Dive Brief:
- Construction employment rose month-to-month in 27 states between January and February, with 43 states and Washington, DC, gaining construction jobs from February 2015 to February 2016, the Associated General Contractors of America reported.
- California (12,300 jobs, 1.6%) had the largest month-to-month job gains, while Washington (3.1%, 5,500 jobs) had the biggest percentage increase from January to February.
- Of the 21 states, plus Washington, DC, to lose jobs from January to February, Texas (-5,300 jobs, -0.8%) lost the most jobs, and Maine (-3.6%, -1,000 jobs) lost the highest month-to-month percentage. From February 2015 to February 2016, North Dakota (-5,300 jobs, -14.5%) saw the most construction jobs disappear as well as the highest percentage decrease.
Dive Insight:
Ken Simonson, chief economist for the AGC, said the continuing downturn in the oil and gas drilling and coal sectors of several states, along with a reduction of farm income, has resulted in sharp job declines in certain states, while unseasonably good weather, amid other elements, has contributed to gains in others.
The AGC said February’s job figures signal that many employers have been able to find the few remaining workers in an environment of skilled labor shortages. However, AGC CEO Stephen Sandherr said in a release, "Without additional programs to recruit and prepare new workers, especially at the high school level, firms may not be able to find new workers as demand for their services continues to expand."
Earlier this month, the AGC and the Bureau of Labor Statistics reported the overall construction sector added 19,000 jobs in February, and the number of unemployed workers fell to the industry's lowest rate since tracking began in 2000. After that announcement of a hiring slowdown, Simonson said, "It appears that many nonresidential construction firms have run out of people to hire to keep pace with demand for new projects."
