Construction employment added 26,000 jobs on net in March, according to Associated Builders and Contractors. On a year-over-year basis, the industry has expanded by 57,000 jobs—an increase of 0.7%.
The construction unemployment rate fell from 6.9% in February to 6.7% in March. The national unemployment rate for all industries dropped from 4.4% to 4.3% as the U.S. economy added 178,000 jobs.
Nonresidential construction added 12,200 jobs in March, with gains in all three subsectors. Nonresidential building added 4,500 jobs; nonresidential specialty trade contractors added 3,900 jobs; and heavy and civil engineering added 3,800 jobs.
“Construction employment rebounded in March as both the residential and nonresidential segments added jobs for the month,” said ABC Chief Economist Anirban Basu. “Industrywide employment has expanded by an average of 19,300 jobs per month in 2026. That’s a marked improvement from 2025, when construction employment actually declined, but there remains cause for concern about the industry’s outlook.
“The March jobs data do not capture the detrimental ways in which the conflict in Iran will continue to affect the construction industry,” Basu continued. “Oil prices have risen to heights not seen since 2022 and diesel prices have soared to $5.40 per gallon, up more than $1.90 per gallon from the start of 2026. At the same time, higher treasury yields have put renewed pressure on borrowing costs. While contractors were relatively optimistic about the near-term outlook as of February, according to ABC’s Construction Confidence Index, it remains to be seen how long that optimism can persist under current economic conditions.”
