Construction spending increased 0.1% from July to August but is down 1.9% compared with August 2018, according to www.agc.org.
“Eighty percent of the nearly 2,000 contractors responding to our workforce survey this summer reported difficulty filling hourly craft positions,” says Ken Simonson, chief economist for the Associated General Contractors of America. “Of the firms experiencing staffing challenges, almost half—44%—said that projects had taken longer than anticipated. Those delays may be one reason that spending put in place is lagging, even though contractors almost universally report they are busy and would be doing even more projects if they could find enough workers.”
For public construction, spending increased 0.4% for the month and 4.6% year-to-date. Private residential construction rose 0.9% for the month but decreased 5% year-to-date. Private nonresidential spending fell 1% from July to August and 0.1% year-to-date.
