Nonresidential construction spending rose 0.5% in September, according to an Associated Builders and Contractors analysis of data published by the U.S. Census Bureau on Nov. 1.
On a seasonally adjusted annualized basis, nonresidential spending totaled $883.9 billion for the month, according to the analysis. On a monthly basis in 11 of the 16 nonresidential subcategories, spending dropped. Private nonresidential spending was up 1.0%, and public nonresidential construction spending was down 0.3% in September, ABC said.
“The disconnect between contractor confidence, which remains elevated according to ABC’s Construction Confidence Index, and nonresidential construction spending continues,” said ABC Chief Economist Anirban Basu. “While nonresidential construction spending is below February 2020 levels, many contractors report operating at capacity. This has much to do with worker and equipment shortages.”
The U.S. construction also industry had 422,000 job openings in September, according to a ABC’s analysis of data from the U.S. Bureau of Labor Statistics’ Job Openings and Labor Turnover Survey (JOLTS). The survey defines a job opening as “any unfilled position for which an employer is actively recruiting.”
ABC said industry job openings increased by 36,000 last month and are up 74,000 from the same period in 2021.
“Construction workers quit their jobs at a lower rate than they were laid off or discharged for the first time since February 2021,” the analysis states.