Construction employers added 39,000 jobs in January and 308,000 during the past year, reaching the highest employment total since February 2009, as the sector’s unemployment rate fell to 9.8 percent, according to an analysis by the Associated General Contractors of America. AGC officials most construction firms report plans to expand headcount this year, but worry about growing shortages of qualified workers.
“Contractors have stayed busy this winter and expect to keep hiring through 2015 if they can find the workers they need,” said Ken Simonson, AGC’s chief economist. “The list of projects is growing in most states and most nonresidential segments, in addition to continuing strong demand for apartment buildings.”
Construction employment totaled 6,314,000 in January, the highest level in nearly six years, with a 12-month gain of 308,000 jobs or 5.1 percent, Simonson added. Residential building and specialty trade contractors added a combined 20,100 employees since December and 162,400 during the past 12 months, a 7.2-percent hike. Nonresidential contractors – building, specialty trade, and heavy and civil engineering construction firms – hired a net of 18,600 workers for the month and 145,600 since January 2014, a 3.9-percent increase.
“The combination of rapidly rising employment, good prospects for 2015, and a depleted pool of unemployed workers with construction experience means contractors may have a hard time filling jobs with the workers they need in coming months,” added Simonson. “Worker availability challenges have replaced a lack of projects as the biggest worry for many contractors.”
“Construction firms appear ready to add jobs this year at the fastest rate in a decade,” said AGC CEO Stephen Sandherr. “But those employment gains depend on finding new ways to expose and prepare high school students for high-paying careers in construction.”
