of hospitals. But the United States lags behind other nations, with only 2.8 beds per thousand people compared to 4.3 in China and 12.8 in South Korea.
Coronavirus | Apr 10, 2020
HGA and The Boldt Company devise a prefabricated temporary hospital to manage surge capacity during a viral crisis
A STAAT Mod system can be ready to receive patients in less than a month.