Nela Richardson identifies construction as the top career for salary growth as workers command higher pay due to high demand.
Nela Richardson, chief economist and head of ADP research, reports that construction has become the premier career for salary boosts as workers switch jobs. According to an analysis of 14.8 million workers, construction job-changers out-earned every other sector every month since August 2023, with the exception of two brief spikes in the natural resources sector. In June, construction job-changers saw a 12.9% year-over-year pay growth, reaching a median gross pay of over $59,100. The growth is driven by a simple supply and demand dynamic. While construction hiring has outpaced overall job growth since 2014, a limited labor pool has allowed workers to command significant pay jumps. A shortage of new entrants, exacerbated by a boom in data center projects, has increased the demand for specialized trade skills. Richardson noted that while older workers are leaving the profession, the industry is successfully luring new talent through increased apprenticeship and training programs. The share of new hires in the construction industry has already risen to 4.6% this year.