According to an analysis by the Associated General Contractors of America of new government data released on June 5, 2026, construction firms added 17,000 jobs in May. Construction employment totaled 8,337,000 in May, an increase of 17,000 since April. Over the year, the industry has added 68,000 jobs, an increase of 0.8%. Residential construction employment inched up by 900 positions in May and specialty trade contractors added 2,600 positions for the month. Additionally, overall construction pay rose by 5% over the past year. “The construction industry will continue to add…
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Residential construction labor market remains resilient
Despite rising inflation and ongoing economic uncertainty, the U.S. labor market remained resilient in May 2026. Residential construction employment now stands at 3.3 million in May, including 925,000 workers employed by builders and remodelers and nearly 2.4 million residential specialty trade contractors. Employment in the overall construction sector rose by 17,000 jobs in May, following a gain of 9,000 in April. Within the industry, residential construction added 900 jobs, while non-residential construction added 15,700 jobs. Wage growth moderated in May, with average hourly earnings rising 3.4% year-over-year. This pace is…
Read MoreU.S. Census Bureau April 2026 Residential Construction Report
On May 21, 2026, the U.S. Census Bureau released its Monthly New Residential Construction report for April 2026. Regarding building permits, single-family authorizations in April were at a rate of 872,000, 2.6% below the revised March figure of 895,000. Across the U.S., privately-owned housing starts in April were at a seasonally adjusted annual rate of 1,465,000, 2.8% (±11%)* below the revised March estimate of 1,507,000, but 4.6% (±13.9%)* above the April 2025 rate of 1,400,000. Single-family housing starts in April were at a rate of 930,000, which is 9% below…
Read MoreConstruction employment increases in 32 states
Construction employment rose in 32 states from April 2025 to April 2026, according to an analysis of new federal data released by the Associated General Contractors of America on May 22, 2026. Texas added the most construction jobs, adding approximately 18,700 jobs, followed by North Carolina, Ohio, Louisiana, Illinois and Missouri. Louisiana had the largest percentage gain in the span of 12 months. “It’s encouraging to see construction employment increasing in many parts of the country,” said Ken Simonson, the association’s chief economist. In April 2026, Florida added the most…
Read MoreConstruction Material Price April Analysis
According to Associated Builders and Contractors’ analysis of federal Producer Price Index (PPI) data, overall construction input prices rose 1.7% from March to April and are now up 6.2% since January. The biggest drivers in April were energy and metals-related materials, including crude petroleum, natural gas, iron and steel, which can ripple through everything from transportation and asphalt to building systems and structural components. As prices of materials rise, the cost of building both housing and its associated infrastructure also increases. For counties, this trend is significant as tightening budgets…
Read MoreResidential building workers’ wage subdues
According to data from the U.S. Bureau of Labor Statistics, residential building workers’ wage growth remained subdued in the first quarter of 2026, a reflection of easing construction activity and labor demand. Wages remain strong relative to other industries, at 8.4% higher than the manufacturing sector, 22.4% higher than the transportation and warehousing sector and 3.6% lower than the mining and logging sector. Both nominal and inflation-adjusted wage gains remained calm. Average hourly earnings for residential building workers increased 2.1% year-over-year in March, down from the 9.4% peak in mid-2024.…
Read MoreBuilding materials see price increase
According to the most recent Producer Price Index (PPI), prices of building materials used in residential construction were up 3.7% in April. Soaring energy prices caused a spike in the overall April PPI reading to 6% compared to last year. Including energy, the price index for inputs to new residential construction was up 5.9% from last year, with the price of goods used in new residential construction up 6.1% from last year. Among input goods, the largest year-over-year increase was for No. 2 diesel fuel as prices were 74.4% higher than…
Read MoreU.S. home builder sentiment increases in May
Home builder sentiment increased in May across the U.S. This month, the National Association of Home Builders/Wells Fargo Housing Market Index rose to 37, up from 34 in April. About 32% of builders cut prices in May as a sale incentive to potential homebuyers. The price cut was down from 36% in April, with an average price reduction of 6%, versus 5% in April. The use of sales incentives was 61% in May, up from 60% in April, the 14th straight month at 60% or higher. The survey’s measure of current…
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Read MoreResidential leads U.S. construction spending
According to an analysis by the Associated General Contractors of America, U.S. construction spending increased 0.6% from February to March, with gains in residential construction and data center-related projects. Residential construction spending rose 3.6% compared with a year earlier, including a 2.7% monthly increase in single-family construction. Total construction spending reached a seasonally adjusted annual rate of $2.186 trillion in March, up 1.6% from March 2025. Private construction spending increased 0.8% for the month and 1.0% year over year, while multifamily construction increased 0.5% year over year. Association officials noted,…
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