Steel Markets
April 7, 2020
COVID-19 Layoffs Accelerating in Construction
Written by Sandy Williams
Layoffs are rapidly increasing at construction firms, says a new survey by the Associated General Contractors of America. Twenty-seven percent of firms surveyed by AGC this week reported layoffs as a result of the COVID-19 crisis, contrasting with government data for March showing construction employment declining by 29,000 as of mid-month.
“The March employment data does a better job reflecting market conditions before the pandemic than it does the widespread disruptions that have occurred during the past few weeks,” said Ken Simonson, the association’s chief economist. He noted that the federal employment figures are based on payrolls as of March 12, when relatively few states or individual owners had directed contractors to stop work. “Our survey, meanwhile, indicates rapidly deteriorating labor and market conditions for the construction sector.”
