By Robin MacLennan for North Carolina Construction News
Construction employment rose in 34 states and the District of Columbia between December 2024 and December 2025, with North Carolina among the top-performing states, according to new federal data analyzed by the Associated General Contractors of America (AGC).
The state added 14,400 construction jobs over the year, a 5.3 percent increase, trailing only Texas nationally and placing North Carolina near the top in the Southeast. Ohio, Missouri, and Illinois also posted strong annual gains, while Hawaii had the largest percentage increase nationwide at 8.7 percent.
“Although a majority of states added construction employees over the year, employment has stalled in the latest month,” said Ken Simonson, AGC chief economist. “Too many projects have been postponed or canceled due to lack of funding, financing costs, or policy uncertainty about tariffs and immigration enforcement.”
Nationally, California (-19,800 jobs) and Nevada (-10,500 jobs) recorded the largest annual losses, while Minnesota experienced the steepest December-to-December monthly decline (-9,900 jobs, -6.6 percent). In North Carolina, construction employment remained strong compared with most other states, though some monthly fluctuations were reported.
AGC officials emphasized that uncertainty over federal highway and infrastructure funding is contributing to stagnant employment in some regions. They urged Congress to enact the next surface transportation program before the current authorization expires on September 30.
“Contractors need to know that highway funds will keep flowing before they can commit to hiring or retaining essential workers,” said AGC CEO Jeffrey D. Shoaf. “It’s imperative that Washington provide that certainty by working now on the specifics of the next surface transportation bill.”
The data highlight a regional divide in construction employment: the Southeast, including North Carolina, continues to add jobs and support economic growth, while parts of the West and Northeast face workforce pressures due to project delays and funding uncertainty.