Contractors ended 2024 on a cautiously optimistic note, as the latest construction data revealed resilience alongside lingering challenges.
Backlog held steady at 8.4 months as contractors expressed some optimism about private construction prospects. The possibility of lower borrowing costs and clearer policy direction following the presidential election buoyed confidence.
Groundbreakings also gained momentum to close the year, with starts gaining 5% in December to an annualized rate of $1.2 trillion, according to Dodge Construction Network. Public dollars continued to fuel infrastructure construction, particularly highway and bridges.
That offset some of the pressures from elevated interest rates, labor shortages and lending conditions. Many economists expect further rate cuts could unlock additional activity in 2025, though the Federal Reserve has signaled it may slow the pace of easing this year to balance inflation risks.
Meanwhile, the construction labor market showed signs of strain. Open construction jobs in November remained down 40% from the previous year, showing continued hiring difficulties.
Here, Construction Dive rounds up the latest key industry data.
