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Dive brief:
- Construction accounted for 339,000 open jobs on the last day of May, down 2,000, or 0.6%, from the end of the previous month, according to Bureau of Labor Statistics data released Tuesday. The monthly report measures the seasonally adjusted number of unfilled jobs for which employers are actively hiring.
- In May, 4% of construction jobs were unfilled, compared to 4.5% in May last year. The slight month-over-month decline in construction reflected all industries, as hiring and separations were little changed from April.
- Despite the decrease in job offers, labor problems in construction persist. “While the number of open and unfilled construction jobs has declined over the past year, the industry still faces a widespread labor shortage,” he said. Builders and associated contractors Chief Economist Anirban Basu in a statement.
Diving knowledge:
Declining job openings amid a still-tight labor market has been a consistent trend for construction throughout the year.
After a decline in openings last month, Ken Simonson, chief economist for the Associated General Contractors of America, said he believes nonresidential builders have seen little change in demand.
“The decline in job openings may be limited to homebuilders and subcontractors, along with construction contractors working primarily on multifamily, office or warehouse projects,” Simonson told Construction Dive after the April report. Construction accounted for 9,000 fewer jobs in April compared to March.
Another sign of a tight labor market is the number of layoffs (199,000 in May) outpacing the number of layoffs and terminations this month (147,000).
“More than half of contractors intend to increase their staffing levels over the next six months, according to the ABC Construction Confidence Index,” Basu said. “As a result of this continued intent to hire and a lack of available workers, contractors laid off just 1.8% of the workforce in May, a smaller proportion than in any month on record before the end of 2021.”
