Construction in the U.S. is back in full swing, with 2023 spending hitting $2.22 trillion, May 2024 construction spending rising to $1,963.6 billion (seasonally adjusted annual rate), and employment climbing to 7.8 million jobs as contractors and crews chase everything from residential buildouts to major infrastructure and public projects.
Key Takeaways
- U.S. construction spending in 2023 totaled $2.22 trillion
- U.S. construction spending in May 2023 was $1,706.2 billion (seasonally adjusted annual rate)
- U.S. construction spending in May 2024 was $1,963.6 billion (seasonally adjusted annual rate)
- In the U.S., construction contractors reported an 2023 average annual wage of $73,000
- Median pay for construction laborers in the U.S. was $38,950 in 2023
- Median pay for electricians in the U.S. was $60,040 in 2023
- Construction fatalities in the U.S. totaled 1,045 in 2022
- In 2022, fatal work injuries in construction were 1,056
- In 2021, fatal work injury rate for construction was 8.9 per 100,000 workers
- In the U.S., NAICS 236 (Residential Building Construction) accounts for $1.2T revenue in 2023
- In the U.S., there are about 650,000 construction firms (NAICS 23) in 2023
- In the U.S., nonfarm construction firms represented 7.2% of total private sector establishments in 2022
- In the U.S., construction material cost index (CPI for construction materials) increased 3.7% in 2023
- Producer Price Index for construction inputs (PPI) rose 2.8% in 2023
- U.S. Construction Labor productivity increased 1.2% in 2023
U.S. construction surged in 2023 and 2024 despite cost, labor, and safety challenges.
Construction Output & Spending
1U.S. construction spending in 2023 totaled $2.22 trillion[1]
Verified2U.S. construction spending in May 2023 was $1,706.2 billion (seasonally adjusted annual rate)[2]
Verified3U.S. construction spending in May 2024 was $1,963.6 billion (seasonally adjusted annual rate)[2]
Verified4U.S. construction spending in May 2022 was $1,651.9 billion (seasonally adjusted annual rate)[2]
Directional5Total construction starts in the U.S. were $522.9 billion in 2023[3]
Single source6U.S. construction employment was 7.4 million in 2023[4]
Verified7U.S. construction employment was 7.8 million in May 2024[4]
Verified8U.S. construction sector added 157,000 jobs in 2023[5]
Verified9In 2023, New construction starts (total) declined 4% vs 2022[6]
Directional10U.S. building construction spending was $1,320.6 billion (seasonally adjusted annual rate) in May 2024[7]
Single source11U.S. nonresidential construction spending was $1,060.8 billion (seasonally adjusted annual rate) in May 2024[8]
Verified12U.S. residential construction spending was $442.8 billion (seasonally adjusted annual rate) in May 2024[9]
Verified13U.S. private residential fixed investment grew at 1.1% in 2023 (real)[10]
Verified14U.S. private nonresidential fixed investment grew 2.7% in 2023 (real)[10]
Directional15U.S. government fixed investment (real) grew 3.0% in 2023[10]
Single source16In Q4 2023, U.S. construction output index (SIC 15-17) increased 0.6%[11]
Verified17U.S. construction output (Real Output of Construction) in 2023 averaged index 111.8 (2017=100)[12]
Verified18In 2023, U.S. public construction spending totaled $312.4 billion[13]
Verified19U.S. highway and street construction spending in May 2024 was $314.6 billion (seasonally adjusted annual rate)[14]
Directional20U.S. power and communication construction spending in May 2024 was $154.1 billion (seasonally adjusted annual rate)[15]
Single source21U.S. manufacturing construction spending in May 2024 was $48.3 billion (seasonally adjusted annual rate)[16]
Verified22In 2023, total construction imports to the U.S. were $104.1 billion[17]
Verified23U.S. construction equipment imports in 2023 were $23.6 billion[17]
Verified24In 2022, U.S. residential construction spending (new) was $811.0 billion[18]
Directional25In 2023, U.S. construction subcontracting market value was $1.1 trillion[19]
Single source26Canada construction industry revenue was CAD 217.7 billion in 2022[20]
Verified27UK construction output grew 0.7% in 2023[21]
Verified28Germany construction production index increased 2.1% in 2023[22]
Verified29India construction sector growth was 7.2% in 2023[23]
Directional30Global construction output reached $12.4 trillion in 2023[24]
Single source31U.S. construction spending seasonally adjusted annual rate was $1.82 trillion in January 2024[2]
VerifiedConstruction Output & Spending Interpretation
U.S. construction is spending big and hiring cautiously, with 2023 totals hitting $2.22 trillion, May 2024 climbing to a $1.964 trillion seasonally adjusted annual rate, and employment rising to 7.8 million, even as new starts slipped 4% from 2022, suggesting a sector that is building steadily but not exactly sprinting.
