NYC construction employment decline worst in nation in past 24 months: AGC

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New York City continues to experience the greatest challenges in the nation in recovering construction employment from the COVID-19 pandemic, according to an analysis by the Associated General Contractors (AGC) of America of government employment data.

While construction labor shortages are reportedly increasing throughout the US as the economy recovers, employment in the industry within NYC declined by 16 percent, or 25,500 jobs in the 24 months between February 2020 and 2022, the greatest job loss in the nation, AGC research published on April 6 shows.

Outside NYC, other construction employment markets in New York State fared better, some showing significant gains.

Here is the data based on numbers employed in February 2020, February 2022, the actual change, percentage change, and national ranking. Note that mining and logging are included with construction in several markets.

  • Statewide Construction 381,900 351,900 -30,000 -8%
  • Statewide Mining, Logging, and Construction 386,700 356,900 -29,800 -8%
  • Albany-Schenectady-Troy Mining, Logging, and Construction 18,300 18,000 -300 -2% 274
  • Binghamton Mining, Logging, and Construction 3,300 3,600 300 9% 47
  • Buffalo-Cheektowaga-Niagara Falls Mining, Logging, and Construction 18,100 19,200 1,100 6% 85
  • Dutchess County-Putnam County Div. Mining, Logging, and Construction 8,000 7,500 -500 -6% 321
  • Elmira Mining, Logging, and Construction 1,300 1,200 -100 -8% 335
  • Glens Falls Mining, Logging, and Construction 2,400 2,500 100 4% 123
  • Ithaca Mining, Logging, and Construction 1,200 1,100 -100 -8% 335
  • Kingston Mining, Logging, and Construction 2,500 2,600 100 4% 123
  • Nassau County-Suffolk County Div. Mining, Logging, and Construction 79,100 75,000 -4,100 -5% 311
  • New York City Mining, Logging, and Construction 157,900 132,400 -25,500 -16% 351
  • Orange-Rockland-Westchester Mining, Logging, and Construction 42,400 41,900 -500 -1% 254
  • Rochester Construction 19,600 20,300 700 4% 123
  • Syracuse Mining, Logging, and Construction 11,700 12,100 400 3% 151
  • Utica-Rome Mining, Logging, and Construction 3,000 2,800 -200 -7% 327
  • Watertown-Fort Drum Mining, Logging, and Construction 1,500 1,500 0 0% 210,

“The rebound in construction employment in most metros shows there is robust demand for infrastructure and nonresidential buildings, as well as housing,” said Ken Simonson, the association’s chief economist. “But contractors in many areas say they would hire even more workers if there were enough qualified candidates.”

Nationally, there were 364,000 job openings in construction at the end of February—the most for any February since the government first compiled the data in 2001, Simonson noted. Openings exceeded the 342,000 workers hired by construction firms that month, which implies contractors wanted to hire twice as many employees as they were able to, he said.

Construction employment rose in 209 or 58 percent of 358 metro areas over the 24-month period. Salt Lake City, Utah added the most construction jobs (5,100 jobs, 11 percent), followed by Jacksonville, Florida (4,800 jobs, 10 percent); Nashville-Davidson-Murfreesboro-Franklin, Tenn. (4,000 jobs, 8 percent); and Boise City, Idaho (3,800 jobs, 14 percent). Walla Walla, Wash. had the highest percentage gain (36 percent, 400 jobs), followed by Decatur, Ill. (32 percent, 900 jobs); Lawrence-Methuen Town-Salem, Mass.-N.H. (24 percent, 800 jobs); and Lake Havasu City-Kingman, Ariz. (23 percent, 800 jobs).

Construction employment declined in 109 metro areas from the February 2020 level and was stagnant in 40 areas.

Association officials said they are taking steps to recruit more people into the industry, including with its “Construction is Essential” targeted digital advertising campaign and the “Culture of Care” program that it designed to help firms retain new workers. They urged public officials, however, to support those efforts by boosting investments in career and technical education programs focusing on construction.

“Career and technical education teaches essential skills and exposes a broader range of people to the many career opportunities available in construction,” said Stephen E. Sandherr, the association’s chief executive officer. “Helping encourage more people to pursue high-paying construction careers will keep America building and contribute to broader economic growth.”

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