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
Market Data | Mar 25, 2020
Engineering and construction materials prices fall for first time in 40 months on coronavirus impacts, IHS Markit says
Survey respondents reported falling prices for five out of the 12 components within the materials and equipment sub-index.
Market Data | Mar 23, 2020
Coronavirus will reshape UAE construction
The impact of the virus has been felt in the UAE, where precautionary measures have been implemented to combat the spread of the virus through social distancing.
Coronavirus | Mar 20, 2020
Pandemic has halted or delayed projects for 28% of contractors
Coronavirus-caused slowdown contrasts with January figures showing a majority of metro areas added construction jobs; Officials note New infrastructure funding and paid family leave fixes are needed.
Market Data | Mar 17, 2020
Construction spending to grow modestly in 2020, predicts JLL’s annual outlook
But the coronavirus has made economic forecasting perilous.
Market Data | Mar 16, 2020
Grumman/Butkus Associates publishes 2019 edition of Hospital Benchmarking Survey
Report examines electricity, fossil fuel, water/sewer, and carbon footprint.
Market Data | Mar 12, 2020
New study from FMI and Autodesk finds construction organizations with the highest levels of trust perform twice as well on crucial business metrics
Higher levels of trust within organizations and across project teams correlate with increased profit margins, employee retention and repeat business that can all add up to millions of dollars of profitability annually.
Market Data | Mar 11, 2020
The global hotel construction pipeline hits record high at 2019 year-end
Projects currently under construction stand at a record 991 projects with 224,354 rooms.
Market Data | Mar 6, 2020
Construction employment increases by 43,000 in February and 223,000 over 12 months
Average hourly earnings in construction top private sector average by 9.9% as construction firms continue to boost pay and benefits in effort to attract and retain qualified hourly craft workers.
Market Data | Mar 4, 2020
Nonresidential construction spending attains all-time high in January
Private nonresidential spending rose 0.8% on a monthly basis and is up 0.5% compared to the same time last year.
Market Data | Feb 21, 2020
Construction contractor confidence remains steady
70% of contractors expect their sales to increase over the first half of 2020.
