KEY POINTS
-
July construction employment increased by 22,000 from the month prior, notching the largest 1-month gain since January.
-
Nonresidential specialty trades led gains at 15,000 new positions; Nonresidential Building added 4,000 more.
-
Nonresidential construction accounted for most new construction jobs, further evidence of the persistent and uneven demand for construction services across the greater sector.
Nonresidential Specialty Trades Drive July Advance as Weekly Earnings Premium Reaches 27%
July construction employment increased by 22,000 from the month prior, notching the largest 1-month gain since January.
-
Nonresidential specialty trades led gains at 15,000 new positions; Nonresidential Building added 4,000 more.
-
Civil construction was essentially flat, gaining fewer than 1,000 workers.
-
Residential building shed 1,000 jobs, its fourth consecutive month of contractions, while residential specialty trades added 3,000.
Construction workers averaged 39.5 hours of work per week in July. This was 5.2 hours more than the broader private sector average of 34.3 hours. The combination of higher wages and more hours worked resulted in construction earnings of $1,550, a premium of $260, or 20%, over private sector weekly earnings of $1,290. Image: ConstructConnect Construction Economy Snapshot
Demand for Construction Jobs Shows Uneven Demand
The divergence in Residential verses Nonresidential job creations, with Nonresidential construction accounting for most new construction jobs, provides further evidence of the persistent and uneven demand for construction services across the greater sector.
Production and nonsupervisory construction workers averaged $39.24 per hour in July. This is less than the overall average reported in past Construction Economy Snapshot reports, which included supervisory wages. Reporting the combination of production and non-supervisory wage data provides business leaders with a more useful measure of wages when making compensation decisions. This alternative reading is 4.3% greater than the average private sector wage of $37.62.
Construction workers averaged 39.5 hours of work per week in July. This was 5.2 hours more than the broader private sector average of 34.3 hours. The combination of higher wages and more hours worked resulted in construction earnings of $1,550, a premium of $260, or 20%, over private sector weekly earnings of $1,290.
For contractors managing production work force costs, the widening hours gap means construction field labor is in high demand, a factor that will likely keep future wages elevated. This should be a factor to consider when pricing Nonresidential bids in a market where project demand remains elevated.
Stay Connected
Stay connected with ConstructConnect News for construction industry news and construction market analysis to stay ahead of what’s building next.
Read the Construction Economy Snapshot for more details on construction starts, trends, and regional analysis.
About ConstructConnect
At ConstructConnect, our software solutions provide the information construction professionals need to start every project on a solid foundation. For more than 100 years, our insights and market intelligence have empowered commercial firms, manufacturers, trade contractors, and architects to make data-driven decisions and maximize productivity.
ConstructConnect is a business unit of Roper Technologies (Nasdaq: ROP), part of the Nasdaq 100, S&P 500, and Fortune 1000.
For more information, visit constructconnect.com
