NAHB: Construction hiring slows
Hiring in residential construction is well above the jobs recovery rate in non-residential construction.
The National Association of Home Builders reported that job openings continue to slow in the construction industry.
Pointing to November’s Bureau of Labor Statistics’ employment data, hiring in construction slowed down in October.
For the past seven months, job gains in residential construction offset 96% of the positions lost in March and April construction. But there has only been a 58% recovery rate in non-residential construction.
As a result, this has left job openings weaker in the overall construction sector, according to NAHB Chief Economist Robert Dietz.
Hiring in the construction sector remained even in October, coming in at a 5.4% rate. The peak rate of hiring in 2020 occurred in May (9.7%).
Construction sector layoffs increased somewhat in October, rising to 2.6%, however. This compares to a layoff rate of 10.8% in April, which followed a loss of 7.9% in March. The layoff rate has been below 3% since March and April.
The job openings rate in construction was steady in October, remaining at a 3% rate, with 230,000 open positions in the sector, the NAHB said.
This is lower than the 325,000 open positions recorded a year ago, as the construction labor market adjusts to new conditions post-virus.