Construction firms added 17,000 jobs in May, as pay for craft workers climbed faster than for production workers overall, according to an analysis by the Associated General Contractors of America of new government data released today. Association officials noted that demand for new data centers and other nonresidential projects has enabled contractors to add workers and boost pay faster than employers overall. “In contrast to the modest job gains in the broader economy, nonresidential construction firms keep adding workers and boosting pay,” said Ken Simonson, the association’s chief economist. “The sector has strong demand from data centers and related power and manufacturing projects, all of which require highly paid, skilled workers.” Construction employment totaled 8,337,000 in May, seasonally adjusted, an increase of 17,000 from April. Over the past 12 months, the industry has added 68,000 jobs, an increase of 0.8 percent, outpacing the 0.3 percent increase in total nonfarm payroll employment. Nonresidential construction employment increased by 15,700 positions in May and by 101,500 positions or 2.1 percent over the past 12 months. Employment among nonresidential specialty trade contractors increased by 11,400 jobs for the month and 57,400 jobs over the year, while nonresidential building contractors added 1,700 employees in May and 18,200 over 12 months. Heavy and civil engineering construction employment increased by 2,600 positions for the month and 25,900 since May 2025. Meanwhile, residential construction employment inched up by 900 positions in May and fell by 33,300 positions over the past 12 months. Residential specialty trade contractors added 2,600 positions for the month but shed 25,100 employees over the year, while residential building contractors cut 1,700 jobs in May and 8,200 over 12 months. Average hourly earnings for production and nonsupervisory employees in construction, which covers most onsite craft workers as well as many office staff, increased to $38.97 per hour in May. That figure is 20.6 percent higher than the average for all private-sector production employees. Construction pay rose by 5.0 percent over the past year, compared to a 3.6 percent gain for production workers in the overall private sector. Association officials noted that demand for data centers continues to drive much of the growth in construction activity and employment. They noted, however, that growing community backlash – based on misconceptions about the facilities – threatens to undermine future growth in construction employment. They also noted that if Congress fails to pass a new highway and transit bill by the end of September, construction employment levels are likely to suffer. “The construction industry will continue to add jobs and boost pay as long as demand remains strong,” said Jeffrey D. Shoaf, the chief executive officer of the Associated General Contractors of America. “But if politicians restrict that demand, or fail to invest in new projects, then construction employment will suffer.” 

Construction employment increased in 192, or 53 percent, of 360 metro areas between April 2025 and April 2026, according to an analysis by the Associated General Contractors of America of new government employment data. Association officials said growing pushback against the construction of data centers and the potential failure of Congress to pass a new highway and transit bill soon could pose a threat to construction employment levels. “While it is encouraging to see a majority of metros adding construction jobs, the growth is uneven and fragile,” said Ken Simonson, the association’s chief economist. “Given how much construction today is being driven by new data centers and infrastructure, the growing backlash to data center construction has the potential to disrupt the industry’s fragile job growth.” Between April 2025 and April 2026, 192 metro areas added construction jobs, 117 lost jobs, and employment was unchanged in 51 areas. Houston-Pasadena-The Woodlands, Texas added the most construction jobs over the year (8,900 jobs or 4 percent), followed by St. Louis, Mo.-Ill. (7,300 jobs, 9 percent); Baton Rouge, La. (6,500 jobs, 13 percent); Charlotte-Concord-Gastonia, N.C.-S.C. (5,900 jobs, 7 percent) and Columbus, Ohio (5,700 jobs, 10 percent). Davenport-Moline-Rock Island, Iowa-Ill. had the largest percentage gain (17 percent, 1,700 jobs), followed by three areas with 13 percent increases: Baton Rouge; Eau Claire, Wis. (500 jobs) and Kankakee, Ill. (200 jobs). In addition, there were 12 percent increases in Bloomington, Ind. (400 jobs) and Weirton-Steubenville, W. Va.-Ohio (600 jobs). Construction employment declined in 117 metro areas and was flat in 51 areas during the past year. The largest job loss occurred in the Los Angeles-Long Beach-Glendale, Calif. metro division (-5,000 jobs, -3 percent), followed by Sacramento-Roseville-Folsom, Calif. (-4,700 jobs, -6 percent); Riverside-San Bernardino-Ontario, Calif. (-4,500 jobs, -4 percent; Portland-Vancouver-Hillsboro, Ore.-Wash. (-4,100 jobs, -5 percent); and the Anaheim-Santa Ana-Irvine, Calif. division (-3,500 jobs, -3 percent). The steepest percentage loss occurred in Lawton, Okla. (-26 percent, -500 jobs), followed by Fairbanks-College, Alaska (-18 percent, -500 jobs) and Monroe, Mich. (-9 percent, -200 jobs). Association officials noted growing local opposition to data center construction has the potential to disrupt one of the relatively few growth areas for the construction industry. The association has created resources to help explain the economic benefits of new data centers. At the same time, they urged members of Congress to pass a new highway and transit bill by Sept. 30 to allow vital infrastructure construction work to continue. “Politics is driving the fate of vital technology and transportation infrastructure projects,” said Jeffrey D. Shoaf, the association’s chief executive officer.