In July, construction job openings fell by 17.1% (51,000 positions) according to Bureau of Labor Statistics data. This decline follows an 18% drop in June and marks a nearly 30% decrease from the same month last year. The drop is attributed mainly to a decrease in residential construction demand, despite a high need for nonresidential workers.
Anirban Basu, chief economist for Associated Builders and Contractors, noted that more housing units were completed in June than in any month since 2007, and housing units under construction have decreased by about 8% this year. The BLS report does not distinguish between commercial and residential jobs.
Despite the overall drop, 2.9% of construction positions remained unfilled in July, down from 3.5% in June and 4.2% last July. Ken Simonson, chief economist for the Associated General Contractors of America, observed minor declines in spending for both residential and nonresidential construction but noted increases in nonresidential segments year-over-year. A survey found 94% of firms, excluding single-family construction, had openings for hourly craftworkers, and over 90% of hiring contractors struggled to find qualified workers.
Simonson emphasized that the weakening demand is mainly in residential construction and some nonresidential sectors, while nonresidential construction firms continue to seek workers and face hiring challenges.
In July, construction job openings fell by 17.1% (51,000 positions), following an 18% decline in June and a nearly 30% decrease from the previous year, according to the Bureau of Labor Statistics. This decline is attributed to reduced demand for residential construction, even though nonresidential sectors still need workers. Despite this, 2.9% of construction positions were unfilled, down from 3.5% in June and 4.2% last July. Ken Simonson from the Associated General Contractors of America noted slight declines in overall construction spending but pointed out that nonresidential firms are still actively hiring. Challenges persist in finding qualified workers, particularly for nonresidential roles.
