Construction employment increased in 248 out of 358 metro areas between January 2017 and January 2018, declined in 68 and stagnated in 42, according to a new analysis of federal employment data released today by the Associated General Contractors of America. Association officials said that future construction job gains could be undermined, however, as new tariffs force contractors to pay more for steel and aluminum products and dampen demand for new construction.
"The new tariffs are already leading to increases in what many contractors are paying for steel and aluminum products," said Ken Simonson, the association's chief economist. "Most contractors will be unable to pass along these increased costs, leaving less money to invest, ironically, in steel construction equipment as well as personnel."
Riverside-San Bernardino-Ontario, Calif. added the most construction jobs during the past year (10,600 jobs, 12%), followed by Phoenix-Mesa-Scottsdale, Ariz. (9,900 jobs, 9%); Houston-The Woodlands-Sugar Land, Texas (9,200 jobs, 4%); Los Angeles-Long Beach-Glendale, Calif. (9,000 jobs, 7%) and Sacramento--Roseville--Arden-
The largest job losses from January 2017 to January 2018 were in Baton Rouge, La. (-6,600 jobs, -13%), followed by St. Louis, Mo.-Ill. (-3,300 jobs, -5%); Montgomery County-Bucks County-Chester County, Pa. (-2,600 jobs, -5%); Columbia, S.C. (-2,500 jobs, -12%) and Camden, N.J. (-1,700 jobs, -8%). The largest percentage decreases for the year were in Auburn-Opelika, Ala. (-32%, -1,200 jobs) followed by Monroe, Mich. (-16%, -300 jobs); Baton Rouge and Columbia, S.C.
Association officials said that a better way to support the domestic steel and aluminum industrie s is to increase funding for needed infrastructure improvements. They cautioned that the tariffs announcement by the President last week would not only increase the cost of many construction projects, but it could prompt retaliatory measures from other countries that hurt U.S. manufacturers and shippers, impacting demand for new factories and transportation facilities.
"Boosting demand for their products is a much better way to strengthen the domestic steel and aluminum industries," said Stephen E. Sandherr, the association's chief executive officer. "And the best way to boost demand is to finally begin making the investments needed to improve the nation's aging and over-burdened infrastructure."
View the metro employment data by rank and state. View metro employment map.
Related Stories
Hotel Facilities | Jul 28, 2022
As travel returns, U.S. hotel construction pipeline growth follows
According to the recently released United States Construction Pipeline Trend Report from Lodging Econometrics (LE), the total U.S. construction pipeline stands at 5,220 projects/621,268 rooms at the close of 2022’s second quarter, up 9% Year-Over-Year (YOY) by projects and 4% YOY by rooms.
Codes and Standards | Jul 22, 2022
Hurricane-resistant construction may be greatly undervalued
New research led by an MIT graduate student at the school’s Concrete Sustainability Hub suggests that the value of buildings constructed to resist wind damage in hurricanes may be significantly underestimated.
Market Data | Jul 21, 2022
Architecture Billings Index continues to stabilize but remains healthy
Architecture firms reported increasing demand for design services in June, according to a new report today from The American Institute of Architects (AIA).
Market Data | Jul 21, 2022
Despite deteriorating economic conditions, nonresidential construction spending projected to increase through 2023
Construction spending on buildings is projected to increase just over nine percent this year and another six percent in 2023, according to a new report from the American Institute of Architects (AIA).
Building Team | Jul 18, 2022
Understanding the growing design-build market
FMI’s new analysis of the design-build market forecast for the next fives years shows that this delivery method will continue to grow, despite challenges from the COVID-19 pandemic.
Market Data | Jul 1, 2022
Nonresidential construction spending slightly dips in May, says ABC
National nonresidential construction spending was down by 0.6% in May, according to an Associated Builders and Contractors analysis of data published today by the U.S. Census Bureau.
Market Data | Jun 30, 2022
Yardi Matrix releases new national rent growth forecast
Rents in most American cities continue to rise slightly each month, but are not duplicating the rapid escalation rates exhibited in 2021.
Market Data | Jun 22, 2022
Architecture Billings Index slows but remains strong
Architecture firms reported increasing demand for design services in May, according to a new report today from The American Institute of Architects (AIA).
Building Team | Jun 17, 2022
Data analytics in design and construction: from confusion to clarity and the data-driven future
Data helps virtual design and construction (VDC) teams predict project risks and navigate change, which is especially vital in today’s fluctuating construction environment.
Market Data | Jun 15, 2022
ABC’s construction backlog rises in May; contractor confidence falters
Associated Builders and Contractors reports today that its Construction Backlog Indicator increased to nine months in May from 8.8 months in April, according to an ABC member survey conducted May 17 to June 3. The reading is up one month from May 2021.
