Construction Employment Declined in July

Washington, DC, August 31, 2020-Construction employment decreased from June to July in 26 states and the District of Columbia as earlier widespread job gains gave way to more project cancellations, according to an analysis by the Associated General Contractors of America of government employment data. Association officials said construction employment is likely to continue falling in many parts of the country without new federal recovery measures, including liability reform and new infrastructure funding.

“Renewed outbreaks of coronavirus in numerous states likely caused many project owners and investors to pull back on planned construction,” said Ken Simonson, the association’s chief economist. “Meanwhile, budget problems in state and local governments, most of which started a new fiscal year in July, led to cancellation or postponement of many infrastructure and public facilities projects.”

California shed the most construction jobs from June to July (-14,800 jobs or -1.7%), followed by Texas (-6,300 jobs, -0.8%). New Mexico had the largest percentage decrease (-5.9%, -2,900 jobs), followed by Vermont (-3.7%, -400 jobs).

Construction employment increased from June to July in 24 states. New York added the most construction jobs and had the largest percentage gain (13,600 jobs, 4.0%), followed by Missouri (4,400 jobs, 3.5%).

From July 2019 to July 2020, construction employment declined in 39 states, increased in ten and held steady in Arkansas and D.C. California lost the most construction jobs over the year (-55,800 jobs, -6.3%), followed by New York (-50,700 jobs, -12.5%). Vermont had the worst percentage decline (-31.6%, -4,800 jobs), followed by New York.

Utah added the most construction jobs over the year (8,600 jobs, 7.8%), followed by Maryland (4,900 jobs, 3.0%). South Dakota had the largest percentage gain (10.5%, 2,500 jobs), followed by Utah.

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