From the towering cranes that dot Seattle's skyline to the infrastructure projects connecting our communities, Washington's construction industry is the powerful and often overlooked engine of our state's economy, directly employing nearly 200,000 workers and contributing over $28 billion to our GDP.
Key Takeaways
- In 2023, Washington state's construction industry employed 198,400 workers, accounting for 5.8% of total nonfarm employment
- Construction employment in Washington grew by 4.2% from 2022 to 2023, adding 8,000 jobs
- Average hourly wage for construction workers in Washington was $32.45 in May 2023, higher than the national average of $28.12
- Washington's construction industry contributed $28.4 billion to GDP in 2022, representing 7.2% of state GDP
- Construction sector gross output reached $52.7 billion in Washington in 2022
- Total construction spending in Washington was $45.2 billion in 2023, up 6.8% from 2022
- Construction permits issued totaled 89,200 in Washington 2023, value $38.5 billion
- Single-family housing starts 22,400 units in 2023, down 8% from 2022
- Multifamily units permitted 15,600 in 2023, value $7.2 billion
- Washington's construction fatality rate was 12.4 per 100,000 full-time workers in 2022
- Total reportable construction injuries 8,200 cases in WA 2022
- Fall from height incidents accounted for 42% of construction fatalities 2018-2022
- Washington's construction industry projected 3.5% annual employment growth through 2030
- Modular construction market to grow 12% CAGR to 2028 in WA
- Sustainable building certifications (LEED) increased 22% to 450 projects 2023
Washington's construction industry is a major and growing source of employment and economic activity.
Construction Projects and Permits
- Construction permits issued totaled 89,200 in Washington 2023, value $38.5 billion
- Single-family housing starts 22,400 units in 2023, down 8% from 2022
- Multifamily units permitted 15,600 in 2023, value $7.2 billion
- Office building permits $2.1 billion valuation 2023
- Retail commercial permits 4,200 projects, $1.8 billion total 2023
- Manufacturing facilities permits value $3.4 billion in 2023
- Highway and street construction contracts awarded $2.9 billion 2023
- WSDOT awarded 1,250 construction contracts totaling $4.1 billion in 2023
- King County issued 45,600 building permits in 2023
- Seattle residential permits 12,800 units authorized 2023
- New hotel/motel construction permits $850 million value 2023
- Educational building permits $1.9 billion in WA 2023
- Healthcare facility permits 2,100 projects, $2.3 billion 2023
- Religious buildings permits value $210 million 2023
- Amusement/recreation permits $650 million valuation 2023
- Public safety construction permits $450 million 2023
- Transportation terminal permits $1.2 billion value 2023
- Water supply/sewer permits 3,400 projects, $1.7 billion 2023
- Sound Transit light rail extensions under construction 15 miles in 2023
- I-5 corridor improvement projects 12 active, $1.8 billion total 2023
- Demolition permits issued 8,900 in WA 2023
- Renovation/alteration permits value $12.6 billion 2023
- New privately-owned housing units authorized 38,200 in 2023
- Commercial/industrial permits in Spokane County 1,450, $950 million 2023
- Pierce County building permits 28,400 issued 2023
Construction Projects and Permits Interpretation
Washington's construction industry in 2023 was a paradoxical powerhouse, where the robust $12.6 billion renovation wave eloquently whispered "make do and mend" while $38.5 billion in new permits loudly proclaimed "out with the old, in with the new."
