Construction Informer

The Associated Builders and Contractors (ABC) recently got out the old crystal ball, dusted it off and peered into it looking for clues as to what would happen in 2009 for construction. Interestingly, and as reported here previously, much could hinge on what legislative efforts come to fruition in relation to infrastructure.

ABC says an infrastructure stimulus package could address both the issues of short term economic weakness and longer term competitive needs. On top of that, since construction input prices are falling there is the opportunity to get more bang for the proverbial buck.

As for the rest of the construction segments ABC sees a dismal picture with commercial building loosing 10 to 20 percent in dollar terms compared to 2008, lodging construction off by 20 percent, office construction down by 15 to 25 percent, and hospitals, prisons and schools down by five percent. One bright spot appears to be in alternative energy, provided the government supplies the encouragement.

The report also showed the changes in construction employment from 2007 through 2008 YTD. Nonresidential lost almost 4 percent of its workforce and residential lost a little more than 11 percent.