Construction’s December Job Declines of 11K Workers Portend Slow Start to 2026

Development employment declined by an estimated 11,000 staff in December, leading to an annual achieve of simply 15,000 staff for 2025, in keeping with the Bureau of Labor Statistics’ monthly jobs report.

Heavy and civil engineering contractors comprised the lone sector including jobs in December, with a month-to-month achieve of two,300 positions.

In the meantime, specialty commerce contractors registered a decline of seven,800 positions general. That quantity was comprised of a decline of 8,900 jobs amongst nonresidential specialty commerce corporations, and a achieve of 1,100 positions amongst residential specialty commerce corporations.

Constructing contractors shed an estimated 5,400 positions general, with corporations targeted primarily in residential building shedding 4,200 jobs, and nonresidential builders eliminating 1,200 positions.

The general annual achieve of simply 15,000 staff was traditionally notable, with Related Builders and Contractors Chief Economist Anirban Basu commenting in a press release, “Excluding the primary 12 months of the COVID-19 pandemic, that’s the worst 12-month efficiency since 2011, when the development trade was nonetheless spiraling from the Nice Recession.”

Basu additionally famous particular concern over December job losses in each the nonresidential constructing and nonresidential specialty commerce classes, remarking, “Whereas the nonresidential facet of the trade carried out considerably higher over the previous 12 months, even that phase’s momentum has began to wane. Nonresidential specialty commerce contractors, demand for which led the trade in 2025, posted its worst month in practically 4 years, shedding 8,900 jobs in December.”

Ken Simonson, chief economist for Related Basic Contractors of America, additionally famous the nonresidential sector’s late-2025 jobs decline, citing financial coverage shifts throughout the previous 12 months.

“Nonresidential building employment expanded modestly in 2025 however was held again by unwillingness of many house owners to decide to initiatives within the mild of ongoing coverage turmoil,” Simonson mentioned in a press release. “Based mostly on our current survey, it seems 2026 may also current solely restricted alternatives for progress.”

ABC’s Basu echoed these remarks, stating, “Current declines in backlog, ongoing declines in building spending and December’s job losses counsel it could possibly be a troublesome begin to 2026 for the trade.”

Nonetheless, Jeffrey D. Shoaf, AGC of America’s chief govt officer, commented that, “Regardless that they’re much less smitten by demand for most forms of building work this 12 months, most corporations count on to have sufficient work to broaden their headcount. This assumes they are going to be capable of discover sufficient certified staff to rent amid continual federal underinvestment in building workforce growth.”