Steel Products

Construction Employment Rises in 80% of Metro Areas

September 27, 2018

Construction employment increased in 287 out of 358 metro areas (80 percent) between August 2017 and August 2018, declined in 35 (10 percent) and was unchanged in 36, according to a new analysis of federal employment data by the Associated General Contractors of America.

“The increases in construction employment have been showing up in more and more metro areas,” said Ken Simonson, the association’s chief economist. “Moreover, the gains should continue. Three out of four firms in our association’s latest workforce survey say they plan to add hourly craft personnel in the next year. But even more firms—80 percent—say they are having a hard time filling some or all hourly craft positions.”

Simonson noted that more metro areas added construction jobs in the past year than in any 12-month period since December 2014. The economist added that 70 metro areas reached new construction employment highs for August, including San Jose-Sunnyvale-Santa Clara, Calif., where the previous high for August was set in 2000, and Midland, Texas, which exceeded its previous August peak, in 2014, by 22 percent.

The Houston-The Woodlands-Sugar Land, Texas, metro area added the most construction jobs during the past year (28,900 jobs, 13 percent), reflecting both ongoing recovery from Hurricane Harvey a year ago and strong construction demand from the energy sector. Other metro areas adding a large number of construction jobs in the year ending in August include Dallas-Plano-Irving, Texas (13,600 jobs, 10 percent); Phoenix-Mesa-Scottsdale, Ariz. (13,600 jobs, 12 percent); and Atlanta-Sandy Springs-Roswell, Ga. (11,400 jobs, 9 percent). The largest percentage gain occurred in Merced, Calif. (32 percent, 800 jobs), followed by New Bedford, Mass. (26 percent, 700 jobs); Midland, Texas (24 percent, 7,000 jobs); and Weirton-Steubenville, W.Va.-Ohio (22 percent, 400 jobs).

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The largest job losses from August 2017 to August 2018 were in Middlesex-Monmouth-Ocean, N.J. (-4,500 jobs, -11 percent), followed by Camden, N.J. (-2,600 jobs, -11 percent); St. Louis, Mo.-Ill. (-2,600 jobs, -4 percent); Newark, N.J.-Pa. (-2,400 jobs, -5 percent) and Nashville-Davidson-Murfreesboro–Franklin, Tenn. (-2,100 jobs, -5 percent). The largest percentage decreases—11 percent each—occurred in Middlesex-Monmouth-Ocean and Camden, N.J., followed by Spokane-Spokane Valley, Wash. (-9 percent, -1,300 jobs).