Construction employment in the United States saw a modest increase between May 2024 and May 2025, with only half of the 360 metro areas experiencing job growth. This information comes from an analysis by the Associated General Contractors of America, which examined new government employment data. The association noted that construction employment growth has been hampered by uncertainty surrounding tax, tariff, and labor policies.
Ken Simonson, the association’s chief economist, commented on the situation: “Only half of metro areas experienced a year-over-year gain in construction jobs—the fewest since March 2021.” He added that this trend indicates that investors and developers are delaying or canceling projects due to uncertainties about tariffs and workforce policies.
The Arlington-Alexandria-Reston area in Virginia-West Virginia led for the third consecutive month with an addition of 8,000 construction jobs, representing a 9 percent increase. Other notable gains were seen in Cincinnati (5,400 jobs), Washington D.C. (4,900 jobs), Boise City (4,700 jobs), and Miami-Miami Beach-Kendall (4,500 jobs). Las Cruces had the largest percentage gain at 17 percent with an addition of 700 jobs.
Conversely, construction employment declined in 121 metro areas and remained unchanged in 59 others. Riverside-San Bernardino-Ontario faced the most significant job loss with a reduction of 6,200 positions. Other areas with notable declines included Los Angeles-Long Beach-Glendale (-5,100 jobs) and Nassau County-Suffolk County (-4,300 jobs). Niles experienced the largest percentage decrease at -13 percent.
The association also highlighted recent construction spending figures showing a decline over the past year. They attributed this to developers' hesitancy to initiate projects amid uncertainties regarding tax rates, material costs, and worker availability.
Jeffrey D. Shoaf, CEO of the association, remarked on these challenges: “While Washington is working to prevent a massive tax increase, negotiate new trade deals and hopefully boost funding for workforce development, at this point nothing is set in stone.” He emphasized that providing certainty on these issues could lead to a rebound in construction demand.