The Associated General Contractors of America (AGC) announced Thursday that construction employment either increased or remained steady in one-third - 113 of 337 metropolitan areas - between October 2009 and October 2010. Association officials said construction job gains are becoming more widespread thanks in large part to an increase in power, stimulus and other publicly-funded construction projects.
"It looks like the stimulus, military base realignment and power projects have put a halt to some of the dramatic construction job losses many metro areas have been experiencing," said Ken Simonson, the association's chief economist, referring to construction spending figures released by the US Census Bureau, and reported Wednesday by SteelOrbis.
Phoenix, Arizona added more construction jobs (4,100 jobs, 5 percent) than any of the 67 metropolitan areas to add jobs during the past year. Hanford-Corcoran, California added the highest percentage (44 percent, 400 jobs).
The Chicago area lost more construction jobs (19,200 jobs, 14 percent) than any of the other 224 metropolitan areas where construction employment declined. Napa, California (1,100 jobs, 37 percent) lost the highest percentage.
Association officials said that even though private sector demand for construction services remains weak, there's some room for optimism. They noted that state and local tax receipts appear to be stabilizing while demand for power projects surged between September and October. They added that the recently released proposal from the Deficit Commission calling for an increase in highway, bridge and transit funding underscored some politicians' commitment to upgrading the country's aging infrastructure, which would undoubtedly increase construction jobs and spending.