ARLINGTON, VA. — The U.S. construction sector added 27,000 jobs in June while its unemployment rate fell to 3.6 per cent, its lowest rate for the month, according to analysis of new government data the Associated General Contractors of America has released.
Association officials said construction firms are boosting pay and taking other steps to recruit workers amid tight labour conditions.
“Construction employment strengthened in June, with all segments adding workers despite recent weakness in demand for residential and commercial buildings,” said Ken Simonson, the association’s chief economist. “Finding enough qualified workers remains a greater challenge for most firms than finding projects to work on.”
Construction employment in June totalled 8,245,000, seasonally adjusted, an addition of 27,000 or 0.3 per cent from the month prior. The sector has added 235,000 jobs during the past 12 months, an increase of 2.9 per cent.
Nonresidential construction firms added 21,200 employees in June. Meanwhile, employment at residential building and specialty trade contractors only grew by 5,500 or 0.2 per cent.
The unemployment rate among jobseekers with construction experience declined from 3.6 per cent in June 2023 to 3.3 per cent, the lowest June rate in the 24-year history of the data. A separate government report released earlier found new hires in construction at the end of May totalled 383,000, growing three per cent from one year prior. The new hires figure does not account for the number of workers who left the industry during the same timeframe.
Average hourly earnings for production and nonsupervisory employees in construction, covering most onsite craft workers as well as many office workers, jumped by 4.6 per cent over the year to $35.64 per hour. Construction firms in June provided a wage premium of nearly 19 per cent compared to the average hourly earnings for all private-sector production employees.
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