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June 2025 Construction Employment Reaches 6-Month High, Masks Segment Turmoil

KEY POINTS

  • Total construction employment accelerated to a 6-month high, adding 15,000 jobs in June. 

  • Nonresidential Building and Residential Building sectors reported minor construction employment declines, each losing fewer than 1,000 jobs

  • The wage premium in construction continues to position it as an attractive employment sector.

Construction job growth surged through June 30, 2025, with a net gain of 15,000 jobs, marking the fastest monthly increase in the past six months. This figure significantly outpaces the 12-month average monthly growth rate of 10,400 jobs, signaling renewed momentum in the sector.

Segment Highlights: Sub-Trades Drive Gains Despite Broadly Muted Activity

  • Nonresidential Building and Residential Building sectors reported minor declines, each losing fewer than 1,000 jobs

  • Sub-trades Residential added 6,000 jobs

  • Sub-trades Nonresidential added 12,000 jobs

  • Engineering Construction declined slightly by 3,000 jobs

June 2025 marks the second time this year that construction employment growth outpaced total nonfarm job growth on a percentage basis.

Year-to-Date Labor Trends: Employment Up, Productivity Flat

While total construction employment has risen by 0.4% year-to-date, this gain has been neutralized by a matching 0.4% decline in output per laborer. As of June 30, 2025:

  • The average construction worker now produces $210.7K in annualized output.

  • This is a slight dip from the peak of $211.8K in mid-2024.

  • As a result, inflation-adjusted construction output has remained steady at $1.75 trillion in 2025.

Construction Wages Rise in June, Outpace Private Sector Pay by 24%

Average hourly construction wages climbed to $39.59, while total private sector wages fell to $35.19.

  • Weekly hours worked were slightly down to:

    • 38.9 hours for construction workers

    • 34.2 hours for all private sector workers

  • Weekly earnings:

    • Construction: $1,540

    • Private sector average: $1,241

The collective difference of $299 represents a 24% weekly pay premium for those in the construction field.

weekly construction and private earnings chart constructconnect 2025 june

A chart of weekly construction wages versus private sector pay illustrates that the average construction worker has a $299 weekly pay premium, or 24% higher earnings than the typical private-sector employee. Image: ConstructConnect Construction Economy Snapshot

Read the Construction Economy Snapshot for more details on construction labor, trends, and regional analysis.

 

Michael Guckes, Chief Economist
Michael Guckes is regularly featured as an economics thought leader in national media, including USA Today, Construction Dive, and Marketplace from APM. He started in construction economics as a leading economist for the Ohio Department of Transportation. He then transitioned to manufacturing economics, where he served five years as the chief economist for Gardner Business Media. He covered all forms of manufacturing, from traditional metalworking to advanced composites fabrication. In 2022, Michael joined ConstructConnect's economics team, shifting his focus to the commercial construction market. He received his bachelor’s degree in economics and political science from Kenyon College and his MBA from the Ohio State University.