Construction Unemployment Drops to 3.5% in September - tEDmag
News
Channel | Distributors | Manufacturers | People | Features | Podcast | Awards | 30 Under 35 | Best of the Best | Subscribe | Current Issue | More... | Contact | About | Media Kit
Current Issue | Search for:
Construction Unemployment Drops to 3.5% in September
November 2, 2026
WASHINGTON — The national September construction unemployment rate, not seasonally adjusted, was 3.5%, down 0.3% from one year ago (as per a state-by-state analysis of U.S. Bureau of Labor Statistics data). According to the analysis by Associated Builders and Contractors (ABC), all 50 states had a construction unemployment rate below 10%, with all but three (Alaska, Minnesota, and North Dakota) below 6%.
National NSA payroll construction employment was 103,000 higher than in September 2025. Seasonally adjusted payroll construction employment stood at 8.4 million, a 9.9% increase above its pre-pandemic peak of 7.6 million.
Estimated state construction unemployment rates were lower than their pre-pandemic (February 2020) level in 39 states. As of September 2026, 17 states had lower construction unemployment rates compared to September 2019, 31 states had higher rates, and two (California and New Hampshire) had the same rate.
Bernard Markstein, president and chief economist of Markstein Advisors, who conducted the analysis for ABC, noted, "The construction industry is facing increased energy prices, materials prices, and labor costs, while longstanding issues of higher insurance premiums, tariffs on building materials, shortages of skilled labor, and rising interest rates continue to plague the industry. Data center construction is also absorbing a significant share of available skilled labor and contributing to elevated building materials prices."
Recent Month-to-Month Fluctuations
In September, the national NSA construction unemployment rate rose 0.4% from August. Among the states, only four had lower rates, 44 posted higher rates, and two (Maryland and Oregon) had the same estimated construction unemployment rates as in August.
The Top States
The six states with the lowest estimated NSA construction unemployment rates for September were:
- Maryland, 1.7%
- North Carolina, 1.8%
- Georgia and Tennessee (tie), 2.1%
- South Carolina and Utah (tie), 2.2%
The Bottom States
The five states with the highest NSA construction unemployment rates in September were:
- Massachusetts, 5.5%
- Michigan, 5.8%
- Minnesota, 6.7%
- Alaska, 7.5%
- North Dakota, 9.5%
Click here to view graphs of U.S. and state overall unemployment rates (Tab 1) and construction unemployment rates (Tab 2) showing the impact of the pandemic, including a graphing tool that creates a chart for multiple states. For a better understanding of the basis for calculating unemployment rates and what they measure, refer to the Background on State Construction Unemployment Rates.
Tagged with: ABC, construction employment, economy
Subscribe to our newsletter
Don't miss a thing! Get the latest industry news delivered straight to your inbox, every Tuesday through Friday.