Nonfarm payroll employment rose just 112,000 in November, seasonally adjusted, the Bureau of Labor Statistics (BLS) reported today. In addition, BLS revised downward the gains earlier estimated for October (from +337,000 to +303,000) and September (from +139,000 to +119,000). Construction employment rose to 7,034,000, the eighth straight record high. In reporting on the employment situation, BLS Commissioner Kathleen Utgoff remarked, “employment in construction edged up in November (11,000). This followed an unusually large job gain in October (65,000) that partially reflected rebuilding and cleanup activity following the four hurricanes that struck the U.S. in August and September. Since its most recent low point in March 2003, construction employment has expanded by 373,000.” Average hourly earnings for all nonfarm private production workers and in construction rose a penny in November, seasonally adjusted. The average for construction was $19.34, up just 1.5% since November 2003 but 22% above the all-industry average.
The value of construction put in place remained essentially unchanged for the third straight month in October, at a seasonally adjusted annual rate of $1.01 trillion, the Census Bureau reported Wednesday. The October number was 7% higher than in October 2003, and the year-to-date total for January-October 2004 was 9% higher than in the same span of 2003. Private residential construction was 11% higher than in the year-ago month and 14% higher on a year-to-date basis; private nonresidential construction improved by 2.5% and 3.3%; and public construction was up by 3.5% and 3.1%. McGraw-Hill Construction, which counts the full value of new construction contracts in their first month, said on Wednesday that contracts rose 4% in October and 9% year-to-date for: new multi-unit housing (-1% for the month, +16% year-to-date), nonresidential building (+11% and +3%), and nonbuilding construction (+11% and 0). However, neither Census nor McGraw-Hill adjusts for price increases, which continue to be significant for construction materials, as indicated by this week's “Beige Book” and Institute for Supply Management (ISM) surveys.