ConDig (02-Jun-17).  The US construction industry added 11,000 jobs in May from the month prior and continues to test its highest level in more than nine years as business activity across the sector remains at healthy levels, according to the Associated General Contractors of America (AGC).

Construction employment totaled 6.88 million in May, which was up 0.1% on the month prior and was also 2.9% higher than the same period last year.

The sector’s unemployment rate was 5.3% last month, up slightly from 5.2% a year ago but one of the lowest May levels in decades.

“Construction firms continued adding new jobs at a faster rate than the broader economy during the past year as demand for their services remains strong,” said Ken Simonson, AGC’s chief economist.

“Even so, they had to keep employees on the job for more hours because they could not find enough qualified people to hire.”

He noted that average weekly hours in construction rose to 39.9, the highest May figure since the AGC started its analysis in 2006, while the average hourly earnings in the industry rose 2.2% from a year ago to $28.55.

Residential construction—comprising residential building and specialty trade contractors—added 7,100 jobs in May and 191,000, or 4.7%, over the past 12 months.

Nonresidential construction (building, specialty trades, and heavy and civil engineering construction) employment added 4,400 jobs in May and 71,300, or up 1.7%, in the past year.

Officials at AGC reiterated that labor shortages were becoming more severe in many parts of the country after years of under-investment in career and technical education programs.

They urged Congress and the Trump administration to enact a measure to increase funding, and flexibility, for the Perkins Act, which provides federal funds for career and technical education.

“It is time for elected officials to get the word out to students that construction offers high-paying jobs with upward mobility,” said Stephen E. Sandherr, the AGC’s chief executive officer.

“The best way to deliver that message is to provide the funding and flexibility to set up programs that expose more students to the opportunities that exist in construction careers.”