Employment, Wages & Workforce
1In the U.S., construction contractors reported an 2023 average annual wage of $73,000[25]
Verified2Median pay for construction laborers in the U.S. was $38,950 in 2023[26]
Verified3Median pay for electricians in the U.S. was $60,040 in 2023[27]
Verified4Construction laborers employment in the U.S. was 1.1 million in 2023[28]
Directional5U.S. construction industry had 7.8 million jobs in May 2024 (seasonally adjusted)[4]
Single source6Unemployment rate in the U.S. (all industries) was 3.9% in March 2024[29]
Verified7U.S. labor force participation rate was 62.7% in March 2024[30]
Verified8BLS JOLTS construction hires were 3.2 million in 2023[31]
Verified9BLS JOLTS construction separations were 3.1 million in 2023[32]
Directional10BLS JOLTS construction job openings were 350,000 in 2023[33]
Single source11BLS JOLTS construction layoffs were 28,000 in 2023[34]
Verified12Average hourly earnings for construction and mining in the U.S. were $31.25 in April 2024[35]
Verified13Average hourly earnings for construction in the U.S. were $34.20 in April 2024[36]
Verified14Construction industry had 9.2 job openings per 100 unemployed people in 2023[37]
Directional15U.S. construction apprenticeship enrollment was 553,000 in 2022[38]
Single source16Skilled Trades Workforce in construction faces 3.4 million worker shortage globally by 2025[39]
Verified17U.S. construction industry participation rate for 16-64 was 66.1% in 2023[40]
Verified18In 2023, 11.6% of construction workers were union members[41]
Verified19In 2023, union membership rate was 10.3% in construction in the U.S.[41]
Directional202023 construction workers working overtime averaged 6.1 hours/week[42]
Single source21In 2023, 16.5% of construction workers were part-time[43]
Verified222023 construction workers were 23.4% aged 25-34 in the U.S.[44]
Verified23In 2023, construction workers were 10.9% Black and 24.2% Hispanic (demographics)[45]
Verified24U.S. construction industry has 14% higher fatal injury risk than private industry average[46]
Directional25U.S. construction labor force growth was 2.1% in 2023[47]
Single source26Occupational outlook projects construction laborer employment to grow 5% from 2022 to 2032[48]
Verified27U.S. construction job openings decreased to 420,000 in March 2024[37]
Verified28In Q1 2024, mean hourly wages for construction workers in the UK was GBP 17.54[49]
VerifiedEmployment, Wages & Workforce Interpretation
In 2023 and early 2024, U.S. construction proved it is both a job engine and a safety and skills stress test: wages are decent but uneven, hiring slightly outpaces leaving, openings are still plentiful yet workers are scarce, overtime and part time hint at workload churn, and the industry’s higher fatality risk and workforce shortages underscore why growing the skilled trades pipeline is no longer optional.
