According to the June 2018 measurements by the U.S. Census Bureau and the Bureau of Labor Statistics, the “construction economy” remains strong. There are a couple items worth keeping a close watch on, but economists are presently calling them anomalies.
Non-residential construction spending shrunk by 1.6% in June as compared to May. The total spend in June for commercial construction was approximately $742 billion. This decrease is being driven by what can only be described as an expected dip (3.5%) in public construction project spending as money from previous stimulus packages continues to dry up. In positive news, the previous gains in the private sector stayed in place and overall commercial construction spending was still 4.2% higher than it was in June 2017.
The construction job market also continues to grow. While the overall unemployment rate rose 0.2%, the construction industry saw 13,000 jobs added in June to bring the total number of new construction jobs in 2018 to 282,000. This suggests that employers see work in the near future and are in need of qualified labor, so the economic numbers should continue to improve in July and August.
All in all, the construction industry seems to be in a continuous climb out of its low point after the 2008 recession; and all present indications are that continued improvement is on the horizon.
If you have any questions on this or other construction issues, please contact me at
ABOUT OFFIT KURMAN
Offit Kurman is one of the fastest-growing, full-service law firms in the Mid-Atlantic region. With over 170 attorneys offering a comprehensive range of services in virtually every legal category, the firm is well positioned to meet the needs of dynamic businesses and the people who own and operate them. Our twelve offices serve individual and corporate clients in the Virginia, Washington, DC, Maryland, Delaware, Pennsylvania, New Jersey, and New York City regions. At Offit Kurman, we are our clients’ most trusted legal advisors, professionals who help maximize and protect business value and personal wealth. In every interaction, we consistently maintain our clients’ confidence by remaining focused on furthering their objectives and achieving their goals in an efficient manner. Trust, knowledge, confidence—in a partner, that’s perfect.
You can connect with Offit Kurman via our Blog, Facebook, Twitter, Google+, YouTube, and LinkedIn pages. You can also sign up to receive Law Matters, Offit Kurman’s monthly newsletter covering a diverse selection of legal and corporate thought leadership content.
MARYLAND | PENNSYLVANIA | VIRGINIA| NEW JERSEY | NEW YORK | DELAWARE | WASHINGTON, DC