According to data from the Associated Builders and Contractors (ABC), jobs in the construction industry are growing at a faster pace. ABC’s analysis of the U.S. Bureau of Labor Statistics’ Job Openings and Labor Turnover Survey (JOLTS) reported that job openings in construction increased by 14,000 last month and by 81,000 year over year.
While an increase in jobs is a positive headline for the industry, ABC Chief Economist noted that the data is more nuanced.
“Interpreting these data is often challenging,” said ABC Chief Economist Anirban Basu. “One could take these figures at face value and conclude that construction is thriving and driving demand for workers higher. Indeed, ABC’s Construction Confidence Indicator shows that the average contractor expects rising revenues and employment over the next six months.”
Basu said that these shifts in construction job openings may be more demographic, as older highly skilled workers retire.
“It is conceivable that these workers are being replaced with less skilled and productive workers, thereby requiring a few workers to be replaced by many,” said Basu.
