As 2021 winds down, the construction labor market has made a full recovery in some markets, while it remains subdued in others.
Places like Honolulu have more people working in construction than ever before, while places like Las Vegas have seen further declines this year. We expect these trends to continue, as many of the places that have lost workers are expected to see declining construction volumes.
Last May, the unemployment rate dropped below 6% for the first time in more than a year. It has made a full recovery in one or two markets, with the others making steady progress. Even with the Delta variant, it seems that the economic recovery is enduring.
The Association of General Contractors Labor Survey for 2020 shows that the majority of contractors do not expect difficulty filling key positions, although more people expect there to be difficulty filling unskilled positions than skilled positions. With the expected increase in construction activity, however, we expect things to improve even further.