ConstructConnect News

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

Written by Michael Guckes, Chief Economist | Jul 22, 2025 6:38:08 PM

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.

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.