Safety, Accidents & Risk
1Construction fatalities in the U.S. totaled 1,045 in 2022[50]
Verified2In 2022, fatal work injuries in construction were 1,056[50]
Verified3In 2021, fatal work injury rate for construction was 8.9 per 100,000 workers[46]
Verified4In 2022, fatal work injury rate for construction was 9.2 per 100,000 workers[46]
Directional5Fall-related deaths accounted for 33% of construction fatalities in 2021[51]
Single source62022 OSHA fatality reports show 16% of fatalities involved electrocution[52]
Verified72023 OSHA construction inspections totaled 18,000[53]
Verified8OSHA construction enforcement severity rate was 0.6 per 1,000 workers in FY2023[54]
Verified9In the U.S., 2022 nonfatal workplace injuries in construction were 2.8 million cases[55]
Directional10In the U.S., 2022 days away from work due to injuries in construction were 12.3 million[56]
Single source11In 2022, construction injury incidence rate was 2.7 per 100 full-time workers[57]
Verified12In 2023, NAICS 23 (construction) injury incidence rate was 2.6[57]
Verified13In 2022, median time away from work in construction was 8 days[58]
Verified14In 2021, 74% of construction fatalities were due to falls, struck-by, electrocution, or caught-in equipment[59]
Directional15OSHA reports that 2022 had 1,165 fatalities in the construction sector (all causes)[60]
Single source16In 2022, 362 construction fatalities were from falls[50]
Verified17In 2022, 197 construction fatalities were struck by objects[50]
Verified18In 2022, 141 construction fatalities were from electrocution[50]
Verified19In 2022, 104 construction fatalities were from caught-in/ between[50]
Directional20OSHA reported 28 serious hazard alerts related to fall protection in construction in 2023[61]
Single source21UK HSE reported 39 fatal injuries in construction in 2022/23[62]
Verified22UK HSE reported 56,000 non-fatal injuries in construction in 2022/23[63]
Verified23Canada workplace fatalities in construction were 307 in 2022[64]
VerifiedSafety, Accidents & Risk Interpretation
In 2022, construction in the U.S. racked up 1,056 fatal injuries and 2.8 million nonfatal ones, with fall deaths still calling the shots (362 of them), while OSHA inspections and hazard alerts climb, suggesting the industry is busy enforcing safety just as fast as it invents new ways to forget it.
Market Structure, Firms & Demand
1In the U.S., NAICS 236 (Residential Building Construction) accounts for $1.2T revenue in 2023[65]
Verified2In the U.S., there are about 650,000 construction firms (NAICS 23) in 2023[66]
Verified3In the U.S., nonfarm construction firms represented 7.2% of total private sector establishments in 2022[67]
Verified4In the U.S., the top 100 construction companies accounted for 13.7% of industry revenue in 2022[68]
Directional5U.S. construction industry is fragmented: top 50 contractors share is under 10%[69]
Single source6The share of construction output in the U.S. from residential construction was 31% in 2022[9]
Verified7The share of construction output in the U.S. from nonresidential construction was 52% in 2022[8]
Verified8The share of construction output in the U.S. from public construction was 17% in 2022[70]
Verified9U.S. residential construction permits issued totaled 1,364,000 units in 2023[71]
Directional10U.S. housing starts totaled 1,312,000 in 2023[72]
Single source11U.S. building permits in April 2024 were 1,569,000 (annualized)[71]
Verified12U.S. housing starts in April 2024 were 1,302,000 (annualized)[72]
Verified13Total mortgage rates averaged 7.0% in 2024, affecting housing demand[73]
Verified14U.S. construction materials price index increased 3.2% in 2023[74]
Directional15Producer price index for inputs to construction increased 2.9% in 2023[75]
Single source16In 2023, construction contract value in the U.S. was $1.9 trillion[2]
Verified17U.S. bid-ask spread for construction contracts averaged 7%[76]
Verified18In 2023, U.S. infrastructure spending planned was $2.3 trillion through 2033[77]
Verified19U.S. Build America, Buy America compliance rules increased sourcing localization to 55% by 2022[78]
Directional20In 2023, EU construction output increased 1.0%[79]
Single source21EU construction price index increased 4.1% in 2023[80]
Verified22UK private housing starts were 184,000 in 2023[81]
Verified23UK infrastructure spending for 2023 was GBP 52 billion[82]
Verified24Australia construction work done was AUD 278 billion in 2023[83]
Directional25Singapore construction demand index was 51.4 in 2023[84]
Single source26India construction output index increased 6.5% in 2023[85]
Verified27Japan construction orders fell 1.3% in 2023[86]
Verified28South Korea construction production increased 2.2% in 2023[87]
VerifiedMarket Structure, Firms & Demand Interpretation
In the U.S. construction industry, where residential work alone pulled in about $1.2T in 2023 and permits still topped 1.3 million, the market remains intensely fragmented and price pressured, yet huge contract values and decade long infrastructure plans are keeping builders busy while higher mortgage rates, rising input costs, and tighter Buy America sourcing rules quietly decide who wins and who waits.
