Construction Employment, Spending Reach 3-Year High

February 4, 2013

The construction sector added 28,000 employees in January, a 1.8 percent increase from a year ago, according to analysis from federal data by AGC. Construction spending also increased for the ninth month in a row, making both totals the highest levels in more than three years.

“The new employment data show the industry lost even more jobs in the recession than previously estimated but has added almost 300,000 jobs in the past two years, including nearly 100,000 since September,” said Ken Simonson, AGC’s chief economist. “Meanwhile, the steady rise in construction spending since last March suggests contractors will be hiring even more workers in the months ahead.”

Both residential and nonresidential construction added jobs for the month and year. Residential construction added 14,500 jobs in January and 53,200 (2.6 percent) over 12 months. Nonresidential construction added 13,700 employees in January and 48,900 (1.4 percent) over last year.

Construction put in place totaled $885 billion in December, the most since September 2009 and an increase of 0.9 percent from November. This represents a 7.8 percent increase from December 2011.

Source: AGC