Construction kept hiring in June, but the industry’s economists are watching a calendar, not just a payroll. Employment reached 8.331 million, up 11,000 from May and 64,000 over the past year, the Associated General Contractors reported. The catch: a big chunk of the pipeline depends on federal surface-transportation money that runs out September 30.
Nonresidential carries the month
Nonresidential builders did the heavy lifting, adding 19,900 jobs in June and 113,400 over the year, a 2.3% gain. Residential went the other way, shedding 8,600 positions in June and 48,800 for the year as higher rates keep for-sale housing soft. Average hourly earnings for hourly workers hit $39.06, up 4.8% year over year, still outrunning the broader private sector.
The September 30 problem
AGC officials warned that future gains are at risk unless Congress reauthorizes highway and transit programs before the current law expires. Contractors staffing up for infrastructure work need the certainty; letting the authorization lapse would freeze new obligations and slow the project starts that have propped up nonresidential hiring all year. The split in the numbers tells the real story. Public and heavy-civil work is holding the industry up while private building, outside data centers, stays weak.