© Carlospataro | Dreamstime.com
construction worker on site at sunset

Construction Employment Up in December

Jan. 19, 2023
The industry added 28,000 jobs on net in December, according to analysis from ABC

The construction industry added 28,000 jobs on net in December, 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 231,000 jobs or 3.1%.

Nonresidential construction employment increased by 17,900 positions on net, with growth in all three subcategories. Nonresidential specialty trade contractors added 10,200 net new jobs, while nonresidential building and heavy and civil engineering added 5,800 and 1,900 jobs, respectively.

The construction unemployment rate rose to 4.4% in December. Unemployment across all industries declined from 3.6% in November to 3.5% last month.

“This employment report indicates that contractors collectively remain in expansion mode despite rising costs of capital and fears of recession,” said ABC Chief Economist Anirban Basu. “Consistent with upbeat assessments of construction activity late last year, nonresidential contractors continue to ramp up staffing in the context of elevated backlog. In ABC’s Construction Confidence Index, contractors indicated that both sales and employment would continue to rise over the next six months.

“There was additional good news emerging from the overall U.S. economy,” said Basu. “Though the labor market remains strong and job creation persists, there are indications that wage pressures are easing. Nonetheless, the Federal Reserve will continue to raise interest rates to restore inflation to its 2% target, with the implication that a recession remains a real possibility in 2023. Based on historical precedent, that could produce more challenging times for contractors in 2024 and/or 2025.” 

Voice your opinion!

To join the conversation, and become an exclusive member of EC&M, create an account today!

Sponsored Recommendations

Champion Flame Shield® Phenolic Conduit

The ideal conduit for transit tunnels and stations; two-hour fire rated.. Product Overview. Champion Flame Shield Fiberglass Phenolic Conduit System, i…

Download The Electrical Conduit Buyer’s Guide

Industrial construction projects are on the rise. Are you ready to spec for success for your next job?. The Electrical Conduit Buyer’s Guide will help…

Data center and utility projects have unique demands. Most importantly, they require durable, no burn-through electrical conduit elbows to protect cable.

In our No Burn-Through Elbow eGuide, learn about:. Specific project challenges for both data center and utility applications. How engineering benefits…