Construction employment declines in 49 states in April

An Associated General Contractors of America analysis shows construction employment declined in Washington, D.C., and every state except South Dakota in April, according to www.agc.org.

Additionally, a new AGC survey finds rising project cancellations are forcing many firms to furlough or terminate employees even as federal relief measures help avoid further job losses.

“Today’s state employment report shows how widespread—and deep—the job losses have been among construction workers, despite a smattering of new or accelerated projects,” said Ken Simonson, AGC’s chief economist. “Meanwhile, our latest survey indicates that the paycheck loan program has enabled some companies to retain or add workers for now, but that relief will expire soon if not extended.”

Simonson said the loss of 975,000 construction jobs—or 13%—nationwide from March to April pushed industry employment to multiyear lows in many states. New York experienced the largest construction job loss—166,200 jobs, or a decline of 40.8%. Vermont had the largest percentage decline—46.3%, losing 6,800 construction jobs. South Dakota was the only state to add construction jobs in April, adding 500 jobs—a 2.0% increase.

The AGC survey found 69% of the 742 respondents report having a project canceled or delayed since the COVID-19 outbreak began in early March. Project cancellations have forced 30% of firms to furlough or terminate employees. However, an equal share has added workers, including some firms that laid off employees earlier.

“The Paycheck Protection Program, which provides no-cost loans for firms to cover payroll expenses for a short time, appears to have achieved the goal of helping contractors retain or add workers for now,” Simonson said.

AGC officials warned the Paycheck Protection Program benefits will end soon unless Congress acts to extend it. They also called on Congress to pass funding for highways and other infrastructure and provide liability protections for employers following safety guidelines from COVID-19 lawsuits.

Date : Jan. 01, 0001

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