US Construction Sector Employment Posts Solid Gains in March

A closer look at Friday’s US Bureau of Labor Statistics (BLS) nonfarm payroll report for March, with a focus on the construction labor market and additional analysis provided by the National Association of Home Builders (NAHB), reveals that employment in construction increased by 39,000, following an upwardly revised gain of 26,000 in February.

Nonresidential construction employment added 24,600 new jobs in March, while the residential sector added 14,400 jobs.

Residential construction employment now stands at 3.3 million, broken down as 941,000 builders and 2.4 million residential specialty trade contractors. The 6-month moving average for job gains in residential construction was 5,500 per month. Over the last 12 months, home builders and remodelers added 78,800 jobs on a net basis. Since the low point following the Great Recession, residential construction has gained 1,348,500 positions.

In March, the unemployment rate for construction workers declined to 4.3% on a seasonally adjusted basis. This marks the lowest rate in the past nine months. The unemployment rate for construction workers remained at relatively lower level, after reaching 14.2% in April 2020 due to the housing demand impact of the pandemic.