State of the Industry

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Thirty-two states added construction jobs between August and September, and an equal number boosted construction employment during the past twelve months, according to a new analysis of federal employment data released by the Associated General Contractors of America on Oct. 21. Association officials said the job gains were welcome news, but that significant labor shortages in the industry likely held back even larger employment gains.

With its October Market Trends Report, Ritchie Bros. takes a closer look at sales of key aerial equipment categories in North America, specifically boom lifts, scissor lifts and telehandlers.

The price of materials and services used in nonresidential construction jumped 12.6 percent in September from a year earlier despite a dip of 0.2 percent last month, according to an analysis by the Associated General Contractors of America of government data released Oct. 12. Association officials note that the construction industry was suffering the most from inflation, adding that new Buy America rules set to go into effect as soon as next month will only make the situation more dire.

The construction industry added 19,000 employees in September as it boosted wages for hourly workers at the fastest rate in 40 years, according to an analysis by the Associated General Contractors of America of new government data. Association officials said that even with the pay raises, many contractors are still having a difficult time finding qualified workers to hire.

Total construction spending declined by 0.7 percent in August as spending on new houses turned sharply lower, while public and private nonresidential construction posted mixed results, according to an analysis the Associated General Contractors of America released on Oct. 3 of federal spending data. Association officials said that rising interest rates were hurting demand for housing and many private-sector projects, while the impacts of new federal funding for infrastructure, semiconductor plants and green energy facilities have yet to fully kick in.

Construction employment increased in 246, or 69 percent, of 358 metro areas between August 2021 and August 2022, according to an analysis by the Associated General Contractors of America of new government employment data. But association officials noted the job gains likely would have been higher if firms could find more qualified people to hire and train.

The Department of Labor published a final rule on Sept. 26 to rescind Trump-era Industry Recognized Apprenticeship Programs that marks the end of a four-year fight by SWACCA’s public policy team in Washington, D.C. This final rule will be effective on Nov. 25.

On Tuesday, Oct. 11, the Department of Labor issued new guidelines for categorizing independent contractors and employees per the Fair Labor Standards Act. The proposed rule is an overhaul of the existing guidelines and is similar to the rule adopted during the Obama administration.

The Occupational Safety and Health Administration released its top 10 violations of OSHA rules for fiscal year 2022, which showed that failing to protect construction workers from falls continues to be the most common hazard that OSHA inspectors are citing employers for. In addition, OSHA’s most cited rules included three other construction fall prevention measures—protecting workers on scaffolds, ladder safety and training workers to avoid falls.