Unemployment in construction industry hits 15-year low

by Katie Daniel | October 9, 2015 2:00 am

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An Associated General Contractors (AGC) of America analysis found that despite high construction demand, hiring has continuously slowed in 2015 as unemployment reached a new low.

Construction employment totaled 6,396,000 in September—the most since February 2009—but the total only rose by 8000. The number of unemployed job-seekers who last worked in construction totaled 479,000 last month, which is the lowest figure since 2000. The unemployment rate for such workers was 5.5 percent, also the lowest since 2001.

“Growth in the construction workforce has been slowing throughout 2015, just at the time that construction spending has accelerated to a multi-year high,” said AGC’s chief economist, Ken Simonson. “Contractors would love to hire more workers, but there are not enough qualified craft-workers or supervisors available.”

Census Bureau data released on October 1 showed the growth in construction spending accelerated to a nine-year high of 13.4 percent in the last 12 months. This was a huge increase from the 2.7 percent rate the previous year.

Association officials cautioned the hiring slowdown could lead to project delays unless more students and workers join the sector. They have called on members of the federal, state, and local governments to act on measures laid out in the association’s ‘Workforce Development Plan[2].’

Source URL: https://www.constructionspecifier.com/unemployment-in-construction-industry-hits-15-year-low/

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