Only 30% of the nation’s metro areas added construction jobs in the past year, according to an analysis of new government data that the Associated General Contractors of America released today. Association officials said construction employment in most parts of the country was being impacted by pandemic as businesses and local governments curtail planned construction projects.
“The pandemic has devastated the finances for businesses, institutions, and state and local governments, leading to widespread postponements and cancellations of construction projects,” said Ken Simonson, the association’s chief economist. “As contractors use up the funds from Paycheck Protection Program loans, even more job losses are inevitable unless the federal government provides an immediate economic boost.”
Construction employment fell in 209, or 58%, of 358 metro areas between October 2019 and October 2020. Construction employment was stagnant in 40 other metro areas, meanwhile, and only 109 metro areas—30%—added construction jobs during the past year.
Houston-The Woodlands-Sugar Land, Texas lost the most construction jobs over those 12 months (-19,800 jobs, -8%), followed by New York City (-17,300 jobs, -11%); Montgomery-Bucks-Chester Counties, Pa. (-12,100 jobs, -21%); and Minneapolis-St. Paul-Bloomington, Minn. (-10,400 jobs, -11%). Brockton-Bridgewater-Easton, Mass. had the largest percentage decline (-43%, -2,500 jobs), followed by Bloomsburg-Berwick, Pa. (-36%, -500 jobs); Altoona, Pa. (-32%, -1,000 jobs); Johnstown, Pa. (-30%, -800 jobs); and East Stroudsburg, Pa. (-30%, -600 jobs).
Dallas-Plano-Irving, Texas added the most construction jobs over the year (7,100 jobs, 5%), followed by Seattle-Bellevue-Everett, Wash. (4,700 jobs, 4%); Kansas City, Mo. (3,700 jobs, 12%); and Boise, Idaho (3,500 jobs, 13%). Walla Walla, Wash. had the highest percentage increase (25%, 300 jobs), followed by Lewiston, Idaho-Wash. (18%, 300 jobs); Oshkosh-Neenah, Wisc. (16%, 900 jobs); Fond du Lac, Wisc. (15%, 500 jobs); and Springfield, Mo. (15%, 1,400 jobs).
Association officials said the best way to curtail future construction job losses was for Congress to pass new federal coronavirus relief measures. These measures should include making new infrastructure investments, eliminating plans to tax Paycheck Protection Program loans and enacting liability reform to protect honest businesses from baseless coronavirus lawsuits.
“Construction employment is likely to continue falling in many parts of the country unless Congress quickly passes new coronavirus relief measures,” said Stephen E. Sandherr, the association’s chief executive officer. “Boosting infrastructure projects, preserving the benefits of the Paycheck Protection Program and protecting businesses from predatory attorneys will help stabilize the economy and demand for construction.”
View the metro employment 12-month data, rankings, top 10, new highs and lows, 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.
