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Construction employment in August remained below levels reached before the pre-pandemic peak of February 2020 in 39 states, according to government employment data from Associated General Contractors of America released today. Association officials urged the House of Representatives to quickly pass the bipartisan infrastructure bill to avoid further cuts in construction activity and jobs.
“Construction employment slipped or stagnated from July to August in half of the states as the delta variant of COVID-19 affected workers and caused some homeowners to delay projects,” said Ken Simonson, economist chief of the association. “Additionally, more than half of those polled in our last workforce survey said they had experienced projects that were canceled, postponed or downsized. “
From February 2020 – the month before the pandemic caused project closures and cancellations – to last month, construction employment grew in only 11 states and the District of Columbia. Texas lost the most construction jobs during the period (-56,700 jobs or -7.3%), followed by New York (-50,700 jobs, -12.4%) and California (-34,900 jobs, -3.8%). Wyoming recorded the largest percentage loss (-16.6%, -3,800 jobs), followed by Louisiana (-14.4%, -19,700 jobs) and New York.
Utah created the most construction jobs since February 2020 (7,400 jobs, 6.5%), followed by North Carolina (4,500, 1.9%), Idaho (3,700 jobs, 6.7%) and South Carolina (3,700 jobs, 3.5%). The largest percentage gains were in South Dakota (7.1%, 1,700 jobs), followed by Idaho and Utah.
From July to August, construction employment declined in 22 states, increased in 25 states and DC, and remained unchanged in three states. The largest drop during the month occurred in Kansas, which lost 2,400 construction jobs, or 3.7%. Georgia lost the second highest number of jobs (-2,300 jobs, -1.1%). The second-largest percentage decline since July, -2.1%, occurred in Alabama (-1,900 jobs) and Wyoming (-400 jobs).
Nevada added the most construction jobs between July and August (3,000 jobs, 3.3%), followed by New York (2,600 jobs, 0.7%) and Tennessee (2,600 jobs, 2 , 0%). New Hampshire had the largest percentage gain (4.4%, 1,200 jobs), followed by Nevada and Oklahoma (2.3%, 1,800 jobs).
Association officials have warned that construction employment is affected in many parts of the country due to supply chain challenges and growing market uncertainty caused by Delta’s resurgence variant. They said new federal investments in infrastructure would provide a much needed boost to demand and help put more people to work in construction careers.
“It is vital that Congress completes work on the bipartisan infrastructure bill before the end of the month,” said Stephen E. Sandherr, chief executive of the association. “Otherwise, funding will stop for road projects and other vital public works and many more construction workers will lose their jobs.”
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