KEY POINTS
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Construction added 17,000 jobs in May, led by nonresidential specialty trades with 11,000 new positions.
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The construction labor force has grown nearly 1% in the past year, almost three times faster than the total nonfarm workforce.
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Construction workers continued to out-earn the broader private sector in May through a combination of higher hourly wages and longer average workweeks.
Hiring Gains Led by Nonresidential Specialty Trades
May’s construction employment reported a gain of 17,000 jobs from April. Nonresidential specialty trades led the advance with 11,000 new positions, followed by heavy and civil engineering at 3,000 and nonresidential building at 2,000.
Residential specialty trades added 3,000 — an unusual monthly gain for that segment — while residential building shed 2,000, the only subsegment to record a loss.
The average nonsupervisory construction wage in May rose to $41.20/hr. while total private sector wages also increased to $37.53/hr. Construction workers averaged 39.2 hours of work each week, marking 4.9 hours of additional work opportunity compared to the typical private-sector worker. Image: ConstructConnect
Labor Force Growth Outpaced the Broader Economy
More importantly, the total construction labor force has grown nearly 1% in the past year; almost three-times faster than the total nonfarm workforce.
Weekly Pay Premium Remained Strong
The average nonsupervisory construction wage in May rose to $41.20/hr. while total private sector wages also increased to $37.53/hr. Construction workers averaged 39.2 hours of work each week, marking 4.9 hours of additional work opportunity compared to the typical private-sector worker.
This combination of a higher hourly wage and more hours of available work each week brings total weekly construction compensation to $1,615, a premium of $328 or 25%, over average weekly private sector earnings of $1,287.
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