AGC's Data DIGest: April 20-24, 2026

Why It Matters

The mixed employment and start‑up data signal a sector in transition, with commercial activity rebounding while residential demand weakens, influencing investment, labor allocation, and future growth forecasts.

Key Takeaways

• Florida added 1,100 construction jobs, highest monthly gain.
• New Jersey lost 5,900 jobs, biggest monthly decline.
• Nonresidential starts rose 47% YTD, commercial up 103%.
• Residential starts fell 28% YTD, single‑family down 26%.
• Architecture Billings Index hit 49.8, just below expansion signal.

Pulse Analysis

April’s construction employment report paints a nuanced picture of regional labor dynamics. While 22 states posted modest gains, the overall picture is tempered by significant losses in New Jersey, New York, and Illinois, reflecting localized slowdown amid broader hiring. Year‑over‑year data shows Texas leading with a 2.7% increase, yet California’s 1.2% decline underscores persistent headwinds in the West. These shifts influence contractor staffing strategies and may affect material procurement patterns as firms adjust to state‑specific demand fluctuations.

Construction starts tell a story of sectoral divergence. Total starts are marginally down 0.5% YTD, but nonresidential activity surged 47%, propelled by a 103% jump in commercial projects—particularly office and data‑center builds that leapt 382%. Conversely, residential starts slumped 28%, with single‑family homes down 26% and apartments down 17%. Engineering starts rose modestly, led by electric‑power infrastructure (+21%). This bifurcation suggests capital is flowing toward higher‑margin, technology‑driven projects while traditional housing markets grapple with affordability and supply constraints.

The near‑breakout Architecture Billings Index (ABI) at 49.8 signals that the industry may be on the cusp of a turnaround, as sub‑indexes for institutional, commercial/industrial, and multifamily all moved above the 50 mark for the first time since mid‑2022. Coupled with a growing interest among young adults—construction trades now attract 6% of career‑oriented respondents, double the 2016 figure—these indicators hint at a potential labor pipeline boost. Meanwhile, AGC’s upcoming work‑zone safety survey underscores the sector’s focus on operational risk mitigation as traffic volumes rise ahead of the summer travel season.