Employers cut 92,000 jobs in February, according to the Bureau of Labor Statistics, a reversal of January’s job gains. Economists had predicted a stronger showing, with some forecasting that January’s growth would continue and add 59,000 jobs to the economy.
Revisions also softened the previous two months’ numbers. January jobs numbers were revised down slightly from 130,000 to 126,000, while December’s were reduced more sharply from 48,000 to 17,000. With February’s losses included, the latest report marks the third time in the past five months that payrolls declined.
While the unemployment rate rose from 4.3% to 4.4%, this number is still low overall by historical standards.
The Impact on Construction Jobs
Employment in construction jobs fell by 11,000. Economists speculate that one aspect of this decline may be attributable to slowdowns in construction during freezing weather and snowstorms. Meanwhile, construction unemployment remained steady at 6.9% from the previous month.
Nonresidential construction employment decreased by 3,800, with losses in two out of three subcategories. Heavy and civil engineering lost 6,500 jobs, nonresidential speciality trade lost 1,400 and nonresidential building added 4,100 jobs.
Other sectors lost jobs, including mining and logging (2,000), manufacturing (12,000) and transportation and warehousing (11,000).
Construction employment has declined in eight of the past 11 months. This, in combination with a decrease in construction spending, could forecast a downbeat outlook, according to ABC economists.
