Construction employment fell in February in 41 states, increased in six and was unchanged (or within 100 of the January level) in three plus D.C. Compared to a year earlier, construction employment fell in 45 states plus D.C., rose in La. (8.2%), Oklahoma (1.2%) and Arkansas (0.5%), and was within 100 of the prior level in Alaska and N.D. The largest 12-month percentage losses were in Arizona, -27%; Vermont, -22%; Florida, -21%; Connecticut and California, -19% each.

Unemployment rates rose and nonfarm payroll employment in February fell in the District of Columbia and all states except Louisiana, the Bureau of Labor Statistics (BLS) reported today. Compared to a year earlier, every state had higher unemployment rates and all had lower employment except Wyoming, +1.6%; D.C., +1.4%; Alaska, +0.9%; La., +0.3%; and North Dakota, +0.2%.  The largest 12-month percentage declines in employment were in Arizona, -6.7%; Michigan, -6.5%; Nevada, -5.2%; and Florida, -5.1%. Construction employment fell in February in 41 states, increased in six and was unchanged (or within 100 of the January level) in three plus D.C. Compared to a year earlier, construction employment fell in 45 states plus D.C., rose in La. (8.2%), Oklahoma (1.2%) and Arkansas (0.5%), and was within 100 of the prior level in Alaska and N.D. The largest 12-month percentage losses were in Arizona, -27%; Vermont, -22%; Florida, -21%; Connecticut and California, -19% each.

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AGC has compiled tables of PPIs for construction materials and segments as well as analysis. The data is from the Bureau of Labor Statistics monthly report and covers over 50 construction specific data series.

The producer price index (PPI) for finished goods in February slipped 0.1% before seasonal adjustment (but rose 0.1%, seasonally adjusted) and 1.3% over 12 months, the Bureau of Labor Statistics (BLS) reported on Tuesday. The PPI for inputs to construction industries dropped 0.6% for the month and edged up 0.5% over 12 months. Materials prices fell for the most part-steeply in some cases. The PPI for diesel fuel plunged 11% and 49%; steel mill products, -6.1% and -9.8%; aluminum mill shapes, -4.2% and -16%; copper and brass mill shapes, -1.8% and -34%; lumber and plywood, -0.8% and -7.1%. Items that partly reversed previous run-ups include asphalt paving mixtures and blocks, down 1.1% for the month but still 20% higher than in February 2008; gypsum products, -1.1% and 7.8%; concrete products, -0.1% and 4.8%; and plastic construction products, -0.1% and 3.4%. PPIs for inputs to construction types all fell for the month but varied over the 12-month span: highway and street construction inputs, -0.5% and -2.5%; other heavy construction, -1.5% and -2.4%; nonresidential buildings, -0.7% and -0.1%; multi-unit residential, -0.6% and 1.1%; and single-unit, -0.3% and 3.1%.

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View AGC Chief Economist Ken Simonson's March 9 presentation on the American Recovery and Reinvestment Act (ARRA or the "stimulus legislation") and the outlook for construction activity, materials and labor.

The unemployment rate in February climbed to 8.9% overall, not seasonally adjusted (8.1% seasonally adjusted) from 5.2% in February 2008, and to 21.4% in construction from 11.4%, the Bureau of Labor Statistics (BLS) reported on Friday. Nonfarm payroll employment shrank by 651,000 jobs in February, seasonally adjusted, and the estimates for January and December worsened to -655,000 and -681,000, respectively. Since February 2008, the economy has shed 4,168,000 jobs (3.0%). Construction employment sank by 104,000 jobs in February and 826,000 over 12 months. That was one-fifth of the economy-wide loss over the year, even though the industry accounts for only one out of 20 employees. All five construction employment categories suffered steep declines: residential building and specialty trade contractors each lost 15% of employees in a year, while nonresidential building, specialty trades and heavy and civil engineering cut 8.4%. Employment in architectural and engineering services, a harbinger of demand for future construction, slumped 16,000 in February and 56,300 (3.9%) over 12 months. Average hourly earnings in construction fell 4 cents for the month to $22.37, seasonally adjusted, but were 4.1% higher than in February 2008 and 21% higher than the average of $18.47 for all private-sector production and nonsupervisory employees.

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"Today's dismal report on construction spending highlights the urgency of putting stimulus funds to work and unlocking the credit markets," said Ken Simonson, chief economist of the Associated General Contractors of America. "The new Census figures show that spending on nearly every type of nonresidential construction is now declining. The stimulus money can put thousands of construction workers back on the job promptly, but only if federal and state agencies do their utmost to turn dollars into contracts. Meanwhile, it will take a renewal of bank and bond market lending to get private construction back on track."