In a sharp turnaround from before the election, the Bureau of Labor Statistics (BLS) reported job numbers surged in November with a sizable gain of 227,000 new positions. (The number is comfortably above the 130-150,000 range estimated increase needed on a monthly basis to stay-up with growing demographics; this after an extremely low level in October). The healthy increase has been attributed to both a return or rebound off of the extraordinary circumstances that drove the lower totals in October, and an apparent anticipation of a rising economy under the new incoming President-elect.
With respect to the construction job market, the non-seasonally adjusted unemployment rate rose to 4.6 percent for November, which is lower than the 2023 level for the same month. [The new unemployment figure is down 0.2 of a percent when compared to last November’s level of 4.8%; and 0.4 of a percent higher vs. October ‘24]. Notwithstanding the slight numeric changes, employment in construction changed little in November taking into account the typical seasonal slowed vs. the monthly trend-line during the year.
The overall U.S. unemployment level rose one-tenth to 4.2 percent. (matched by an “Unemployed persons” rise 0.1 to 7.1 million per the government count). During month the “labor force participation rate” dropped to 62.5 percent. [NOTE: The “labor force participation” rate “typically” works inversely to the overall unemployment figures. Meaning: as it deteriorates/gets worse or smaller, it actually is counted as improving unemployment (i.e., people leaving the workforce are no longer counted as unemployed by the DOL). The “employment to population ratio” for the second month in a row -- slipped 0.2 basis points to 59.8 percent. [Both measures haven’t reached their pre-Covid levels yet; if people were actually seeking jobs, the unemployment rate would be approximately 5.0% ]. Average hourly earnings continued to increase, at another 0.3% to $30.57 for private sector production and nonsupervisory employees.
Construction Workforce Table:
Unemployment | November 2024 |
(000's) | 428k |
Construction Unemployment Percentage: | 4.6% |
Overall Unemployment Percentage: | 4.2% |
Participation Rate: | 62.5% |
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