The construction industry added 1,000 jobs on net in October, according to an Associated Builders and Contractors analysis of data released by the U.S. Bureau of Labor Statistics. On a year-over-year basis, industry employment has risen by 266,000 jobs, an increase of 3.6%.
Nonresidential construction employment increased by 300 positions on net, with growth in only one of the three subcategories. Nonresidential building added 3,200 net new jobs, while nonresidential specialty trade and heavy and civil engineering lost 2,500 and 400 jobs, respectively.
The construction unemployment rate rose to 4.1% in October. Unemployment across all industries rose from 3.5% in September to 3.7% last month.
ABC Chief Economist Anirban Basu said there are currently more than 400,000 construction industry job openings.
“For inflation to return to its 2% target, the demand for labor needs to weaken,” Basu said. “We’re not there yet, which means that the current cycle of raising interest rates will continue. Among other things, that stands to weaken demand for construction services as borrowing costs ramp higher amid ongoing labor shortages and elevated materials prices.
“The good news is that bad news will eventually arrive.”
Report Abusive Comment