flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

Nonresidential construction hiring surges in December 2014

Nonresidential construction hiring surges in December 2014

The labor force participation rate now sits at 62.7%.


By Associated Builders & Contractors, Inc.  | January 9, 2015

The U.S. construction industry added 48,000 jobs in December, including 22,800 jobs in nonresidential construction, according to the Bureau of Labor Statistics (BLS) preliminary estimate released Jan. 9.

November's estimate was unchanged in this release, remaining at 20,000 net new construction jobs, but nonresidential construction's November jobs figure was upwardly revised to 7,100 jobs.

"The U.S. economy added an average of 289,000 jobs per month during the final three months of 2014, indicating that momentum is surging as we transition into 2015," said Associated Builders and Contractors Chief Economist Anirban Basu. "This represents good news for the construction industry in 2015 and perhaps beyond, particularly with respect to office construction, retail construction, and other segments that benefit directly from accelerating job growth and decreasing unemployment. Overall, the economy has built steady momentum since the end of last winter adding an average of 246,000 jobs per month in 2014, an increase of more than 50,000 jobs added per month compared to 2013."

According to the BLS household survey, the national unemployment rate fell to 5.6% in December. This represents the lowest level of unemployment since June 2008. The declining unemployment rate is most likely a result of a labor force that shrank by 273,000 persons in December, after expanding in the previous two months. The labor force participation rate fell by 0.02% and now sits at 62.7%.

"One of the most interesting aspects of the report is that construction unemployment ended the year at 8.3 percent on a non-seasonally adjusted basis," said Basu. "While construction firm executives have been worried for years about the specter of construction skills shortages, the BLS data indicate there are plenty of people looking for jobs in construction. It is likely that many of these prospective workers lack the skills necessary to fill the openings construction firms are seeking to fill or live in areas where construction employment growth is much slower.

"Normally, high construction unemployment would imply slow rates of wage and compensation increases; however, ABC believes this is not the case," added Basu. "Because of the presence of skills mismatches, wage gains are likely to be sizeable in 2015 even in the presence of lofty rates of construction unemployment."

Construction employment for the month and the past year breaks down as follows:
• Nonresidential building construction employment expanded by 10,000 for the month and is up by 23,400 jobs, or 3.4 percent, since December 2013.
• Residential building construction employment expanded by 800 jobs in December and is up by 44,500 jobs, or 7 percent, on an annual basis.
• Nonresidential specialty trade contractors added 12,800 jobs for the month and employment in that category is up by 76,900 jobs, or 3.7 percent, from the same time one year ago.
• Residential specialty trade contractors gained 12,700 jobs in December and have added 87,600 jobs, or 5.6 percent, since December 2013.
• The heavy and civil engineering construction segment gained 11,600 jobs in December and job totals are up by 57,900, or 6.6 percent, on a year-over-year basis.

To view the previous employment report, click here.

Related Stories

High-rise Construction | Mar 4, 2015

Must see: Egypt planning 656-foot pyramid skyscraper in Cairo

Zayed Crystal Spark Tower will stand 200 meters tall and will be just a short distance from the pyramids of Giza. 

Transit Facilities | Mar 4, 2015

5+design looks to mountains for Chinese transport hub design

The complex, Diamond Hill, will feature sloping rooflines and a mountain-like silhouette inspired by traditional Chinese landscape paintings.

Energy Efficiency | Mar 4, 2015

DOE launches crowdsourcing website for technology innovators

The Oak Ridge National Laboratory launched a new crowdsourcing website called the Buildings Crowdsoucing Community to collect and share ideas by innovators for energy-efficient technologies to use in homes and buildings.

Multifamily Housing | Mar 3, 2015

10 kitchen and bath design trends for 2015

From kitchens made for pet lovers to floating vanities, the nation's top kitchen and bath designers identify what's hot for 2015.

Office Buildings | Mar 3, 2015

Former DuPont lab to be converted into business incubator near UPenn campus

The new Pennovation Center will provide collaborative and research spaces for educators, scientists, students, and the private sector.

Sponsored | BIM and Information Technology | Mar 3, 2015

The great debate: Is 3D PDF really BIM?

You can pull apart buildings, cut through floors, and view simulated animation for assembly instructions all within a PDF.

K-12 Schools | Mar 2, 2015

BD+C special report: What it takes to build 21st-century schools

How the latest design, construction, and teaching concepts are being implemented in the next generation of America’s schools.

Codes and Standards | Mar 2, 2015

Proposed energy standard for data centers, telecom buildings open for public comment

The intent of ASHRAE Standard 90.4P is to create a performance-based approach that would be more flexible and accommodating of innovative change.

K-12 Schools | Mar 1, 2015

Are energy management systems too complex for school facility staffs?

When school districts demand the latest and greatest, they need to think about how those choices will impact the district’s facilities employees.

Office Buildings | Mar 1, 2015

Google unveils dramatic tent-like, modular-focused plan for corporate HQ

The master plan by Bjarke Ingels and Thomas Heatherwick will wrap highly flexible office blocks in soaring translucent canopies.

boombox1
boombox2
native1

More In Category

Construction Costs

Data center construction costs for 2024

Gordian’s data features more than 100 building models, including computer data centers. These localized models allow architects, engineers, and other preconstruction professionals to quickly and accurately create conceptual estimates for future builds. This table shows a five-year view of costs per square foot for one-story computer data centers. 


Sustainability

Grimshaw launches free online tool to help accelerate decarbonization of buildings

Minoro, an online platform to help accelerate the decarbonization of buildings, was recently launched by architecture firm Grimshaw, in collaboration with more than 20 supporting organizations including World Business Council for Sustainable Development (WBCSD), RIBA, Architecture 2030, the World Green Building Council (WorldGBC) and several national Green Building Councils from across the globe.



Healthcare Facilities

Watch on-demand: Key Trends in the Healthcare Facilities Market for 2024-2025

Join the Building Design+Construction editorial team for this on-demand webinar on key trends, innovations, and opportunities in the $65 billion U.S. healthcare buildings market. A panel of healthcare design and construction experts present their latest projects, trends, innovations, opportunities, and data/research on key healthcare facilities sub-sectors. A 2024-2025 U.S. healthcare facilities market outlook is also presented.

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