Construction Jobs Increase In Less Than Half Of Metro Areas From May 2025 To May 2026 Amid Rising Costs, Ebbing Demand And Threats To Infrastructure Work

Houston-Pasadena-The Woodlands, Texas and Baton Rouge, La. Experience Largest Number and Percentage of Job Gains Over Latest 12 Months; Riverside-San Bernardino-Ontario, Calif. and Lawton, Okla. Have Worst Job Losses

Construction employment increased in only 152, or 42 percent, of 360 metro areas between May 2025 and May 2026, according to an analysis by the Associated General Contractors of America of new government employment data. Association officials warned that construction firms are shedding jobs in many parts of the country as contractors struggle with rising costs, ebbing demands for some sectors, and political threats to various types of infrastructure construction.

"More metro areas experienced construction job losses than gains in the last 12 months," said Macrina Wilkins, the association's director of market insights. "Even fewer areas are likely to have job increases later this year if Congress fails to renew federal legislation to fund highway and transit construction after the current law expires in September."

Between May 2025 and May 2026, 152 metro areas added construction jobs, 161 lost jobs, and employment was unchanged in 47 areas. Houston-Pasadena-The Woodlands, Texas added the most construction jobs over the year (12,100 jobs or 5 percent), followed by St. Louis, Mo.-Ill. (10,500 jobs, 13 percent); Baton Rouge, La. (8,400 jobs, 18 percent); Minneapolis-St. Paul-Bloomington, Minn.-Wis. (7,200 jobs, 7 percent); and Charlotte-Concord-Gastonia, N.C.-S.C. (6,400 jobs, 8 percent).

Baton Rouge, La. had the largest percentage gain (18 percent, 8,400 jobs), followed by three areas with 13 percent increases: Mobile, Ala. (1,800 jobs); Davenport-Moline-Rock Island, Iowa-Ill. (1,400 jobs); and St. Louis, Mo.-Ill. (10,500 jobs). In addition, there were 10 percent increases in Idaho Falls, Idaho (700 jobs); Ithaca, N.Y. (100 jobs); and Lima, Ohio (200 jobs).

Construction employment declined in 161 metro areas and was flat in 47 areas during the past year. The largest job loss occurred in Riverside-San Bernardino-Ontario, Calif. (-6,100 jobs, -5 percent), followed by Portland-Vancouver-Hillsboro, Ore.-Wash. (-5,200 jobs, -7 percent); Sacramento-Roseville-Folsom, Calif. (-4,400 jobs, -6 percent); Pittsburgh, Pa. (-4,300 jobs, -7 percent); and the Oakland-Fremont-Berkeley, Calif. metro division (-3,200 jobs, -4 percent). The steepest percentage loss occurred in Lawton, Okla. (-21 percent, -400 jobs), followed by Monroe, Mich. (-9 percent, -200 jobs) and Niles, Mich. (-9 percent, -200 jobs).

Association officials noted that the construction employment declines come at a time when many contractors are facing rising prices that recent federal data shows they have been unable to pass along for many of the materials they need to build projects. They are also facing slowing demand for many types of projects. And two of the strongest market segments, highway and transportation and data center construction, risk delayed Congressional action of the former, and growing local backlash against the latter.

"Contractors are facing a number of economic and political headwinds that are making it harder to add workers," said Jeffrey D. Shoaf, the association's chief executive officer. "That is why we are working to educate the public about the economic benefits of transportation and technology infrastructure investments and urging Congress to pass a new transportation bill before the current one expires."

View the metro employment data by metro, rank and top 10 changes.