Contractors group urges public-sector investment

A group representing contractors is urging federal lawmakers to approve infrastructure projects to combat shrinking employment numbers in the industry. The Associated General Contractors of America has issued a statement blaming a two-month slide in national construction employment on a decline in public-sector investment. The association says the construction unemployment rate in November hit 13.1%, with 12,000 fewer people finding work than in the previous month. Ken Simonson, an economist with the association, says in the statement that industry employment is 11,000 lower than in February 2010, while the private sector as a whole added nearly 3 million jobs since that time. “The lack of industry job growth means former construction workers are finding work elsewhere or leaving the work force altogether. That’s ominous for future construction hiring,” Simonson says. Residential building and specialty trade contractors combined had no change in employment for the month but added 20,400 workers over the year, Simonson says. Nonresidential building and specialty trade employment slipped by 4,700 in November but was unchanged year-over-year. Heavy and civil engineering construction—representing public works contractors—lost 7,000 jobs in November and 2,900 over the year. Association officials claim that the decline in public works employment will intensify unless lawmakers promptly pass long-term highway and aviation spending bills that are now more than two years overdue. The construction trade association also urged passage of funding for water infrastructure and public buildings. This will in turn boost private-sector demand, the association says.