Construction Hiring Eases in December with Some States Seeing Losses

The U.S. construction industry added 8,000 jobs in December and some 196,000 jobs over the course of 2024. But those numbers are down from November as more states saw losses in construction jobs.

Overall, the U.S. economy added 256,000 jobs in December, up from the 212,000 added in November. All states showed job growth except West Virginia, which was flat, and South Dakota, which registered a small drop in overall hiring.

The construction sector added a total of 8,000 last month, down from 10,000 in November. The data showed that 26 states reported an increase in December compared to November, while 20 states lost construction sector jobs, with the rest seeing flat results.

Washington, with the highest increase, added 4,000 construction jobs, while New York, on the other end of the spectrum, lost 4,400 jobs. In percentage terms, South Dakota reported the highest increase at 1.9%, and Mississippi reported the largest decline at 2.2%.

Year-over-year data showed an increase of 196,000 construction jobs in 2024. The year-over-year change dipped from November, which saw construction employment rise by 211,000 in the previous 12 months.

Texas added 31,500 construction jobs in 2024, which was the largest gain of any state, while California lost 12,400 construction sector jobs. In percentage terms, Alaska had the highest annual growth rate in the construction sector at 18.9%. Over this period, West Virginia reported the largest decline of 3.4%.

Danushka Nanayakkara-Skillington, NAHB assistant vice president for forecasting and analysis, provides more in this Eye on Housing post.