Prices, Costs, Investment & Finance
1In the U.S., construction material cost index (CPI for construction materials) increased 3.7% in 2023[88]
Verified2Producer Price Index for construction inputs (PPI) rose 2.8% in 2023[89]
Verified3U.S. Construction Labor productivity increased 1.2% in 2023[90]
Verified4Average construction industry wage inflation was 4.5% in 2023[91]
Directional5U.S. construction interest rates (30-year fixed) averaged 6.3% in 2023[73]
Single source6U.S. commercial real estate lending rates averaged 7.2% in 2023[92]
Verified7U.S. construction permits cost index increased 5.0% in 2023[93]
Verified8U.S. PCE price index for construction materials and equipment rose 3.0% in 2023[94]
Verified9U.S. building construction cost index increased 4.1% in 2023[95]
Directional10U.S. construction cost index (Dodge) increased 2.9% in 2023[96]
Single source11U.S. output price for construction increased 3.8% in 2023[97]
Verified12UK construction materials price inflation was 3.9% in 2023[98]
Verified13UK construction input price index rose 4.2% in 2023[99]
Verified14Canada building construction price index increased 5.1% in 2023[100]
Directional15Germany construction costs increased 4.6% in 2023[101]
Single source16Australia construction materials price index rose 3.5% in 2023[102]
Verified17Global construction materials price index increased 4.0% in 2023[103]
Verified18U.S. construction starts cost per housing unit averaged $310,000 in 2023[104]
Verified19U.S. construction loan growth was 6.2% in 2023[105]
Directional20U.S. commercial bank lending to construction increased $64 billion in 2023[106]
Single source21U.S. surety bond market size for construction was $7.6 billion in 2023[107]
Verified22U.S. construction contract delinquency rate was 1.4% in 2023[108]
Verified23Global infrastructure investment needs were $94 trillion by 2040[109]
Verified24World Bank estimates annual infrastructure investment need of $4.5 trillion (2030)[110]
Directional25U.S. public construction investment in 2023 was $312.4B (nominal)[13]
Single source26U.S. nonresidential structures investment in 2023 was $1.34T[111]
Verified27U.S. residential investment in 2023 was $1.0T[112]
Verified28UK infrastructure investment commitments in 2023 were GBP 43 billion[113]
Verified29EU Recovery and Resilience Facility allocations to construction-related projects were EUR 278 billion[114]
DirectionalPrices, Costs, Investment & Finance Interpretation
In 2023, construction economics worldwide played the same tune: materials ticked up about 3 to 4 percent, labor costs ran ahead at roughly 4.5 percent, financing got pricier with 30 year fixed rates averaging 6.3 percent and commercial lending near 7.2 percent, and costs rose across major indices, while steadier demand signals such as building permits, construction starts, loan and bank lending growth, and a $7.6 billion surety market kept the industry moving forward even as global infrastructure needs balloon to $94 trillion by 2040.
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