Residential Building Wages See Fastest Growth in More Than Five Years
The housing industry’s ongoing skilled labor shortage and the nation’s lingering inflation continue to spur accelerated wage growth. Residential building workers’ wage growth increased in June at its fastest year-over-year rate since December 2018.
According to the Bureau of Labor Statistics, average hourly earnings for residential building workers* was $32.28 per hour in June 2024, up from $29.62 per hour one year ago.
Compared to other industries, the average hourly earnings amount for residential building workers in June was:
- 16.2% higher than the manufacturing industry ($27.79)
- 10.6% higher than the transportation and warehousing industry ($29.18)
- 11.1% lower than the mining and logging industry ($36.33)
However, demand for construction labor is weakening as interest rates remain elevated. The number of open construction sector jobs notably declined to 295,000 in June. Nonetheless, the ongoing skilled labor shortage continues to challenge the construction sector.
NAHB Economist Jing Fu originally provided this analysis in the Eye on Housing blog.
* Refers to production and non-supervisory workers in the residential building industry. This group accounts for approximately two-thirds of the industry’s total employment.
Latest from NAHBNow
Advocacy | Spring Leadership Meeting
May 06, 2026
Prepare for NAHB’s Legislative Conference on June 10NAHB’s signature lobbying event will take place on Wednesday, June 10, in conjunction with the four-day Spring Leadership Meeting in Washington, D.C. To help members prepare, NAHB will be hosting a webinar on May 20 and two events during the Spring Leadership Meeting.
Economics
May 06, 2026
Mortgage Rates, Inflation and Yields All Rise in AprilMortgage rates continued to increase in April as ceasefire negotiations remain inconclusive. According to Freddie Mac, the 30-year fixed-rate mortgage averaged 6.34% in April, 16 basis points (bps) higher than March.
Latest Economic News
Economics
May 07, 2026
Multifamily Developer Confidence Holds Steady in First QuarterThe Multifamily Production Index (MPI) had a reading of 44, unchanged year-over-year, while the Multifamily Occupancy Index (MOI) had a reading of 69, dropping 13 points year-over-year.
Economics
May 06, 2026
State-Level Employment Situation: March 2026State labor market conditions showed modest improvement in March, with job gains concentrated in several large states and the construction sector continuing to expand. However, employment declines across a number of states and mixed unemployment rate trends point to uneven momentum across regional economies.
Economics
May 06, 2026
Slight Rise for Open Construction Jobs in MarchThe number of open positions in the construction sector edged higher in March, per the Bureau of Labor Statistics Job Openings and Labor Turnover Survey (JOLTS). The current level of open jobs is down measurably from three years ago due to declines in construction activity, particularly in housing.