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Construction employment growth in suburbs outpaces DC: AGC

Construction employment in the Metropolitan Washington suburbs has grown more rapidly than within the District in the last year, according to government employment data compiled by the Associated General Contractors (AGC) of America.

Between July 2021 and July 2022, Northern Virginia gained 2,100 workers, or a 3% gain, ranking it 36th in the nation by percentage increase.  Meanwhile, in Silver Spring-Frederick-Rockville, the employment grew 4% or 1,400 workers, ranking the area 51st in the nation.  DC gained only 100 jobs, or 1%, put it 234th in the nation, the data shows.

Nationally, construction employment increased in 250 or 70 percent of 358 metro areas between the AGC reported in an Aug. 29 news release from Washington. But association officials cautioned that most construction firms report they are struggling to find enough qualified workers to hire, according to a survey the association and Autodesk will release Wednesday.

“It is good to see construction employment top year-ago levels in more than two-thirds of the nation’s metro areas,” said Ken Simonson, the association’s chief economist. “However, the record number of construction job openings at the end of June and the near-record low for construction unemployment, as well as our own survey, indicate industry employment would have been even higher if there were enough qualified workers.”

The unemployment rate for jobseekers with construction experience plunged to 3.5 percent in July from 6.1 percent a year earlier, Simonson noted. He added that there were 330,000 job openings in construction at the end of June, the highest June total in the 22-year history of the government data.

Houston-The Woodlands-Sugar Land, Texas added the most construction jobs (31,000 jobs or 15 percent), followed by Dallas-Plano-Irving, Texas (9,900 jobs, 7 percent) and Chicago-Naperville-Arlington Heights, Ill. (8,100 jobs, 6 percent). Cheyenne, Wyo. had the largest percentage gain (17 percent, 700 jobs), followed by Bloomington, Ill. (16 percent, 500 jobs) and Duluth, Minn.-Wis. (16 percent, 1,500 jobs).

Construction jobs declined over the year in 59 metro areas and were unchanged in 49 areas. The largest loss occurred in Orlando-Kissimmee-Sanford, Fla. (-6,300 jobs, -8 percent), followed by Bergen-Hudson-Passaic, N.J. (-3,400 jobs, -11 percent); Richmond, Va. (-2,500 jobs, -6 percent) and Baton Rouge, La. (-2,300 jobs, -6 percent). The largest percentage decline was in Bergen-Hudson-Passaic, followed by Monroe, Mich. (-10 percent, -200 jobs); Ithaca, N.Y. (-8 percent, -100 jobs); Charleston, W. Va.; and Orlando-Kissimmee-Sanford.

Association officials said workforce shortages may undermine the potential benefits of new federal investments in infrastructure, manufacturing, and energy production. They urged public leaders to boost investments in construction-focused career and technical education programs to expose more current and future workers to construction career opportunities. They also called for allowing more workers with construction skills to lawfully enter the country to help firms keep pace with demand.

“In much of the country demand is beginning to outpace the supply of available workers,” association Stephen E. Sandherr, the association’s chief executive officer. “Getting more people into high-paying construction careers will help modernize infrastructure, expand manufacturing and deliver greener, more reliable energy.”

View the metro employment data, rankings, and top 10.

Mark Buckshon
Mark Buckshonhttps://washingtonconstructionnews.com
Mark Buckshon is the publisher and interim editor of Washington Construction News. He is also president of the Construction News and Report Group of Companies. He combines a journalism and business background, and has published construction trade publications for more than 30 years, after an earlier career in journalism, which culminated when he lived through the transition from Rhodesia to Zimbabwe in 1978-80 as a sub-editor for the Bulawayo Chronicle and a correspondent for a Canadian news service.

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