ABC: Two-Thirds of June State Construction Unemployment Rates Down From a Year Ago

WASHINGTON, DC — The national June 2024 not seasonally adjusted construction unemployment rate was 3.3%, down 0.3% from the previous year, according to a state-by-state analysis of US Bureau of Labor Statistics data released today by Associated Builders and Contractors. The analysis also found that 33 states had lower unemployment rates over the same period, two states were unchanged (Georgia and Michigan) and 15 states were higher. 

National NSA payroll construction employment was 232,000 higher than in June 2023. Since February 2022, seasonally adjusted construction employment has exceeded its pre-pandemic peak of 7.6 million. As of June 2024, SA payroll construction employment stood at 8.25 million.

Indicating the relative tightness of the construction employment market, as of this June, 38 states had lower construction unemployment rates compared to June 2019, 11 states had higher rates and one state (Minnesota) was unchanged.

“Healthy economic growth and the prospect of lower interest rates in coming months, along with federal spending on infrastructure, have bolstered construction activity and employment,” said Bernard Markstein, President and Chief Economist of Markstein Advisors, who conducted the analysis for ABC. “As projects move forward, construction companies are hiring. The anticipation of future construction projects provides additional incentive to hire and train construction workers.”

Recent Month-to-Month Fluctuations

In June, 43 states had lower estimated construction unemployment rates than in May. Meanwhile, five states had higher rates and two (Michigan and New Hampshire) posted the same rate.

The Top Five States

The five states with the lowest estimated NSA construction unemployment rates for June were:

1. North Dakota, 0.9%
2. South Dakota, 1.0%
3. Alaska and New Hampshire (tie), 1.3%
5. Oklahoma and Oregon (tie), 1.7%

Alaska, North Dakota, Oklahoma and Oregon each had their lowest June NSA estimated construction unemployment rate on record. North Dakota had the second largest year-over-year decline in its rate (down 1.3%) after Connecticut (down 2.1%). New Hampshire scored its second lowest June rate, behind last year’s 1.2% rate. South Dakota had its lowest June rate since 2001’s 0.7% rate.

The Bottom Five States

The five states with the highest June estimated NSA construction unemployment rates were:

46. Ohio, 4.8%
47. New Mexico, 4.9%
48. Illinois, 6.1%
49. New Jersey, 7.1%
50. Rhode Island, 9.8%

New Mexico had its second lowest June NSA estimated construction unemployment rate behind its 2022 rate of 3.7%.