Construction employment, seasonally adjusted, totaled 8,310,000 in July, a gain of 2,000 from June and 96,000 (1.2%) year-over-year (y/y), according to AGC’s analysis of data the Bureau of Labor Statistics (BLS) posted today. Residential construction employment (at residential building and specialty contractors) declined by 4,400 in June and by 18,200 over 12 months. Nonresidential construction employment (at building, specialty trade, and heavy and civil engineering construction firms) increased by 6,400 for the month and 114,400 (2.4%) y/y. Seasonally adjusted average hourly earnings for production and nonsupervisory employees (craft and office) in construction rose 4.3% y/y to $37.23 per hour, outpacing the 3.9% rise for the overall private sector. The unemployment rate for workers with construction experience was 3.4%, not seasonally adjusted, tying with 2018 for the lowest July rate in series history dating back to 2000. 

There were 246,000 job openings in construction, seasonally adjusted, at the end of June, down 14% y/y, BLS reported on Tuesday. The job openings rate (openings as a share of employment plus openings) fell from 3.4% to 2.9%, the lowest June rate since 2017. Hires for the full month totaled 351,000, up 14% y/y, while the hires rate (hires as a share of employment) climbed from 3.7% to 4.2%. The layoff rate (layoffs as a share of employment) rose from 1.7% in June 2024 to a still-low 2.0%. The quits rate (quits as a share of employment) also remained low at 1.9% but up from 1.6% y/y.

Construction spending (not adjusted for inflation) totaled $2.14 trillion in June at a seasonally adjusted annual rate, down 0.4% from May and down 2.9% y/y, the Census Bureau reported today. Private residential construction fell 0.7% for the month and 6.2% y/y. Single-family homebuilding slid 1.8% for the month, multifamily construction was flat, but owner-occupied improvements climbed 0.5%. Private nonresidential construction spending fell 0.3% for the month and 4.0% y/y. The largest private nonresidential segment— manufacturing construction—declined for the fourth month in a row, by 0.4% for the month and 6.1% y/y. Commercial construction fell 0.6% for the month (comprising warehouse, 0.1%; retail, -1.5%; and farm, -0.8%). Private “office” construction slipped 1.4% in June (comprising data centers, 1.9%, and other, -3.8%). Public construction spending inched up 0.1% for the month and rose 5.2% y/y. The three largest public segments rose for the month: highway and street construction, 0.6%; educational, 0.4%; and transportation structures, 0.1%.

Construction employment, not seasonally adjusted, rose y/y from June 2024 to June 2025 in 180 (50%) of the 360 metro areas (including divisions of larger metros) for which BLS posts construction employment data, fell in 113 (31%), and was unchanged in 67, according an analysis AGC released on Wednesday. (For most metros, BLS posts only combined totals for mining, logging, and construction; AGC treats these totals as construction-only.) For the fourth month in a row, the largest job gain was in the Arlington-Alexandria-Reston, Va.-W.Va. metro division (9,100 combined jobs or 10%), followed by Cincinnati, Ohio-Ky.-Ind. (5,400 combined jobs, 11%); the Miami-Miami Beach-Kendall division (4,800 construction jobs, 8%); the Washington, D.C.-Md. division (4,700 combined jobs, 10%); and the Chicago-Naperville-Schaumburg division (4,500 construction jobs, 38%).  Las Cruces, N.M. again posted the largest percentage gain (16%, 700 combined jobs), followed by Mansfield, Ohio (14%, 300 combined jobs); and New Orleans-Metairie (12%, 3,000 construction jobs). Riverside-San Bernardino-Ontario, Calif. again experienced the largest loss (-5,200 construction jobs, -4%), followed by the Nassau County-Suffolk County, N.Y. division (-4,000 combined jobs, -5%). The largest percentage loss again occurred in Niles, Mich. (-17%, -400 combined jobs), followed by five areas with declines of 8% each.

Construction industry compensation (wages, salaries, and benefits including required employer contributions) rose 0.8%, seasonally adjusted, in the second quarter (Q2) of 2025 and 3.8% over four quarters (vs. 2.8% a year ago), BLS reported on Thursday. Wages and salaries increased by 0.8% in Q2 and 4.2% over four quarters (vs. 2.7% a year ago). 

Inflation-adjusted gross domestic product (real GDP) rose 3.0% in Q2 at a seasonally adjusted annual rate, the Bureau of Economic Analysis reported on Wednesday. Real private nonresidential structures investment tumbled 10% (commercial and health care, -7.4%; manufacturing structures, -5.6%; power and communication, 5.4%; other structures, -9.1%; and mining exploration, shafts, and wells, -36%), after falling 2.4% in Q1. Real residential fixed private investment in permanent site structures also plunged 10% (single-family, -13%; multifamily -1.4%), after sliding 2.7% in Q1.

Contractors are invited to complete the AGC/NCCER Workforce Survey by August 15.

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