Associated General Contractors of America News Release (11/02/15)
Construction spending in September reached a new seven-year high and climbed at the fastest rate since early 2006, according to the Associated General Contractors of America. However, total spending on nonresidential construction declined between August and September as growing workforce shortages likely affected the amount of work firms were able to do for the month.
“Overall demand for construction continues to grow at a very robust rate,” says Ken Simonson, the association’s chief economist. “It appears, however, that many firms performing private nonresidential work could not find enough qualified workers in September to keep pace with growing demand.”
Eighty-six percent of firms responding to a recent association survey reported they are having a hard time finding qualified workers to fill available positions, association officials noted. As a result, many firms likely are struggling to find enough staff to keep pace with the growing demand for construction services, prompting the slight drop in monthly construction spending in the private nonresidential sector, the officials added.