Majority of Metro Areas See Construction Jobs Decline in May
July 14, 2010
Construction employment continued to suffer significant declines in the
majority of metropolitan areas according to an analysis of federal employment
data released by the Associated General Contractors of America. The figures
reflect continued weak private, state and local demand as well as a lack of
long-term projects caused by stalled federal infrastructure bills, association
officials noted.
“With current demand soft and chances of a turnaround months away,
construction firms are unwilling to expand payrolls,” said Ken Simonson, the
association’s chief economist. “Contractors know there’s nothing to take up the
slack once the stimulus runs its course.”
Simonson noted that construction employment declined in 294 metropolitan
areas between May 2009 and May 2010, increased in 16 metro areas, and held
steady in another 27. He added that 11 metro areas have lost over 10,000
construction jobs each during the past 12 months, while one-in-three cities
added 1,000 or more jobs during the same period.
Chicago lost the most construction jobs between May 2009 and 2010 (21,900, 16
percent), followed by Houston, Texas (18,400 jobs, 10 percent) and Los
Angeles-Long Beach (17,300 jobs, 15 percent). Chico, California experienced the
largest percentage decrease in construction employment (33 percent, 900 jobs),
followed by Flagstaff, Arizona (32 percent, 700 jobs); Pascagoula, Mississippi
(31 percent, 1,900 jobs); Monroe, Michigan (29 percent, 700 jobs); and Lewiston,
along the Idaho-Washington border (25 percent, 300 jobs).
Columbus, Ohio, added the highest number of construction jobs during the past
year (1,500 jobs, 5 percent), followed by Kansas City, Kansas (1,100 jobs, 6
percent) and Oklahoma City, Oklahoma (1,000 jobs, 4 percent). Two metro areas
recorded double-digit percentage gains in construction employment: Eau Claire,
Wisconsin (17 percent, 500 jobs) and Haverhill-North Andover-Amesbury along the
New Hampshire-Massachusetts border (11 percent, 400 jobs).
Association officials urged Congress and the Obama Administration to quickly
pass a number of multi-year infrastructure bills so construction firms can
adjust their payrolls to meet future demand. They noted that with legislation
that sets funding levels for the nation’s highways, transit systems, airports,
waterways, drinking and sewer systems all months overdue, contractors are
hesitant to expand payrolls.
View the metropolitan area construction employment figures by
rank and by
state.
View video of Ken Simonson explaining the latest
construction employment trends.
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