The U.S. construction industry added 22,000 jobs in July, with nonresidential construction accounting for most of the gains, according to an Associated Builders and Contractors analysis of U.S. Bureau of Labor Statistics data.
Construction employment has increased by 82,000 jobs, or 1%, over the past year. Nonresidential construction added 20,000 jobs in July, including 15,400 positions in specialty trade contracting, 4,200 in nonresidential building and 400 in heavy and civil engineering.
The construction unemployment rate was 3.7% in July, compared with 4.1% across all industries.
ABC Chief Economist Anirban Basu said continued data center construction is driving demand for specialty trade contractors. However, he noted broader labor market weakness could affect the construction industry.
The overall U.S. economy unexpectedly lost jobs in July, while employment growth estimates for the previous two months were revised downward. Basu said continued weakness could eventually contribute to lower borrowing costs for construction companies.
