Recent analysis by the Associated General Contractors of America reveals a 0.4% increase in total construction spending in September, reaching $1.997 trillion at a seasonally adjusted annual rate. Encouraging growth is noted across various construction categories, especially in homebuilding. However, the industry faces a significant challenge due to a record-high number of job openings, hindering the completion of projects. Efforts in Congress to limit the construction industry’s access to potential workers could further undermine future infrastructure and economic development initiatives.

Spending on private residential construction increased by 0.6%, driven by a 1.3% rise in single-family spending. Private nonresidential construction saw a modest 0.1% increase, while public construction investment rose by 0.4%. Despite these positive trends, unfilled job openings in the construction sector reached a historic high of 438,000 in September, indicating a shortage of qualified applicants. 

Association officials emphasize the need to address the labor shortage, cautioning that attempts to exclude the construction industry from the H-2B visa program could exacerbate the problem. They argue that such exclusions, coupled with the federal government’s underinvestment in construction-focused education programs, would hinder firms’ ability to meet growing demand for infrastructure projects. The industry calls for a collaborative approach to support workforce development and ensure the sector’s ability to contribute to vital economic and infrastructure development projects.

Inspired by: https://www.bulktransporter.com/fleet-management/article/21276983/agc-construction-spending-up-slightly-in-september