Economic Contributions
- Washington's construction industry contributed $28.4 billion to GDP in 2022, representing 7.2% of state GDP
- Construction sector gross output reached $52.7 billion in Washington in 2022
- Total construction spending in Washington was $45.2 billion in 2023, up 6.8% from 2022
- Residential construction value added $12.1 billion to WA economy in 2022
- Nonresidential construction contributed $16.3 billion to GDP in 2022
- Construction taxes paid to state totaled $1.8 billion in FY2023
- Associated General Contractors of Washington reported member firms generated $20.5 billion in revenue 2022
- Heavy construction segment output $15.4 billion in 2022
- Specialty trade contractors contributed $22.6 billion in value added 2022
- Construction payroll taxes amounted to $2.9 billion in Washington 2023
- Multiplier effect of construction spending estimated at 2.8x for WA economy
- Construction supported 1 in 17 jobs statewide through direct and indirect effects 2022
- Private construction investment $32.8 billion in 2023
- Public sector construction spending $12.4 billion in FY2023
- Construction exports (services) valued at $1.2 billion from WA in 2022
- Construction industry sales tax revenue $850 million in 2023
- Foundation, structure, building exterior contractors revenue $10.3 billion 2022
- Electrical contractors revenue $6.7 billion in WA 2023 estimate
- Plumbing contractors $4.2 billion revenue 2022
- Construction material wholesale $8.9 billion sales 2023
- Property tax from new construction added $450 million annually
- Construction R&D expenditure $320 million in WA 2022
- Venture capital in WA construction tech $150 million in 2023
- Induced economic impact from construction wages $9.6 billion 2022
Economic Contributions Interpretation
While often causing temporary headaches for commuters, Washington's construction industry is the state's economic backbone, quietly laying a foundation of billions in GDP, taxes, and jobs with every nail hammered and beam raised.
Employment Statistics
- In 2023, Washington state's construction industry employed 198,400 workers, accounting for 5.8% of total nonfarm employment
- Construction employment in Washington grew by 4.2% from 2022 to 2023, adding 8,000 jobs
- Average hourly wage for construction workers in Washington was $32.45 in May 2023, higher than the national average of $28.12
- Heavy and civil engineering construction subsector employed 25,600 workers in Washington in 2023
- 12.5% of Washington's construction workforce were women in 2022, up from 10.8% in 2018
- There were 4,200 apprenticeship registrations in construction trades in Washington in 2023
- Hispanic or Latino workers comprised 28.3% of Washington's construction workforce in 2022
- Construction supervisors in Washington earned a mean annual wage of $92,500 in 2023
- 15,300 construction laborers were employed in the Seattle metro area in 2023
- Union membership rate in Washington's construction industry was 22.4% in 2022
- Carpenter employment in Washington totaled 18,900 in May 2023 with mean wage $28.75/hour
- Electricians in construction numbered 12,400 in Washington, average wage $38.20/hour in 2023
- Plumbers, pipefitters, and steamfitters employment was 9,800 with $40.15/hour mean wage
- Operating engineers and equipment operators: 11,200 employed, $35.60/hour average
- Construction managers: 7,500 employed statewide, mean annual $128,400
- Ironworkers employment grew 5.1% year-over-year to 2,100 in 2023
- Sheet metal workers: 3,400 employed, $32.80/hour mean wage
- Roofers: 2,900 workers, average $26.45/hour
- Painters and paperhangers: 5,200 employed, $24.90/hour mean
- Drywall installers: 3,100 workers, $28.15/hour average wage 2023
- Glaziers: 1,800 employed, $29.40/hour mean
- Construction and building inspectors: 1,200 workers, $42.50/hour
- Highway maintenance workers: 2,500 in construction-related roles, $31.20/hour
- Cost estimators in construction: 4,100 employed, $38.75/hour mean wage
- First-line supervisors of construction trades: 14,500 workers, $42.10/hour
- Boilermakers: 450 employed in WA construction, $38.90/hour average
- Brickmasons and blockmasons: 1,100 workers, $30.25/hour mean
- Cement masons: 4,500 employed, $29.80/hour
- Paving equipment operators: 1,200 workers, $34.50/hour average 2023
Employment Statistics Interpretation
Washington's construction industry is like a well-built, expanding, and increasingly diverse house, where nearly 200,000 workers are hammering out a sturdy 5.8% of the state's employment, one well-paid but still inequitable nail at a time.
