Construction Sector Data From April’s Nonfarm Payroll Report

A closer look at the Bureau of Labor Statistics (BLS) April Nonfarm Payroll report, released on Friday (5-5-23), with a focus on the construction sector and additional analysis provided by the National Association of Home Builders (NAHB), reveals that overall construction sector employment increased by 15,000 in April. This follows a reported 11,000 jobs lost in March. Residential construction added 14,200 positions, while non-residential construction only posted 800 new jobs in April.

Residential construction employment now stands at 3.3 million in April, with 2.3 million residential specialty trade contractors and 930,000 builders. The 6-month moving average of job gains for residential construction was 1,583 per month, according to the NAHB. Year-over-year, home builders and remodelers have added 57,000 positions on a net basis. Since the low point following the Great Recession, residential construction has gained 1,279,800 jobs.

In April, the unemployment rate for construction workers decreased by 0.8 percentage points to a seasonally adjusted 3.6%. The unemployment rate for construction workers has been trending lower, after reaching 14.2% in April 2020, due to the housing demand impact of the COVID-19 pandemic.