Construction Industry Unemployment rises to 17.7% in January.
Press Release Summary:
February 9, 2012 - ABC Chief Economist Anirban Basu says economic momentum appears to have returned to level sustained before soft patch of economic activity emerged early last year. Despite addition of 21,000 jobs in January, construction industry unemployment rate jumped to 17.7%, up from 16% the previous month, according to Feb 3 jobs report by U.S. Labor Department. However, construction employment is up by 116,000 jobs, or 2.1%, compared to Jan 2011, and is down from 22.5% rate posted same time last year.
Original Press Release
Construction Industry Unemployment Rises to 17.7 Percent in January
Press release date: February 3, 2012
"Today's employment report was substantially better than consensus estimates, both for construction and the overall economy," said Associated Builders and Contractors Chief Economist Anirban Basu. "It was anticipated that the construction industry would add roughly 0.1 percent to jobs totals," Basu said. "This pace of growth would have been in line with the past year. Surprisingly, construction employment expanded 0.4 percent for the month, and is now up 2.1 percent for the year. "Clearly, the recovery in private construction has been accelerating," said Basu. "Job growth was particularly rapid in the manufacturing, commercial, and power categories, a reflection of rising private momentum. "However, the impact of strained public finances also continues to be apparent, including the trend of diminished employment in the heavy and civil engineering categories, which declined 1.4 percent for the month," Basu said. "The U.S. economic momentum appears to have returned to a level sustained before the soft patch of economic activity emerged early last year," said Basu. "January represented the fastest pace of job growth since April 2011."