Construction Employment Grew by 19K in November

Arlington, VA, December 5, 2016—Construction employers added 19,000 jobs in November, reaching the highest employment level since November 2008, but a drop in public sector investments in construction projects held down employment among heavy and civil engineering firms, according to an analysis by the Associated General Contractors of America.

Association officials noted that recent construction spending numbers show a decline in most categories of infrastructure investment.

Construction employment achieved an eight-year high of 6,704,000 in November, an increase of 19,000 from October and 155,000 or 2.4% from a year ago. The annual rate of increase in construction employment has slowed in recent months but still outpaced the 1.6% increase in total nonfarm payroll employment. Average hourly earnings in construction increased 2.4% over the past year to $28.28 per hour. That was more than 9% higher than the average for all private-sector nonfarm payroll employees, Simonson pointed out.

Residential construction—comprising residential building and specialty trade contractors—added 19,600 jobs in November and 120,400, or 4.8%, compared to a year ago. Nonresidential building construction employment rose by 300 employees in November and 6,600 (0.9%) over the year. Nonresidential specialty trade contractors added 800 workers during the latest month and 32,400 (1.4%) over 12 months. But heavy and civil engineering construction firms—the type most involved with public infrastructure projects—shed 2,100 jobs for the month and 4,400 (-0.5%) since November 2015. That decline occurred as public-sector investments have stagnated for highways and declined sharply for water, sewer, conservation and transportation facilities, according to U.S. Census Bureau figures on construction spending that were released on December 1.

Print the Article