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Industry Updates

AGC Warns of Future Job Losses, Despite Recent Growth


The Associated General Contractors (AGC) of America recently reported that construction employment grew from May to June in 31 states and the District of Columbia. But all the news is not so positive. According to an analysis of government employment data and a compilation of weekly jobsite hours, gains may have stalled.

This has driven AGC officials to urge lawmakers to enact funding for infrastructure projects and fill state and local budget deficits to prevent future job losses. “The widespread job gains in June follow even more universal increases in May,” AGC Chief Economist Ken Simonson said.

“But the government’s employment snapshot was based on payrolls during the week of June 12,” he continued. “More recent data collected by Procore on hours worked on jobsites suggests employment topped out around mid-June and may have begun to decline.”

According to Simonson, users of Procore software record the number of hours worked weekly on their job sites. Although Procore reported jobsite hours hit a peak of 15.1 million during the week of June 7 through 13, preliminary totals fell to 15 million during the week of June 14 through 20 and 14.6 million the following week.

AGC officials also warned that the resurgence of COVID-19 in many states will lead to more project cancellations, which will force contractors to lay off workers for a second time. “Only the federal government has the means to keep infrastructure and other needed public construction on track,” AGC CEO Stephen E. Sandherr said. “It would be tragic to miss the opportunity to support the economy, keep thousands of construction employees at work, and invest in much-needed upgrades to roads, transportation facilities, water and sewer systems.”


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