Construction employment grew in 211, or 59%, out of 358 metro areas between December 2018 and December 2019, declined in 73 and was unchanged in 74, according to a new analysis of federal employment data released today by the Associated General Contractors of America. Association officials said that many firms report they are having a hard time finding enough qualified workers to hire, which likely undermined employment gains in some parts of the country.
“There are not enough qualified workers in many parts of the country for firms to be able to keep pace with strong demand for work,” said Ken Simonson, the association’s chief economist. “Construction workforce shortages appear to be holding back further job gains in many parts of the country.”
The Dallas-Plano-Irving, Texas metro area added the most construction jobs in 2019 (16,700 jobs, 11%). Other metro areas adding a large amount of construction jobs during the past 12 months include Los Angeles-Long Beach-Glendale, Calif. (12,300 jobs, 8%); Las Vegas-Henderson-Paradise, Nev. (9,400 jobs, 14%); Houston-The Woodlands-Sugar Land, Texas (9,300 jobs, 4%) and San Diego-Carlsbad, Calif. (8,600 jobs, 10%). The largest percentage gain occurred in Kansas City, Mo. (17%, 4,800 jobs), followed by Omaha-Council Bluffs, Neb.-Iowa (16%, 4,500 jobs); Auburn-Opelika, Ala. (15 percent, 400 jobs) and Rochester, N.Y. (15 percent, 3,000 jobs). Construction employment reached a new December high in 71 metro areas and a new December low in four areas.
The largest job losses between December 2018 and December 2019 occurred in New York City (-4,500 jobs, -3%), followed by Northern Virginia (-2,900 jobs, -4%); Riverside-San Bernardino-Ontario, Calif. (-2,600 jobs -3%) and Cincinnati, Ohio-Ky. (-2,400 jobs, -5%). The largest percentage decrease took place in Fairbanks, Alaska (-12%, -300 jobs), followed by Longview, Texas (-10%, -1,400 jobs); Wichita Falls, Texas (-10%, -300 jobs); Victoria, Texas (-9%, -400 jobs) and Huntington-Ashland, W.Va.-Ky.-Ohio (-9%, -700 jobs).
Association officials said workforce shortages were undermining strong employment gains in many parts of the country and urged federal officials to take steps to encourage more people to pursue high-paying construction careers. These steps include doubling federal investments in career and technical education to expose more students to construction career opportunities. And they called on Washington officials to establish a temporary work visa program to allow people with construction skills to work in markets impacted by labor shortages.
“Given the current state of demand for their services, many construction firms would be hiring more workers if only they could find them,” said Stephen E. Sandherr, the association’s chief executive officer. “Instead of convincing young adults to go into debt to pay for college, Congress and the administration should expose them to other options, including high-paying construction careers.”
View the metro employment data, rankings, top 10, history and map.
Related Stories
Contractors | Sep 12, 2023
The average U.S. contractor has 9.2 months worth of construction work in the pipeline, as of August 2023
Associated Builders and Contractors' Construction Backlog Indicator declined to 9.2 months in August, down 0.1 month, according to an ABC member survey conducted from Aug. 21 to Sept. 6. The reading is 0.5 months above the August 2022 level.
Contractors | Sep 11, 2023
Construction industry skills shortage is contributing to project delays
Relatively few candidates looking for work in the construction industry have the necessary skills to do the job well, according to a survey of construction industry managers by the Associated General Contractors of America (AGC) and Autodesk.
Market Data | Sep 6, 2023
Far slower construction activity forecast in JLL’s Midyear update
The good news is that market data indicate total construction costs are leveling off.
Giants 400 | Sep 5, 2023
Top 80 Construction Management Firms for 2023
Alfa Tech, CBRE Group, Skyline Construction, Hill International, and JLL top the rankings of the nation's largest construction management (as agent) and program/project management firms for nonresidential buildings and multifamily housing work, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Sep 5, 2023
Top 150 Contractors for 2023
Turner Construction, STO Building Group, DPR Construction, Whiting-Turner Contracting Co., and Clark Group head the ranking of the nation's largest general contractors, CM at risk firms, and design-builders for nonresidential buildings and multifamily buildings work, as reported in Building Design+Construction's 2023 Giants 400 Report.
Market Data | Sep 5, 2023
Nonresidential construction spending increased 0.1% in July 2023
National nonresidential construction spending grew 0.1% in July, according to an Associated Builders and Contractors analysis of data published today by the U.S. Census Bureau. On a seasonally adjusted annualized basis, nonresidential spending totaled $1.08 trillion and is up 16.5% year over year.
Giants 400 | Aug 31, 2023
Top 35 Engineering Architecture Firms for 2023
Jacobs, AECOM, Alfa Tech, Burns & McDonnell, and Ramboll top the rankings of the nation's largest engineering architecture (EA) firms for nonresidential buildings and multifamily buildings work, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Aug 22, 2023
Top 115 Architecture Engineering Firms for 2023
Stantec, HDR, Page, HOK, and Arcadis North America top the rankings of the nation's largest architecture engineering (AE) firms for nonresidential building and multifamily housing work, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Aug 22, 2023
2023 Giants 400 Report: Ranking the nation's largest architecture, engineering, and construction firms
A record 552 AEC firms submitted data for BD+C's 2023 Giants 400 Report. The final report includes 137 rankings across 25 building sectors and specialty categories.
Giants 400 | Aug 22, 2023
Top 175 Architecture Firms for 2023
Gensler, HKS, Perkins&Will, Corgan, and Perkins Eastman top the rankings of the nation's largest architecture firms for nonresidential building and multifamily housing work, as reported in Building Design+Construction's 2023 Giants 400 Report.