In 2021, construction companies will need to hire 430,000 more workers than they employed in 2020, according to an analysis of U.S. Bureau of Labor Statistics data released in March by Associated Builders and Contractors. The analysis also revealed that every $1 billion in extra construction spending generates an average of at least 5,700 construction jobs.
“According to forecasts analyzed during the COVID-19 pandemic, an impressive 430,000 more construction workers still need to be hired in 2021 to meet the demand, evidence that the construction industry is powering America’s recovery and economic engine,” said ABC President and CEO Michael Bellaman. “ABC’s annual forecast incorporates several variables that may affect the U.S. construction spend and employment demand over the next few years. These variables, which range from inflationary pressure, rising commodity costs, and other global supply chain concerns to the regulatory and legislative trajectory of a new administration and the vaccine rollout domestically and even globally, are considered in the ABC cone of probability.”
Other key findings include analysis on construction spending and job creation in 2020. The spread of COVID-19 and efforts to limit its effect on the population had a substantial impact on construction activity and employment. Ironically, in 2020, nominal (not adjusted for inflation) construction spending rose by 4.8% even as employment fell by 6.3%