Construction Hiring Jumps in March 2007

This appears to bode well for the commercial building industry, as reported at SBC Magazine's web site:

Construction hiring jumps; A/E activity suggests more to come; Transportation Costs Down

Nonfarm payroll employment, led by a 56,000-job jump in construction, rose 180,000 in March, seasonally adjusted, the Bureau of Labor Statistics reported today. The construction gain nearly reversed a weather-aggravated drop of 61,000 in February. Since March 2006, total employment climbed 1.4%, compared to 0.3% for construction employment. But nonresidential employment (nonresidential building, specialty trades, and heavy and civil engineering), added 146,000 jobs or 3.4%, more than double the overall nonfarm rate, while residential building and specialty trades shed a combined 129,000 jobs or 3.6%.

Architectural and engineering (A/E) activity, a precursor for nonresidential construction, remains positive. A/E employment rose 57,000 (4.2%) over 12 months, BLS reported. The American Institute of Architects (AIA) reported on March 23 that its index of billings at 300 architectural firms slipped in February but remained above neutral. “Growth in the commercial/industrial and institutional sectors fell slightly this month, but remains elevated overall,” AIA Chief Economist Kermit Baker commented. As for residential billings, “The score indicates that the sector is no longer in freefall, but instead has moderated to a more stable level.” Total revenue of A/E and related services firms rose 1.6% in the fourth quarter, up from a 0.9% gain in the third quarter, the Census Bureau reported in a March 14 release on quarterly revenue for selected services (www.census.gov/qss).

For the rest of the article, please see the SBC web site here.