An In-Depth Look at the Latest Construction Industry Statistics

0
547

Do you work in the construction industry? This is a rewarding and rapidly-growing field, encompassing a range of projects from residential homes to city-wide infrastructures.

Whether you’ve been in this career for a while or you’re curious about joining it, it pays to know critical trends and patterns that can help you understand the current market and project future growth.

Today, we’re taking a close look at a few of the most recent construction industry statistics, so you can prepare yourself with the latest numbers.

A Look at the Industry as a Whole

Let’s begin by reviewing some statistics that demonstrate the growth of the overarching construction sector.

According to the Associated General Contractors of America (AGC), the general construction sector consists of more than 733,000 employers and a staggering seven million workers.

Whether they’re building bridges or repairing roof shingles, every year these professionals create structures that are worth a collective $1.4 trillion.

Construction Employment Numbers to Know

Are you thinking about joining a construction crew? If so, then take a look at AGC’s latest employment numbers. Each month, the association delivers a new report that tracks construction-specific employment in the U.S.

In addition to the high-level press release, you can also find detailed tables that rank each state according to the degree of employment change that month. In addition, AGC also tracks construction employment data across nearly 360 individual metro areas.

The latest state report was released on October 22, 2021, California continues to lead the country in terms of construction jobs. In September 2021, AGC recorded 880,700 jobs in this state alone! This was 1,400 more than the month before.

Conversely, the state with the fewest number of construction jobs was Vermont. Of course, it’s important to consider the size of Vermont compared to that of California!

Materials-Based Spending Statistics

In addition to hiring and retaining employees, construction managers must also allow plenty of room in their budgets to cover the price of materials.

Due to the ongoing pandemic, the costs of raw goods are currently soaring. In fact, data from the World Bank reveals that the Raw Material Price Index is nearly 18% higher today than it was at this time one year ago.

Understandably, producer prices have gone up accordingly. The U.S. Bureau of Labor Statistics (BLS) tracks these changes via the Producer Price Index or PPI. This chart measures the selling prices that domestic material producers receive for their output.

These prices dictate the type of bid price that construction vendors can set for their goods and services. From September 2020 to March 2021, bid prices for new, non-residential construction remained relatively steady. However, from April 2021 to September 2021, they rose by around 5%.

Speaking of bids, the right proposal can help construction managers win new work and engage new clients. Industry-specific software solutions can help you send accurate, user-friendly estimates in real-time. You can learn more from CostCertified about how this process works, and how it can benefit your team.

The Value of Construction Spending

With so many budgetary restraints occurring at the moment, you might think that construction spending would have slowed down considerably. However, homeowners and business owners alike are continuing to hire teams across the nation to perform a variety of jobs and projects.

Since 1964, the U.S. Census has tracked this monetary movement through a program called the Value of Construction Put in Place Survey, or VIP. Through this report, the agency estimates the total value of construction work performed in the U.S. each month.

Authorized by Title 13 of the United States Code, the survey tracks all work being performed on new and existing structures throughout the country. This applies to both the private and the public sectors and includes such factors as:

  • The cost of labor
  • The cost of materials
  • The cost of architectural designs
  • The cost preliminary engineering work
  • Total overhead costs
  • Contractor fees
  • Any interest and taxes paid during the project

The September 2021 VIP survey showed that the total, seasonally-adjusted annual spending to date equals more than $1.5 million. A vast majority of the work ($1.2 million) occurred in the private sector while projects in the public sector cost roughly $344,000.

Employee-Specific Stats to Know

Now that we’ve taken a look at the construction industry as a whole, let’s analyze the numbers at a more granular level. Who are these employees and what exactly do they do?

According to the latest BLS data, most workers in this industry can be classified as construction laborers. To date, there are 827,100 of these laborers in the country. Other job title classifications include:

  • Carpenters: 593,530 employees
  • Electricians: 506,950 employees
  • Operating engineers or equipment operators: 261,540 employees
  • Construction managers: 235,940 employees

Across all of these job fields, the average rate is $33.38 per hour. This is up from the average of $32.97 recorded in July 2021. For production and non-supervisory employees, the average hourly rate is a little less, at $30.94.

Collectively, the position with the highest recorded earnings is that of the construction manager, with a mean annual salary of $106,120. Knowing this, how many hours are these employees clocking each week?

The BLS reports that the average construction employee works around 38.7 hours each week. This isn’t a considerable change from July of this year when that number equaled 38.8 hours.

Should You Pursue a Job in the Construction Industry?

If the field of construction has always piqued your interest, then you may want to consider making a career change into this field. As evidenced by these construction industry statistics, this is a growing field that will only become more in-demand as the number of new construction projects around the world continues to grow.

Before you make the leap, research your anticipated salary, as well as prospective employers in your area. Then, talk to someone currently in the field and consider asking them to become a mentor as you begin this exciting journey.

In the meantime, we’re here to keep you updated with all of the lifestyle news you need. Be sure to check back often for more informative guides!