Construction News

Nonresidential Construction Spending Falls Slightly in March, Says ABC

Key Takeaways

  • Nonresidential construction spending, which totaled $802.6 billion on a seasonally adjusted annual basis in March, fell 0.1% and is up 2.0% compared to the same time last year.
  • Private nonresidential spending fell 1.3% from February, while public nonresidential construction spending increased 1.6%.Thank you for brigt

Press Release from Associated Builders and Contractors, Inc.

WASHINGTON, May 1—National nonresidential construction spending fell 0.1% in March and is up 2.0% compared to the same time last year, according to an Associated Builders and Contractors analysis of data published today by the U.S. Census Bureau. On a seasonally adjusted annualized basis, spending totaled $802.6 billion for the month.

Among 16 nonresidential subcategories, 12 experienced a decline in spending on a monthly basis. Private nonresidential spending fell 1.3% from February, while public nonresidential construction spending increased 1.6%.

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5 Questions About Your Construction Software You Should Be Asking Right Now

Article written by Andy Holtmann on the Viewpoint blog.

As we continue to adjust to new working and operating environments in construction during the COVID pandemic, many contractors are looking at what the future will hold and what the new construction reality might look like.

Businesses across the United States — including thousands of contractors — have leveraged modern technologies over the past few months to work from home and keep many business processes moving. But the physical nature of construction means that work on jobsites is going to have to resume at full speed to keep contractors’ bottom lines fluid.

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Article written by Matt Harris on the Viewpoint blog.

In an effort to ease financial burdens related to the COVID-19 outbreak, the U.S. Congress passed the Families First Coronavirus Response Act. Effective April 1, 2020, FFCRA requires companies with fewer than 500 employees to provide 12 weeks of protected leave to employees for missed work related to the outbreak.

This means a lot of contractors — many of whom we work with — will need to make adjustments to their current payroll set-ups to ensure both compliance with the FFCRA and with state unemployment guidelines.

What Do I Need to Know about the FFCRA?

Some key points about FFCRA employers need to be aware of:

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Coronavirus and Construction

Article posted on the Viewpoint blog

You may think the Coronavirus is contained and doesn’t impact you, but the potential ripple effect is large within the construction industry. According to Construction Dive, the outbreak has sickened nearly 75,000 and killed more than 2,000. The Chinese workforce is impacted as factories are quickly closing and production is slowing. As China is the largest building import supplier to the United States, this could trickle down to commercial builders in the form of material shortages and higher costs. Not knowing how long the crisis will continue means an uncertain future for some firms. Once factory production does start again, there will likely be a delay in resources making it to the States due to insufficient staffing and a backlog of orders to fill. One thing is for certain: the quicker the virus is contained, the quicker things can start returning to normal.

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Nonresidential Construction Employment Expands in February

According to data released Friday by the US Bureau of Labor Statistics, the national construction industry added 42,000 net new jobs in February.

Key Takeaways

  • The construction industry added 42,000 net new jobs in February 2020. On a year-over-year basis, industry employment has expanded by 223,000 jobs, an increase of 3.0%.
  • The construction unemployment rate was 5.5% in February, down .7 percentage points from the same time last year. Unemployment across all industries declined to 3.5% last month.
  • Nonresidential construction employment increased by 19,800 jobs on net in February and is up by 139,900 net jobs during the last 12 months.


Press Release from Associated Builders and Contractors, Inc (ABC)

Nonresidential Construction Employment Expands in February, Says ABC

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Key Takeaways

  • Nonresidential construction spending, which totaled a record $806.9 billion on a seasonally adjusted annual basis in January, is a 1.6% increase from December and is up 5.1% on a year-ago basis.
  • Private nonresidential spending rose 0.8% on a monthly basis and is up 0.5% compared to the same time last year. Public nonresidential construction spending also increased, rising 2.6% for the month and 12.3% on a year over year basis.
  • “At this time, it is unclear how coronavirus will affect materials prices. Certain construction components, whether from China or elsewhere, may experience inadequate supply during the weeks ahead, and the more general impact will be decreased input prices due to lower demand. This is likely to be the case for a number of key commodities, including those related to energy.”

Press Release from Associated Builders and Contractors, Inc.

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Top 5 Trends for 2020

Summary written by Andy Holtmann and appeared on the Viewpoint blog.

Construction Dive Looks at Top 5 Trends for 2020

Construction Dive, which over the past few years has become a significant industry source for news and trends in the AEC industries, gave its take on five key ways construction will evolve in the year ahead. The article points to more scrutiny of structural design and safety processes by government agencies, insurance companies and others in the wake of several high-profile accidents and structural flows; increased adoption of more efficient building methods like modulization and prefabrication; more diversity among future generations of construction professionals; and continued automation of processes through technology — without negatively impacting jobs. “Contractors seem primed to welcome more automation, because it seems increasingly inevitable that jobsite and back-office technologies will integrate,” the article noted.

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Nonresidential Construction Added 44,000 New Jobs in January

According to data released Friday by the US Bureau of Labor Statistics, the national construction industry added 44,000 net new jobs in January.

Key Takeaways

  • The construction industry added 44,000 net new jobs in January 2020. On a year-over-year basis, industry employment has expanded by 142,000 jobs, an increase of 1.9%.
  • The construction unemployment rate was 5.4% in January, down 1 percentage point from the same time last year. Unemployment across all industries inched up to 3.6% last month.
  • Nonresidential construction employment increased by 23,800 jobs on net in January and is up by 97,700 net jobs during the last 12 months, a year-over-year increase of 2.1%.


Press Release from Associated Builders and Contractors, Inc (ABC)

Nonresidential Construction Employment Rises in January, Says ABC

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Nonresidential Construction Falls Again in December

Key Takeaways

  • Nonresidential construction spending, which totaled $779.6 billion on a seasonally adjusted annual basis in December, declined 1.2% but is up 4.4% on a year-ago basis.
  • Private nonresidential spending fell 1.8% on a monthly basis and is down by 0.1% compared to December 2018. Public nonresidential construction spending also slipped in December, falling 0.4% for the month. On a year-over-year basis, public nonresidential spending is up 11.2%.
  • "The transition from a private construction-led recovery to a public construction-led recovery is complete. During the years after the Great Recession, public construction waned as state and local governments struggled fiscally in the wake of diminished assessed property values, cautious consumers and slow income growth. Meanwhile, private construction was fueled by steady economic growth and a low cost of capital."

Press Release from Associated Builders and Contractors, Inc.

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Nonresidential Construction Employment Up in December

According to data released today by the US Bureau of Labor Statistics, the national construction industry added 20,000 net new jobs in December.

Key Takeaways

  • The construction industry added 20,000 net new jobs in December 2019. On a year-over-year basis, industry employment has expanded by 151,000 jobs, an increase of 2.0%.
  • The construction unemployment rate was 5.0% in December, down 0.1 percentage points from the same time last year.
  • Nonresidential construction employment increased by 16,700 jobs on net in December and is up by 100,600 net jobs during the last 12 months.
  • “Recent data indicate that nonresidential construction spending is no longer expanding rapidly, and this may be due in part to the fact that the industry is approaching its output ceiling due to a shortage of available workers.”

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