Steel Products
AGC: Construction Employment at a 10-Year High
Written by Sandy Williams
July 6, 2018
Construction employment increased by 13,000 jobs in June and by 282,000 jobs over the past year, reaching a 10-year high, according to an analysis of new government data by the Associated General Contractors of America.
“The construction industry continues to add workers faster than the economy as a whole, and the industry is paying premium wages to attract and retain those workers,” said Ken Simonson, the association’s chief economist. “The employment gains are occurring in both residential and nonresidential construction. However, the industry is having to rely more and more on workers without construction experience, as the pool of unemployed construction workers has nearly evaporated.”
Construction employment totaled 7,222,000 in June, the highest level since May 2008 and a gain of 4.1 percent over the past 12 months. The economist pointed out that the year-over-year growth rate in industry jobs was more than double the 1.6 percent rise in total nonfarm payroll employment.
{loadposition reserved_message}
Hourly earnings in the industry averaged $29.71 in June, an increase of 2.9 percent from a year earlier. That put average hourly earnings in construction 10.1 percent higher than the average for all nonfarm private-sector jobs, which rose 2.7 percent in the past year to $26.98, Simonson added.
Unemployment for workers with construction experience in June was 4.7 percent, virtually unchanged from the levels in June 2017 (4.5 percent) and June 2016 (4.6 percent)—a sign that the industry is operating at essentially full employment, Simonson said.
Employment in residential construction—comprising residential building and specialty trade contractors—grew by 4,400 jobs in June and by 133,800 jobs over the past 12 months, a 5.0 percent increase. Employment in nonresidential construction—including building, specialty trades, and heavy and civil engineering construction—grew by 8,600 jobs in June and by 147,900 during the past year, a 3.5 percent increase.
Association officials observed that construction employers appear more eager to hire amid lower taxes and increased efforts to reduce needless or ineffective regulatory burdens. They added that recent increased infrastructure investments at the federal and state level are also helping boost construction employment. But they cautioned that workforce shortages, tariffs and a looming trade war could undermine future construction employment gains.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/04/sandy-williams.jpeg)
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Products
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/coils2.png)
US steel imports slipped in August after rising in July
July represents the second-lowest monthly rate for steel imports so far this year.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/oil_drill.png)
Rig count update: US count eases, Canada’s flat
Oil and gas drilling activity in the US edged lower last week, while the Canadian rig count held steady at a six-month high.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/09/HRC-Futures.png)
HR futures: Trade case action official – It was already priced in?!
This month’s column on the markets could be a response to the question of last month, “Are the forward curve prices on Aug. 7 high enough to price in trade case risks?" The market’s answer has been a pretty resounding YES so far, I think.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2024/01/cropped-SMU_Mobile_final.png)
SMU survey: Lead times edge higher for sheet
Current steel mill lead time averages are a few days longer than levels seen one month prior, but remain near historical lows for both sheet and plate products.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/08/Hybar-logo.jpg)
Steel Summit 2024: Hybar CEO accelerating growth plans for US steel market
Hybar CEO David Stickler and SMU Managing Editor Michael Cowden shared a candid conversation about Hybar's ambitious plans on Tuesday morning at the SMU Steel Summit, held in Atlanta this week.