U.S. construction jobless rate jumps in November

The national construction industry jobless rate rose to 12.2 percent in November, after registering at 11.4 percent in October.

During the month, employment in the industry fell by 20,000 jobs, according to a news release from Associated Builders and Contractors Inc., a national trade association representing 22,000 merit shop firms.

ABC Economist Anirban Basu pointed to the contrast in the construction unemployment rate and the overall U.S. unemployment rate, which fell by two-tenths of a point to 7.7 percent in November.

“If there was any question that the construction industry continues to struggle in this economy, the Labor Department employment report provided the answer," Basu said in the release.

Overall nonfarm payroll employment rose by 146,000 jobs last month.

Within the construction industry, the nonresidential building sector lost 4,300 jobs last month, the residential building sector dropped 6,800 jobs and nonresidential special trade contractors lost 7,400 jobs. Partially offsetting the losses was a gain in the residential special trade sector, at 3,200 jobs, according to the release.

“The overall economy continues to expand, and there is evidence to suggest the existence of pent-up demand for construction,” Basu said in the release. “However, this demand is tempered by a sea of uncertainty, much of which originates from Washington, D.C."