2024 Q3 Quarterly Insights
Things are heating up on the construction front—not just here in Kansas City but across the nation. As we dive into a period of dynamic growth, here’s what you need to know to stay ahead in this rapidly evolving landscape.
The Current State of Construction: 9 Key Facts
1 - National Growth
The U.S. construction industry is expected to grow by 5.5% in 2024, reaching $1.8 trillion.
Source: U.S. Bureau of Labor Statistics
2 - Labor Shortage
The construction industry is facing a labor shortage, with 400,000 unfilled jobs as reported by the Associated Builders and Contractors (ABC). This shortage is expected to persist, presenting challenges and opportunities for companies to invest in training and upskilling.
Source: ABC
3 - Employment Surge
Over 200,000 new construction jobs were added nationwide in 2023, with an expected increase of 4% in 2024.
Source: U.S. Bureau of Labor Statistics
4 - Technological Advancements
72% of construction firms are investing in new technology to enhance productivity and safety.
Source: NAWIC and Safe Site Check In
5 - Green Building
Green construction is booming, with a 14% annual growth rate and increasing demand for sustainable materials.
Source: U.S. Green Building Council
6 - Safety First
Construction firms are prioritizing safety training, resulting in a 10% decrease in workplace injuries over the past year.
Source: OSHA
7 - Women in Construction
Female employment in the construction industry has grown by 9%, reflecting efforts to diversify the workforce.
Source: U.S. Department of Commerce
8 - Economic Impact
The construction sector contributes nearly 4% to the national gross domestic product (GDP).
Source: Forbes
9 - Supply Chain Challenges
Material costs remain high, with lumber prices stabilizing but still 30% above pre-pandemic levels.
Source: The Farnsworth Group
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Kansas City Spotlight: Construction Industry News
Job Growth
Kansas City has experienced a boom in construction jobs. The Bureau of Labor Statistics (BLS) predicts that the construction sector will add 790,400 jobs nationally through 2024, with Kansas City being a significant contributor due to its growing number of infrastructure projects.
Wage Growth
Construction workers in Kansas City have seen a significant salary increase, with an average growth of 5.2% in 2023. The current average hourly wage for construction workers in KC is $29.50, with skilled trades earning even higher.
Source: U.S. Bureau of Labor Statistics
investment in Infrastructure
Kansas City is benefiting from major investments in infrastructure, including transportation and public facilities. Some of these projects include the Kansas City Royals ballpark district, the South Loop Project, West Bottoms Redevelopment, Greenline KC, and the redevelopment of the downtown area. These projects are not only improving the city's infrastructure but also creating numerous job opportunities in our industry.
Growing Population
According to the latest data from the Census Bureau, Kansas City’s population growth is outpacing the national average. With a growing population and a strong economy, Kansas City is experiencing increased demand for residential and commercial construction. This growth is fueling the need for skilled construction workers and innovative building solutions.
Healthier Building Practices
Kansas City is seeing significant interest in healthy building certifications, such as the WELL Building Standard. This certification is gaining momentum in the Midwest, reflecting a broader trend towards creating healthier and more sustainable work environments. The WELL Building Standard, administered by the International WELL Building Institute (IWBI), focuses on enhancing human health and well-being through ten core concepts, including air, water, light, and community.
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