Industry Trends and Outlook
- Washington's construction industry projected 3.5% annual employment growth through 2030
- Modular construction market to grow 12% CAGR to 2028 in WA
- Sustainable building certifications (LEED) increased 22% to 450 projects 2023
- Prefabrication adoption rose to 35% of projects by value 2023
- Labor shortage projected 25,000 unfilled construction jobs by 2025
- BIM usage in WA construction projects reached 78% in 2023
- Drone usage for site surveys up 45% to 1,200 firms 2023
- Green construction materials market $2.1B projected 2025
- Off-site construction share to reach 25% by 2027
- Construction tech investments $280M in WA startups 2023
- Pandemic recovery led to 15% backlog increase to $45B 2023
- Electrification projects backlog $8.2B for 2024-2028
- Mass timber projects permitted 28 in 2023, up 50%
- AI predictive analytics adopted by 42% large contractors 2023
- Supply chain disruptions impacted 68% projects, avg delay 4 months 2023
- Net-zero building mandates drive 30% cost premium 2023
- Robotics in masonry/bricklaying tested in 15 WA projects 2023
- Digital twin technology in 22% megaprojects 2023
- Workforce aging: 35% workers over 50, retirement wave 2025
- Material costs rose 11% YoY for steel/concrete 2023
- Insurance premiums up 18% for high-risk trades 2023
- Public-private partnerships (P3) 8 new projects valued $6B 2023-2025
- 3D printing for housing pilots 5 sites, 120 units 2023
- Cybersecurity incidents in construction up 29% to 420 cases 2023
Industry Trends and Outlook Interpretation
Washington's construction industry is desperately trying to build its way into the future with robots, drones, and green materials, while simultaneously being held back by a graying workforce, stubborn supply chains, and the constant fear that the whole high-tech, net-zero house of cards might collapse from a cyberattack or the sheer cost of it all.
Safety Records
- Washington's construction fatality rate was 12.4 per 100,000 full-time workers in 2022
- Total reportable construction injuries 8,200 cases in WA 2022
- Fall from height incidents accounted for 42% of construction fatalities 2018-2022
- Struck-by incidents 1,450 cases in construction 2022
- L&I issued 2,400 construction safety citations in 2023, fines $4.2 million
- Construction OSHA recordable injury rate 2.8 per 100 workers 2022
- 95% of construction firms with safety programs reduced incidents by 25% avg 2023
- Electrical fatalities 18 in WA construction 2019-2022 average
- Crane-related incidents 12 reported 2023
- Trenching collapse fatalities 5 in WA construction 2022
- Heat-related illnesses in construction 320 cases 2023 summer
- Silica exposure violations 450 citations 2023
- Ladder fall injuries 1,100 cases annually avg 2020-2023
- Musculoskeletal disorders 3,800 construction cases 2022
- Respirable crystalline silica training completed by 85% of firms 2023
- WA construction safety inspections 15,200 conducted 2023
- Fatality rate for roofers 28.1 per 100k workers 2022
- Structural iron/steel workers fatality rate 21.4 per 100k 2022
- Lost workday cases rate 1.2 per 100 workers 2022
- Safety incentive program participation 1,800 firms 2023
- Drug/alcohol testing post-incident 92% compliance 2023
- Forklift overturn incidents 210 cases 2022
- Scaffolding violations 680 citations 2023, fines $1.1M
- Lockout/tagout violations 320 in construction 2023
- PPE non-compliance 1,900 citations 2023
- Excavation safety training reached 12,500 workers 2023
- Construction industry adopted zero-fatality goal, 15% reduction since 2019
- Confined space incidents 180 cases 2022
Safety Records Interpretation
While Washington's construction industry is making strides with safety programs and a commendable zero-fatality goal, the stubbornly high numbers for falls, fatalities, and citations reveal a job site reality where a momentary lapse can still be tragically fatal.
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