AGC Analysis Shows Construction Employment Climbed by 26K in March

Arlington, VA – Construction employment climbed by 26,000 jobs in March, with gains in both residential and nonresidential segments, according to an analysis of new government data by the Associated General Contractors of America. Association officials noted that the gains were welcome news, but the fact construction pay continues to be well above other sectors is a sign firms are struggling to find enough qualified workers.

“The increase in March more than offset the 13,000-position decline that occurred in February,” said Ken Simonson, the association’s chief economist. “It is especially heartening to see that the gains were present among all five subsectors of the industry.”

Construction employment totaled 8,330,000, seasonally adjusted, in March, a pickup of 33,000 from February. Over the past 12 months, the industry has added 57,000 jobs, a gain of 0.7 percent, outpacing the 0.2 percent increase in total nonfarm payroll employment.

Residential construction firms added 14,300 jobs for the month, with gains of 11,200 positions among residential specialty contractors and 3,100 jobs among residential building contractors. Nonresidential construction employment rose by 12,200 jobs in March. Within that category, employment among nonresidential building contractors increased by 4,500 positions. Nonresidential specialty trade contractors added 3,900 jobs. Employment in heavy and civil engineering construction rose by 3,800 jobs for the month.

Average hourly earnings for production and nonsupervisory employees in construction—including most onsite craft workers and many office staff—rose to $38.62 in March, an increase of 5.0 percent over the past year. Average pay for these workers is now 20.4 percent higher than for all private sector production and nonsupervisory employees

Association officials said the growing wage gap between construction workers and the rest of the economy shows employers in the sector are paying a premium to attract talent. They noted that firms likely would have hired even more workers if they could find more qualified applicants. They urged Congress and the administration to take short- and long-term steps to attract more people into high-paying construction careers.

“Washington officials can help put more people into high-paying careers by boosting funding for construction training and education programs,” said Jeffrey D. Shoaf, the association’s chief executive officer. “Those investments will take time to make a difference, which is why they also should expand visa opportunities for qualified workers to lawfully enter the country and work in construction in the short-term.”

View the construction employment data.

About The Associated General Contractors Of America

The Associated General Contractors of America (AGC) is a leading association for the construction industry. AGC represents more than 26,000 firms, including over 6,500 of America’s leading general contractors, and over 9,000 specialty-contracting firms. More than 10,500 service providers and suppliers are also associated with AGC, all through a nationwide network of chapters. To learn more, visit www.agc.org.