WASHINGTON - Two economic reports "show how much vigor private nonresidential construction has," said Ken Simonson, chief economist for the Associated General Contractors of America (AGC). Simonson was referring to the Sept. 1 reports from the Bureau of Labor Statistics (BLS) on construction employment in August and from the Census Bureau on construction spending in July.
"BLS reported that construction accounted for 17,000 of the 128,000 net new payroll jobs that the nonfarm economy added in August," Simonson observed. "Over the past 12 months, all five BLS construction categories have grown faster than the tepid 1.3 percent growth rate for overall employment. Nonresidential building and specialty trades were both four percent higher, residential building climbed 3 percent, and residential specialty trades and heavy and civil engineering both added 2 percent. In a favorable omen for future construction, employment in architectural and engineering services rose again, bringing the 12-month gain to a robust 5 percent.