Three-fourths of all metro areas added construction jobs between July 2020 and last month, according to an analysis by the Associated General Contractors of America of government employment data released today. Association officials noted that while many metro areas have added jobs since last summer, construction employment still lags pre-pandemic levels in many areas as the industry faces a host of challenges.
“The rapid spread of the delta variant of coronavirus, along with soaring materials costs and multiple supply-chain difficulties, appears to be causing some project owners to delay starting construction,” said Ken Simonson, the association’s chief economist. “However, the virus flare-up threatens further job gains, particularly because construction workers have a lower vaccination rate and thus a higher risk of becoming ill than other occupations.”
Construction employment increased in 268 out of 358 metro areas over the last 12 months. Seattle-Bellevue-Everett, Wash. added the most construction jobs (10,200 jobs, 10%), followed by Sacramento--Roseville--Arden-
Construction employment declined from a year earlier in 54 metros and held steady in 36. Houston-The Woodlands-Sugar Land, Texas lost the most jobs: 7,000 or 3%, followed by New York City (-6,300 jobs, -4%); Miami-Miami Beach-Kendall, Fla. (-3,500 jobs, -7%); Nassau County-Suffolk County, N.Y. (-2,400 jobs, -3%) and Calvert-Charles-Prince George’s, Md. (-2,400 jobs, -7%). The largest percentage declines, 11%, were in Atlantic City-Hammonton, N.J. (-600 jobs) and Evansville, Ind.-Ky. (-1,100 jobs), followed by 9% decreases in Tuscaloosa, Ala. (-600 jobs) and Victoria, Texas (-300 jobs).
Association officials urged federal officials to take steps to address supply-chain woes and boost demand for many types of construction services. They continued to call for the removal of tariffs on a host of critical construction materials, including steel and aluminum. And they urged the House of Representatives to quickly pass bipartisan infrastructure legislation that would give a needed boost to construction demand at a time when many private sector owners are rethinking projects amid rising prices and the spiking coronavirus cases.
“Washington officials have the ability to help offset soaring materials prices and boost flagging demand for commercial construction,” said Stephen E. Sandherr, the association’s chief executive officer. “The president should put an immediate end to tariffs that are needlessly inflating the cost of key materials and members of the House should rapidly approve the bipartisan infrastructure bill.”
Related Stories
Market Data | Apr 29, 2019
U.S. economic growth crosses 3% threshold to begin the year
Growth was fueled by myriad factors, including personal consumption expenditures, private inventory investment, surprisingly rapid growth in exports, state and local government spending and intellectual property.
Market Data | Apr 18, 2019
ABC report: 'Confidence seems to be making a comeback in America'
The Construction Confidence Index remained strong in February, according to the Associated Builders and Contractors.
Market Data | Apr 16, 2019
ABC’s Construction Backlog Indicator rebounds in February
ABC's Construction Backlog Indicator expanded to 8.8 months in February 2019.
Market Data | Apr 8, 2019
Engineering, construction spending to rise 3% in 2019: FMI outlook
Top-performing segments forecast in 2019 include transportation, public safety, and education.
Market Data | Apr 1, 2019
Nonresidential spending expands again in February
Private nonresidential spending fell 0.5% for the month and is only up 0.1% on a year-over-year basis.
Market Data | Mar 22, 2019
Construction contractors regain confidence in January 2019
Expectations for sales during the coming six-month period remained especially upbeat in January.
Market Data | Mar 21, 2019
Billings moderate in February following robust New Year
AIA’s Architecture Billings Index (ABI) score for February was 50.3, down from 55.3 in January.
Market Data | Mar 19, 2019
ABC’s Construction Backlog Indicator declines sharply in January 2019
The Construction Backlog Indicator contracted to 8.1 months during January 2019.
Market Data | Mar 15, 2019
2019 starts off with expansion in nonresidential spending
At a seasonally adjusted annualized rate, nonresidential spending totaled $762.5 billion for the month.
Market Data | Mar 14, 2019
Construction input prices rise for first time since October
Of the 11 construction subcategories, seven experienced price declines for the month.