Construction Jobs Increase In 234 Metro Areas Between November 2023 And Last Month, But Contractors May Have More Trouble Filling Jobs In 2025

Houston-The Woodlands-Sugar Land, Texas and Anchorage, Alaska Have Highest Number and Percentage of Job Gains over 12 Months, While New York City and Bloomington, Ill. Experience Worst Job Losses

Construction employment increased in 234, or 65 percent, of 358 metro areas between November 2023 and November 2024, according to an analysis by the Associated General Contractors of America of new government employment data. Association officials noted that firms continue to boost pay rates as many of them struggle to find enough qualified workers to hire.

“Although nearly two-thirds of metro areas have added construction workers in the past year, contractors report struggling to fill many hourly craft positions,” said Ken Simonson, the association’s chief economist. “These difficulties will be even greater in 2025 if the industry cannot access targeted workforce authorizations.”

Houston-The Woodlands-Sugar Land, Texas added the most construction jobs (16,100 jobs or 7 percent) between November 2023 and November 2024, followed by Northern Virginia (9,000 jobs or 11 percent); Miami-Miami Beach-Kendall, Fla. (6,100 jobs, 10 percent); Orlando-Kissimmee-Sanford, Fla. (4,800 jobs, 5 percent); and Fort Worth-Arlington, Texas (4,200 jobs, 5 percent). Anchorage, Alaska had the largest percentage gain (17 percent, 1,800 jobs), followed by Fairbanks, Alaska (15 percent, 400 jobs); Detroit-Dearborn-Livonia, Mich. (15 percent, 3,800 jobs); Kahului-Wailuku-Lahaina, Hawaii (13 percent, 600 jobs); and Northern Virginia.

Construction employment declined over the year in 63 metro areas and was unchanged in 61 areas. The largest job loss occurred in New York City (-7,800 jobs, -5 percent), followed by Sacramento--Roseville--Arden-Arcade, Calif. (-4,700 jobs, -6 percent); Portland-Vancouver-Hillsboro, Ore.-Wash. (-4,200 jobs, -5 percent); Phoenix-Mesa-Scottsdale, Ariz. (-3,700 jobs, -2 percent), and Chicago-Naperville-Arlington Heights, Ill. (-3,200 jobs, -2 percent). The largest percentage decrease occurred in Bloomington, Ill. (-11 percent, -400 jobs), followed by Bangor, Maine (-8 percent, -300 jobs), and 6 percent declines in Sacramento--Roseville--Arden-Arcade; San Jose-Sunnyvale-Santa Clara, Calif. (-3,100 jobs); Silver Spring-Frederic-Rockville, Md. (-1,800 jobs); and Duluth, Minn.-Wis. (-600 jobs).

Simonson noted that as more long-time construction workers reach retirement age, the industry has become more dependent on immigrants to fill craft positions. An analysis of data from the Census Bureau’s American Community Survey shows roughly one-third of construction craft workers are foreign-born.

Association officials said the biggest obstacle to recruiting new workers is the fact the federal government spends four times as much promoting four-year college degrees as it does careers in fields like construction. They urged lawmakers in Washington to close the funding gap by passing a Workforce Innovation and Opportunity Act measure that boosts funding for training in fields like construction. And they said Washington officials need to double funding for the Carl D. Perkins Vocational & Technical Education Act.

“Relatively small boosts in federal funding for construction and other skills training will help put many more people into high-paying construction careers,” said Jeffrey D. Shoaf, the association’s chief executive officer.

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