The recession the U.S. economy is now in is officially taking a serious toll on the construction industry. Despite a shortage of workers, companies are hiring less as it's becoming more expensive to operate. The Bureau of Labor Statistics say the construction sector experienced one of the sharpest reductions in job openings of all sectors.
Data shows construction workers quit their jobs at a faster rate (2.3%) than they were laid off or fired in June. This marks the 16th consecutive month in which quits outpaced or equaled layoffs and discharges. Meanwhile, the 346,000 construction hires in June still outpaced the 317,000 total job separations.
The U.S. experienced two consecutive quarters of economic contraction, which, despite the Biden Administration's declaration to the contrary, has always been the one key indicator the country is officially in a recession.
“What had been an economy beset largely by issues of supply is now becoming one faced with both supply chain issues and weakening demand for goods and services,” said Chief Economist for Associated Builders and Contractors, Anirban Basu.