The not seasonally adjusted (NSA) national construction unemployment rate plunged 3.8 percent in June 2022 from June 2021, down from 7.5 percent to 3.7 percent; 10 states had an estimated construction unemployment rate under 2 percent.
Meanwhile, all 50 states had lower unemployment rates over the same period, according to a state-by-state analysis of U.S. Bureau of Labor Statistics data released by Associated Builders and Contractors (ABC).
In June, national NSA payroll construction employment was 301,000 higher than a year ago and was 46,000 higher than its pre-pandemic peak.
Residential construction employment has fully recovered while nonresidential construction employment remains below its pre-pandemic peak. June SA residential payroll construction employment was 112,000 above its pre-pandemic peak while nonresidential payroll construction employment was 66,000 below its pre-pandemic peak.
The national NSA construction unemployment rate of 3.7 percent was down 0.3 percent in June 2022 from its June 2019 reading. Over that same period, 32 states had lower construction unemployment rates and 18 states had higher rates.
“The industry is confronting rising interest rates, slowing national economic growth and the possibility of a recession in the future,” said Bernard Markstein, president and chief economist of Markstein Advisors, who conducted the analysis for ABC. “Further, supply chain disruptions due to the Russia-Ukraine war continue, resulting in more caution in both residential and nonresidential construction. On the plus side, infrastructure construction activity will ramp up over the next several years as funds flow from the federal government from implementation of the 2021 Infrastructure Investment and Jobs Act.”
Source: ABC
