Showing posts with label Economics. Show all posts
Showing posts with label Economics. Show all posts

Wednesday, January 3, 2018

Construction Jobs Increase in 40 States Between November 2016 and November 2017; 39 States Added Jobs Between October and November



Forty states added construction jobs between November 2016 and November 2017, while 39 states added construction jobs between October and November, according to an analysis by the Associated General Contractors of America of Labor Department data released today. Association officials noted that firms in most states are adding jobs amid expectations that demand will continue to grow thanks to new tax cuts and regulatory reforms.

“There were robust construction gains in most parts of the country as the economy continues to expand,” said Stephen E. Sandherr, chief executive officer for the association.  “Demand should continue to grow as newly enacted tax cuts and regulatory reforms stimulate even more widespread economic growth.”

Dodge Momentum Index Remains Strong in November



NEW YORK – December 7, 2017 – The Dodge Momentum Index surged again in November, climbing 13.9% to 149.5 (2000=100) from the revised October reading of 131.3. The Momentum Index is a monthly measure of the first (or initial) report for nonresidential building projects in planning, which have been shown to lead construction spending for nonresidential buildings by a full year. The November increase was the second month of strong gains after a four-month period of softness. November’s advance was the result of healthy gains in both the commercial and institutional sectors. From October to November, the commercial portion of the Momentum Index advanced 19.6%, while the institutional portion grew 5.5%. On a year-over-year basis, the Momentum Index is now nearly 21% higher, with the commercial portion up 24% and the institutional side up 17%. The turnaround in October and November suggest that building activity should continue to expand in 2018.

In November, 21 projects each with a value of $100 million or more entered planning. For the commercial building sector, the largest projects include a $300 million mixed use facility containing two hotels at Atlanta’s Hartsfield-Jackson Airport and a $230 million Hayden Ave Life Sciences office campus in Lexington MA. The leading institutional projects were a $200 million UPMC Vision and Rehabilitation Hospital in Pittsburgh PA and a $200 million project that will provide additions and alterations for several schools within the Uniondale (NY) School District.




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About Dodge Data & Analytics

: Dodge Data & Analytics is North America’s leading provider of analytics and software-based workflow integration solutions for the construction industry. Building product manufacturers, architects, engineers, contractors, and service providers leverage Dodge to identify and pursue unseen growth opportunities and execute on those opportunities for enhanced business performance. Whether it’s on a local, regional or national level, Dodge makes the hidden obvious, empowering its clients to better understand their markets, uncover key relationships, size growth opportunities, and pursue those opportunities with success. The company’s construction project information is the most comprehensive and verified in the industry. Dodge is leveraging its 100-year-old legacy of continuous innovation to help the industry meet the building challenges of the future. To learn more, visit www.construction.com.


Architecture billings upturn shows broad strength



Business conditions continue to reflect healthy construction market


Washington, D.C. – December 20, 2017 – Even with the uncertainty related to pending tax reform legislation that likely will have a mixed effect on the construction industry, design services at architecture firms remains in high demand. The American Institute of Architects (AIA) reported the November ABI score was 55.0, up from a score of 51.7 in the previous month. This score reflects an increase in design services provided by U.S. architecture firms (any score above 50 indicates an increase in billings). The new projects inquiry index was 61.1, up from a reading of 60.2 the previous month, while the new design contracts index rose slightly from 52.8 to 53.2.

“Not only are design billings overall seeing their strongest growth of the year, the strength is reflected in all major regions and construction sectors,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “The construction industry continues to show surprising momentum heading into 2018.”

Key November ABI highlights:

•           Regional averages: West (54.8), Northeast (52.8), South (52.8), Midwest (50.4)
•           Sector index breakdown: multi-family residential (53.9), mixed practice (53.6), commercial / industrial (53.3), institutional (52.4)
•           Project inquiries index: 61.1
•           Design contracts index: 53.2

The regional and sector categories are calculated as a 3-month moving average, whereas the national index, design contracts and inquiries are monthly numbers.

