An analysis by the Associated General Contractors of America has found that steep monthly declines in public and private nonresidential construction spending have offset a surge in homebuilding in July, according to a statement from the organization. Additionally, construction industry employment has decreased compared to July 2019 levels in two-thirds of the nation’s metro areas. Also, many commercial construction firms were likely to continue shedding jobs without needed federal coronavirus relief measures.
Nationally, construction spending in July totaled $1.36 trillion at a seasonally adjusted annual rate, a gain of 0.1% from June. Public construction spending decreased by 1.3%, dragged down by a 3.1% drop in highway and street construction spending, and a 3% decline in educational construction spending. Construction employment declined from July 2019 to July 2020 in 238 metro areas, or 66% of the nation’s 358 metro areas.
