WASHINGTON, Oct. 30—The national September not seasonally adjusted construction unemployment rate was 3.5%, a 0.3% decrease from one year ago. According to a state-by-state analysis of U.S. Bureau of Labor Statistics data released today by Associated Builders and Contractors, all 50 states had a construction unemployment rate below 10% and all but three states (Alaska, Minnesota and North Dakota) had a rate below 6%.
All 50 States Had a Construction Unemployment Rate Below 10% in September
National NSA payroll construction employment was 103,000 higher than in September 2025. Seasonally adjusted payroll construction employment was 8.4 million, or 9.9% above its pre-pandemic peak of 7.6 million.
Estimated state construction unemployment rates were lower than their pre-pandemic (February 2020) level in 39 states. As of September 2026, 17 states had lower construction unemployment rates compared to September 2019, 31 states had higher rates and two (California and New Hampshire) had the same rate.
“The construction industry is facing increased energy prices, materials prices and labor costs, while longstanding issues of higher insurance premiums, tariffs on building materials, shortages of skilled labor and rising interest rates continue to plague the industry,” said Bernard Markstein, president and chief economist of Markstein Advisors, who conducted the analysis for ABC. “Data center construction is also absorbing a significant share of available skilled labor and contributing to elevated building materials prices.”
Recent Month-to-Month Fluctuations
In September, the national NSA construction unemployment rate rose 0.4% from August. Among the states, only four had lower rates, 44 posted higher rates and two (Maryland and Oregon) had the same estimated construction unemployment rates as in August.
The Top States
The six states with the lowest estimated NSA construction unemployment rates for September were:
- Maryland, 1.7%
- North Carolina, 1.8%
- Georgia and Tennessee (tie), 2.1%
- South Carolina and Utah (tie), 2.2%
Maryland had its lowest September NSA estimated construction unemployment rate on record at 1.7%. North Carolina (1.8%) and Tennessee (2.1%) had their second lowest construction unemployment rate on record, behind 1.6% (2019) and 2.0% (2024), respectively. South Carolina (2.2%) had its lowest rate since its 2.1% in 2023.
The Bottom States
The five states with the highest NSA construction unemployment rates in September were:
- Massachusetts, 5.5%
- Michigan, 5.8%
- Minnesota, 6.7%
- Alaska, 7.5%
- North Dakota, 9.5%
Click here to view graphs of U.S. and state overall unemployment rates (Tab 1) and construction unemployment rates (Tab 2) showing the impact of the pandemic, including a graphing tool that creates a chart for multiple states. To better understand the basis for calculating unemployment rates and what they measure, check out the Background on State Construction Unemployment Rates.
Visit abc.org/economics for the Construction Backlog Indicator and Construction Confidence Index, plus analysis of spending, employment, job openings and the Producer Price Index.
Associated Builders and Contractors is a national construction industry trade association established in 1950 with 67 chapters and 24,000 members. Founded on the merit shop philosophy, ABC helps members offer a robust employee value proposition, develop people, win work and deliver that work safely, ethically and profitably for the betterment of the communities in which ABC and its members work. Visit us at abc.org.
