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Construction Jobs Among April Employment Gains

Non-farm payrolls rose by 253,000 jobs last month, including 15,000 in the construction industry, according to ABC.
Nonfarm payrolls rose by 253,000 jobs last month, including 15,000 in the construction industry, according to ABC.

The U.S. construction industry added 15,000 jobs on net in April, according to an Associated Builders and Contractors analysis of data released May 5 by the U.S. Bureau of Labor Statistics.

Industry employment has expanded by 205,000 jobs, an increase of 2.7%, on a year-over-year basis, ABC said.

The uptick in construction jobs last month was part of a higher-than-expected boost to the labor market, which saw 253,000 non-farm jobs added in April.

Nonresidential construction employment increased by 800 positions on net, with growth in only one of the three subcategories, ABC said. Nonresidential specialty trade contractors added 10,700 positions, the number of heavy and civil engineering jobs decreased by 8,100, and nonresidential building lost 1,800 jobs on net.

U.S. construction unemployment rate dropped to 4.1% in April, while unemployment across all industries decreased to 3.4%, matching a 53-year low.

“Despite adding just 800 net jobs in April, nonresidential construction payrolls have expanded at a faster pace than the broader economy over the past year,” said ABC Chief Economist Anirban Basu. “Job creation continues to exceed expectations, and April saw the unemployment rate return to the lowest level since 1969. Put simply, the demand for workers remains significantly above the supply. This is especially true for contractors, a majority of whom intend to increase their staffing levels over the next six months, according to ABC’s Construction Confidence Index.”

Over all industries, the U.S. economy created 149,000 fewer jobs in February and March than previously reported, according to Reuters. Over the prior six months, job growth has averaged about 290,000 jobs per month, the outlet reported.

On May 3, the Federal Reserve increased interest rates by another 0.25% in attempts to combat inflation but hinted that further increases may be paused.

The Institute for Supply Management’s monthly Purchasing Managers Index (PMI) — a well-regarded barometer of the U.S. industrial economy — rose slightly in April but remains in contraction territory.

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