About the AIA Architecture Billings Index

The Architecture Billings Index (ABI), produced by the AIA Economics & Market Research Group, is a leading economic indicator that provides an approximately nine to twelve month glimpse into the future of nonresidential construction spending activity. The diffusion indexes contained in the full report are derived from a monthly “Work-on-the-Boards” survey that is sent to a panel of AIA member-owned firms. Participants are asked whether their billings increased, decreased, or stayed the same in the month that just ended as compared to the prior month, and the results are then compiled into the ABI.  These monthly results are also seasonally adjusted to allow for comparison to prior months. The monthly ABI index scores are centered around 50, with scores above 50 indicating an aggregate increase in billings, and scores below 50 indicating a decline. The regional and sector data are formulated using a three-month moving average. More information on the ABI and the analysis of its relationship to construction activity can be found in the recently released White Paper, Designing the Construction Future: Reviewing the Performance and Extending the Applications of the AIA’s Architecture Billings Index on the AIA web site.


Source: AIA

Wednesday, December 27, 2017

EMPLOYER COSTS FOR EMPLOYEE COMPENSATION – SEPTEMBER 2017


Employer costs for employee compensation averaged $35.64 per hour worked in September 2017, the U.S. Bureau of Labor Statistics reported today. Wages and salaries averaged $24.33 per hour worked and accounted for 68.3 percent of these costs, while benefit costs averaged $11.31 and accounted for the remaining 31.7 percent. Total employer compensation costs for private industry workers averaged $33.55 per hour worked in September 2017. Total employer compensation costs for state and local government workers averaged $48.78 per hour worked in September 2017.
 
Highlights of employer compensation costs per hour worked for state and local government workers, September 2017:

• State and local government employers spent an average of $48.78 per hour worked for employee total compensation.

• Employer costs for wages and salaries averaged $30.54 per hour and accounted for 62.6 percent of compensation costs. (See table 3.)

• Employer costs for benefits averaged $18.24 per hour worked and accounted for the remaining 37.4 percent. (See table 3.)

• Employer costs by occupational group ranged from $33.64 per hour worked for sales and office workers to $58.76 per hour worked for management, professional, and related workers.

This major occupational group includes teachers, whose compensation costs averaged $64.77 per hour worked. Service workers averaged $35.59. (See table 4.)

• Employers spent $5.56 per hour worked, or 11.4 percent of total compensation for retirement and savings benefits. (See table 3.)

• Employer costs for retirement and savings for management, professional, and related workers averaged $6.68 per hour worked. Employer costs for retirement and savings for sales and office workers averaged $3.44, and service workers averaged $4.48. (See table 4.)

• Included in retirement and savings benefits were employer costs for defined benefit plans, which averaged $5.16 per hour (10.6 percent of total compensation), and defined contribution plans, which averaged 39 cents (0.8 percent). (See chart 2 and table 3.)

• Insurance benefit costs averaged $5.80 per hour, or 11.9 percent of total compensation.

The largest component of insurance costs was health insurance, which averaged $5.65, or 11.6 percent of total compensation. (See chart 2 and table 3.)

• Employer costs for paid leave include vacation, holiday, sick leave, and personal leave.

The average cost for paid leave was $3.68 per hour worked for state and local government employees. (See table 3.)

• Employer costs for legally required benefits, including Social Security, Medicare, unemployment insurance (both state and federal), and workers’ compensation, averaged $2.71 per hour worked. (See table 3.)
Benefit costs in private industry.

Private industry employer costs for paid leave averaged $2.32 per hour worked or 6.9 percent of total compensation, supplemental pay averaged $1.19 or 3.6 percent, insurance benefits averaged $2.68 or 8.0 percent, retirement and savings costs averaged $1.39 or 4.1 percent, and legally required benefits averaged $2.62 per hour worked or 7.8 percent. (See table A and table 5.)

Table A.  Relative importance of employer costs for employee compensation, September 2017

Compensation                         Civilian       Private      State and local
  component                             workers(1)     industry       government
____________________________________________________________________________
Wages and salaries                  68.3%          69.6%            62.6%
Benefits                                   31.7           30.4             37.4
   Paid leave                            7.0            6.9              7.5
   Supplemental pay                 3.1            3.6              1.0
   Insurance                             8.7            8.0             11.9
     Health                                8.3            7.5             11.6
   Retirement and savings         5.5            4.1             11.4
     Defined benefit                   3.5            1.9             10.6
     Defined contribution           2.0            2.2              0.8
   Legally required                   7.4            7.8              5.6
_____________________________________________________________________________ 1 Includes workers in the private nonfarm economy except those in private households, and
     workers in the public sector, except the federal government.

The PDF version of the news release

Supplemental Files Table of Contents

Table of Contents 

Source: BLS