Steel Markets
Construction Employment Dips in More than Half of States
Written by Sandy Williams
August 21, 2020
Construction employment declined in 26 states and the District of Columbia from June to July, says the Associated General Contractors of America in a new analysis of government data.
“Renewed outbreaks of coronavirus in numerous states likely caused many project owners and investors to pull back on planned construction,” said AGC Chief Economist Ken Simonson. “Meanwhile, budget problems in state and local governments, most of which started a new fiscal year in July, led to cancellation or postponement of many infrastructure and public facilities projects.”
Monthly job losses were heaviest in California and Texas, with the states shedding 14,800 and 6,300 jobs, respectively. New Mexico had the highest percentage decrease at 5.9 percent followed by a 3.7 percent decline in Vermont.
New York gained the most construction jobs as well as having the largest percentage gain: 36,000 job, an increase of 4.0 percent. Missouri also fared well, adding 4,400 jobs for a 3.7 percent increase.
On a year-over-year basis, construction employment fell in 39 states, increased in 10 and held steady in Arkansas and D.C., said AGC. California lost 55,800 jobs over the year and Texas 39,200.
Utah had the strongest yearly increase, adding 8,600 jobs, followed by Maryland with the addition of 4,900 jobs. The highest percentage increase was in South Dakota, which was up 10.5 percent, or 2,500 jobs, during the year.
Project cancellations are likely to continue without fiscal stimulus, liability reforms and new infrastructure spending, said AGC.
“Rebuilding infrastructure, protecting businesses that are complying with coronavirus safety protocols and stimulating private-sector demand will help sustain the industry’s recovery, protect good-paying jobs and support the economy,” said Stephen E. Sandherr, the association’s chief executive officer.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets
Week in Review: Sept. 29 -Oct. 3
Let’s take a quick tour of some key stories from SMU in the week of Sept. 29 - Oct. 3.
Hot-rolled coil sources lament stagnant conditions
Participants in the hot-rolled sheet market expressed frustration with the continuing lack of demand this week.
Plate market sources critique mill hikes amid current market conditions
Following spot market plate price increase notices issued by domestic mills this past week, participants are contemplating the rationale behind the increases and whether they will stick. Some sources anticipate that current market conditions will shift in November and believe the increases may set a new "pricing floor."
ITC’s final ruling: Dumped, subsidized CORE imports are harming domestic market
The US International Trade Commission (ITC) finds that corrosion resistant steel (CORE) imports from 10 countries have caused material damage to domestic product producers, according to the ITC’s statement.
HR buyers report mixed market conditions
Hot-rolled coil market participants said they’re staying on their toes amid a market that continues to be characterized by uncertainty. A veteran Midwest-based service center operator contends that current conditions are unprecedentedly volatile. Being flexible with customers and strategic with mills is the only way to navigate through the uncertainty, he said. “No one wants […]