Private Sector Demand Leads to Increase in Construction Employment

January 28, 2013

Construction employment increased in 139 of 337 metropolitan areas between December 2011 and December 2012, according to analysis of federal employment data released by AGC. Employment declined in 131 metro areas, and remained stagnant in 65.

Analysts attribute the increase in employment in some areas to the increase in demand for new construction projects in the private sector.

“Private sector demand for energy, health care, higher education and residential construction is having a positive impact in a growing number of metro areas,” said Ken Simonson, AGC’s chief economist. “Unfortunately, construction employment in almost as many metro areas appears to be suffering from declining public sector demand and a private sector market that is still well-below peak levels.”

Source: AGC