Construction employment added 19,000 jobs on net in September, according to Associated Builders and Contractors. On a year-over-year basis, the industry has expanded by 38,000 jobs—an increase of 0.5%.
The construction unemployment rate rose to 3.8% in September. The national unemployment rate for all industries rose from 4.3% in August to 4.4% in September as the U.S. economy added 119,000 jobs before the government shutdown.
Nonresidential construction added 16,300 jobs in September, with gains in all three subsectors. Nonresidential specialty trade contractors added 11,100 jobs; heavy and civil engineering added 4,900 jobs; and nonresidential building added 300 jobs.
“Construction employment increased in September, ending a streak of three consecutive monthly declines,” said ABC Chief Economist Anirban Basu. “Despite the rebound, the industry has added just 2,000 jobs since March. While weakness is largely concentrated in the residential segment, with nonresidential employment growing at a modest pace over the past year, recent construction spending data suggests that activity in the nonresidential segment is beginning to contract, as well.
“Even with the industry’s paltry job growth in 2025, the construction unemployment rate remained relatively low in September at 3.8%,” Basu continued. “While that dynamic—tepid hiring but stable unemployment—indicates a lack of labor force growth, construction wages grew at a healthy pace for the month, suggesting that labor shortages are no longer putting significant upward pressure on labor costs.”
