Construction employment added 27,000 jobs on net in June, according to Associated Builders and Contractors. On a year-over-year basis, the industry has expanded by 235,000 jobs—an increase of 2.9%.
The construction unemployment rate fell from 3.9% in May to 3.3% in June. The national unemployment rate for all industries increased from 4% in May to 4.1% in June as the U.S. economy added 206,000 jobs.
Nonresidential construction added 21,200 jobs in June, with growth in all three subsectors. Nonresidential specialty trade contractors added 9,200 jobs; heavy and civil engineering added 6,300 jobs; and nonresidential building added 5,700 jobs.
“Despite indications that the broader economy is slowing, the construction industry continued to add jobs at a rapid pace in June,” said ABC Chief Economist Anirban Basu. “Contractors added another 27,000 jobs for the month, with hiring concentrated in the nonresidential segment. Nonresidential construction employment has expanded 3.8% over the past year, a rate of growth over twice as fast as that of the broader economy. With backlog still at healthy levels, according to ABC’s Construction Backlog Indicator, hiring should continue in the coming months.
“Of course, the industry would have added jobs at an even faster pace if not for ongoing labor shortages,” Basu continued. “The construction unemployment rate fell to 3.3% in June, the second-lowest level ever recorded. This is in stark contrast to the nationwide unemployment rate which, while still low by historical standards, rose to the highest level since November 2021.”
