Construction employment rises despite labor shortages; Houston leads job gains

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Ashley Berriochoa Director of Administration | AGC Nevada Chapter

Construction employment rose in 244 out of 358 metropolitan areas between December 2023 and December 2024, according to the Associated General Contractors of America. Despite this growth, the association highlighted ongoing challenges in finding qualified workers, exacerbated by recent government measures.

"Construction firms are doing all they can to recruit and retain as many workers as possible to keep pace with demand," said Jeffrey Shoaf, the association’s chief executive officer. He noted difficulties due to government discouragement of students pursuing construction careers and restrictions on lawful work entry for immigrants.

Houston-The Woodlands-Sugar Land, Texas saw the largest increase in construction jobs with an addition of 15,200 jobs or a 6 percent rise. Other notable increases occurred in Northern Virginia (6,900 jobs), Orlando-Kissimmee-Sanford, Florida (6,100 jobs), Las Vegas-Henderson-Paradise, Nevada (6,000 jobs), and Miami-Miami Beach-Kendall, Florida (5,200 jobs).

Anchorage, Alaska experienced the highest percentage gain at 18 percent with an addition of 1,900 jobs. Fairbanks, Alaska followed with a 15 percent increase (400 jobs), Kahului-Wailuku-Lahaina in Hawaii at 13 percent (600 jobs), and Cheyenne in Wyoming at 11 percent (400 jobs).

Conversely, construction employment declined in 63 metro areas while remaining unchanged in another 51 areas. New York City faced the most significant job loss with a decrease of 9,700 positions or a reduction of 7 percent. Other cities experiencing declines included Phoenix-Mesa-Scottsdale (-5,100 jobs), Portland-Vancouver-Hillsboro (-4,400 jobs), Anaheim-Santa Ana-Irvine (-4,100 jobs), and Riverside-San Bernardino-Ontario (-3,700 jobs).

Ithaca recorded the largest percentage decrease at -9 percent with a loss of just over 100 positions. This was followed by Silver Spring-Frederick-Rockville at -7 percent (-2,300 jobs) and Duluth at -7 percent (-600 jobs). San Francisco-Redwood City-South San Francisco also saw declines alongside several other regions.

The association pointed out that federal investment heavily favors college education over vocational training for fields like construction. They called for increased funding for construction education and training programs along with policies allowing more skilled workers to enter the country legally.

"Federal leaders need to start promoting construction careers while also providing some short-term relief as well," Shoaf added.

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