November 30, 2009

U.S. construction employment plunged by 1.1 million jobs in past year

‘Construction employment isn’t just contracting, it is collapsing,’ Associated General Contractors says

Only five out of 337 U.S. metropolitan areas saw an increase in construction employment between October 2008 and October 2009, according to new numbers from the Bureau of Labor Statistics.

Meanwhile, construction employment nationally tumbled by 1.1 million jobs over the past 12 months, with 328 metro areas reporting losses. Construction employment was unchanged in four metros.

“Imagine if the entire population of greater Salt Lake City lost their jobs, because that’s basically what has happened to construction employment in America’s largest communities,” said Ken Simonson, chief economist for the Associated General Contractors of America. "In many communities, construction employment isn’t just contracting, it is collapsing."

Reno-Sparks, Nev. had the largest percentage decline in construction employment: 32 per cent.

Other cities with large percentage declines in construction employment included Kokomo, Ind. (31 per cent); Redding, Calif. (30 per cent); El Centro, Calif. (29 per cent); and the Cleveland, Ohio area (28 per cent).

The Phoenix metro area lost the most construction jobs (33,000), followed by Atlanta (24,700) and Las Vegas-Paradise, Nev. (24,500).

Only one community saw double-digit job gains: Columbus, Ind., which led the nation in construction job growth with a 20 per cent increase, or 400 added construction jobs.

The AGC is urging Congress and the Obama Administration to include new construction and infrastructure investments in any new measures to help improve an employment market that has left 18.7 per cent of American construction workers unemployed.

-RCD Digital Media

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