Key Takeaways:
- Construction employment grew in 30 states and D.C.; Texas led with 18,700 net gains, Wisconsin posted the top percentage increase at 6.2%.
- Strongest hiring markets: Texas (data centers, logistics, highways), Wisconsin (public works, manufacturing) and Idaho (fastest month-over-month growth at 2.6%).
- California shed 13,100 jobs, the steepest annual loss, showing how permitting delays and shifting project mix can reverse regional hiring momentum.
- Key risks: federal highway and transit funding uncertainty, data center opposition and slower private-sector starts, all affecting pipeline visibility, bid strategy and wage pressure.
Construction Employment Shifts Across the States
Construction employment grew in 30 states and the District of Columbia over the past year, reflecting steady but uneven demand. Texas led all states in raw job gains, adding 18,700 construction jobs from May 2025 to May 2026, according to an Associated General Contractors of America analysis of federal data. Wisconsin posted the largest percentage gain at 6.2%, with Minnesota and Alabama close behind. California recorded the steepest annual loss, shedding 13,100 jobs. Month to month, the picture stayed mixed: Texas again led in April-to-May net gains with 3,600 jobs, Idaho logged the biggest percentage increase at 2.6%, while Massachusetts and Montana saw the steepest monthly declines.
Where Are the Strongest Opportunities for Workers and Contractors?
Texas and Wisconsin represent two distinct models of growth. Texas tops the charts on volume, driven by a full pipeline of data centers, logistics facilities and highway work. For tradespeople, that means more openings, stronger odds of overtime and faster paths to foreman or superintendent roles. Wisconsin shows how a smaller market can outpace larger states on a percentage basis when regional projects stack up. Public works, manufacturing expansions and clusters of midsize commercial builds can concentrate hiring in a tight radius. Crews weighing either market should factor in licensing reciprocity, union opportunities, cost of living and housing before committing, since higher pay can be offset by local expenses.
What Risks Could Slow Hiring in the Months Ahead?
Political and policy uncertainty is now a front-line factor for construction hiring. AGC warns that growing local opposition to data centers and unclear federal highway and transit funding could slow future job growth. Data center projects sustain specialty trades and drive demand for concrete, electrical and mechanical work, while federal transportation dollars underpin multi-year heavy civil jobs. Meanwhile, California’s downturn illustrates what happens when project mix shifts and permitting drags. Workers and firms in cooling markets should track permitting debates and the federal funding calendar closely, since both directly affect pipeline visibility, bid strategy and wage pressure. In softer states, sharpening pursuit of funded infrastructure, healthcare and manufacturing work can help offset slower private-sector starts.
(Note: AI assisted in summarizing the key points for this story.)