Construction jobs rise in just 49% of US metros through August

Construction employment rose in 177, or 49%, of 360 metro areas between August 2025 and August 2026, with gains concentrated in locations benefiting from data centers, power projects and advanced manufacturing plants.

An Associated General Contractors of America analysis of new government employment data found that construction jobs declined in 126 metro areas and remained flat in 57. Association officials said only a few project types are driving much of the industry’s employment growth.

"Data centers, power projects and advanced manufacturing plants are spurring employment gains in many metros", said Ken Simonson, the association’s chief economist. "But other locations are experiencing a loss of jobs as volatile tariffs, rising materials costs and harsh immigration policies deter owners from committing to new construction."

Houston leads job gains; Atlanta posts largest loss

Houston-Pasadena-The Woodlands, Texas recorded the largest increase in construction employment, adding 14,100 jobs or 6%. Baton Rouge, La. followed with 13,300 jobs, 29%; St. Louis, Mo.-Ill. added 11,200 jobs, 14%; and Columbus, Ohio gained 10,100 jobs, 16%.

Baton Rouge led in percentage growth, followed by Columbus; Davenport-Moline-Rock Island, Iowa-Ill., with 14%, 1,600 jobs; St. Louis; and Shreveport-Bossier City, La., with 12%, 1,100 jobs.

The Atlanta-Sandy Springs-Roswell, Ga. metro division had the largest construction employment decline, losing 4,900 jobs, -4%. Riverside-San Bernardino-Ontario, Calif. lost 4,600 jobs, -4%, while the Jersey City-White Plains, N.Y.-N.J. metro division shed 4,300 jobs, -6%. The Oakland-Fremont-Berkeley, Calif. metro division lost 4,000 jobs, -5%.

Walla Walla, Wash. recorded the steepest percentage decline at -8%, -100 jobs. Fairbanks-College, Alaska followed at -7%, -200 jobs, along with seven areas that recorded 6% losses.

Association seeks infrastructure investment and cost certainty

Association officials called on federal officials to support construction demand by passing a new, multi-year highway and transit bill and providing greater certainty about future tariff levels. They also sought a reasonable process allowing responsible data center developers to advance technology infrastructure projects across the country.

"Protecting current construction demand, investing in new improvements to the nation’s aging infrastructure, and providing greater certainty about future costs will help stimulate new demand for construction activity and broader economic growth", said Jeffrey D. Shoaf, the association’s chief executive officer. "The last thing the economy needs now is under-investment, needless barriers to new projects and uncertainties about future costs.

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