Construction Employment in May Trails Pre-COVID Levels in 91 Metro Areas

ConstructionĀ employmentĀ declined in 91 metro areasĀ and was stagnant in another 24Ā betweenĀ FebruaryĀ 2020,Ā the last monthĀ beforeĀ the pandemic,Ā and May 2021,Ā according to a recentĀ analysisĀ by the Associated General Contractors of America of government employment data.Ā They saidĀ the high number of metro areas losing construction jobs during that time frame reflected the impacts of early pandemic shutdowns and more recent challenges procuring construction materials and finding qualified workers to hire.Ā Ā 

ā€œThe devastating job losses of early 2020 and more recent materials and labor challenges since then have kept industry employment stagnant or lower this May than in February 2020 in nearly one-third of metros,ā€ said Ken Simonson, the associationā€™s chief economist. ā€œExtreme lead times for producing and delivering materials, along with record prices for many items, has led to project delays and cancellations that have chilled hiring.ā€ 

Of the 91 metro areas with lower construction employment in May 2021 thanĀ inĀ February 2020,Ā Houston-The Woodlands-Sugar Land, Texas lostĀ theĀ mostĀ jobs:Ā 30,500 or 13Ā percent. Major losses also occurred inĀ New York City (-21,200 jobs, -13Ā percent); Midland, Texas (-9,600 jobs, -25Ā percent)Ā andĀ Odessa, Texas (-8,300 jobs, -40Ā percent). Odessa had the largest percentage decline, followed by Lake Charles, Louisiana (-36 percent, -7,200 jobs); Midland; Laredo, Texas (-23 percent, -900Ā jobs) and Longview, Texas (-22Ā percent, -3,300 jobs).Ā 

Construction employmentĀ increased inā€Æ243ā€Æmetro areasĀ compared toĀ the February 2020 level – far fewer than the 320 metros that typically add construction jobs between February and May, Simonson noted.Ā Minneapolis-St. Paul-Bloomington, Minnesota-WisconsinĀ added the most construction jobs over 15Ā months (11,100Ā jobs, 14Ā percent), followed byĀ Indianapolis-Carmel-Anderson, IndianaĀ (10,900 jobs,Ā 21Ā percent);Ā Chicago-Naperville-Arlington Heights, IllinoisĀ (10,300 jobs,Ā 9Ā percent);Ā Seattle-Bellevue-Everett, Washington (6,900 jobs,Ā 7Ā percent);Ā andĀ Pittsburgh, PennsylvaniaĀ (6,900Ā jobs,Ā 12Ā percent).Ā Fargo, North Dakota-MinnesotaĀ had the highest percentage increase (45Ā percent,Ā 3,300Ā jobs), followed byĀ Sierra Vista-Douglas, ArizonaĀ (44 percent,Ā 1,100Ā jobs);Ā andĀ Bay City, Michigan (36Ā percent,Ā 400 jobs).Ā 

Association officialsĀ said that many construction firms report challenges with rising materials prices, supply chain problems that are leading to delivery delays for key components andĀ challenges finding qualified labor to hire. Ā 

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