U.S. construction employment rose by 11,000 in September 2026 to 8,364,000, but the increase was concentrated in nonresidential construction. Residential employment fell by 4,900. The construction unemployment rate was 3.5%, not seasonally adjusted; the Associated General Contractors of America (AGC) says the pool of jobseekers with recent construction experience is shrinking. AGC warns that further gains are at risk, citing worker availability and the need for projects, but its October 2 release does not quantify a forecast that hiring will stall.
How many construction jobs were added in September?
Construction employment increased by 11,000 from August and stood at 8,364,000 in September 2026. Over 12 months, employment rose by 109,000, or 1.3%, according to AGC’s analysis of Bureau of Labor Statistics Current Employment Statistics data. The detailed table was updated October 2, 2026; monthly figures can be revised, so the latest BLS release should be checked before treating these numbers as final.
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The headline gain conceals a split between nonresidential and residential work. Nonresidential building, specialty trades, and heavy and civil engineering collectively gained 16,100 jobs in September. Residential building and specialty trades together lost 4,900.
Which construction sectors gained and lost jobs?
| Construction segment | September change | Change over 12 months |
|---|---|---|
| Nonresidential building | +1,200 | +31,000 (+3.4%) |
| Nonresidential specialty trade contractors | +12,300 | +84,700 (+3.0%) |
| Heavy and civil engineering | +2,600 | +26,300 (+2.2%) |
| Residential building | +3,000 | −4,000 (−0.4%) |
| Residential specialty trade contractors | −7,900 | −28,800 (−1.2%) |
| Nonresidential group total | +16,100 | +142,000 (+2.9%) |
| Residential group total | −4,900 | −32,800 (−1.0%) |
These figures show why it would be misleading to say that every construction segment added workers or that residential building itself declined in September: residential building employment rose by 3,000, while the larger loss in residential specialty trades pulled the combined residential total down.
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What does the 3.5% construction unemployment rate mean?
The 3.5% figure is the September 2026 construction unemployment rate, and it is not seasonally adjusted. It was 3.8% a year earlier. It is an unemployment rate for the construction workforce measure in AGC’s table—not a count or rate of unfilled contractor positions.
AGC also reports that 359,000 people looking for work had recent construction experience, 45,000 fewer than a year earlier, an 11% decrease. The lower unemployment rate and smaller experienced jobseeker pool help explain the association’s concern about finding workers, but they do not establish how many openings employers have or prove that hiring must slow.
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How did construction pay compare with the private-sector average?
In September 2026, production and nonsupervisory employees in construction averaged $39.20 per hour, up 4.3% over the year. The comparable all-private-sector average was $32.60 per hour, up 3.3%, according to AGC’s report. These are average hourly earnings for the specified employee groups, not a measure of total compensation or pay for every construction occupation.
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1Repair Windows errors before they cause bigger problems2Fix the driver behind crashes, sound loss and screen glitches3Clear out junk files and repair common Windows errorsAGC chief economist Ken Simonson said, “Nonresidential contractors are adding employees and raising hourly pay at rates far exceeding the broader economy.” He also said, “But filling positions remains a major concern as the pool of jobseekers with recent construction experience continues to shrink.” These are AGC’s interpretations of the employment and earnings figures.
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Why does AGC say further job gains are at risk?
AGC’s warning rests on two conditions it says contractors need: workers available to do the work and a continuing pipeline of projects to employ them. The smaller pool of jobseekers with recent construction experience points to a possible hiring constraint, while project demand affects whether firms have work that supports additional jobs. The October 2 release does not give a quantified forecast for future employment or establish that gains will stop.
AGC CEO Jeffrey D. Shoaf put the association’s position this way: “Construction firms need both people to do the work and projects to keep those people employed.” The association argues for investment in workforce development and continued construction demand, including infrastructure work and responsible data-center and other major projects. Those are AGC’s policy priorities, not separate findings demonstrated by the monthly employment table.
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