Construction hiring came in strong in January, taking a much bigger share of new jobs than expected in a winter month. The U.S. economy added 130,000 jobs in January, and construction accounted for 33,000 of those new positions, which the AEM report described as nearly one in four jobs created nationwide. That’s a meaningful chunk of the month’s hiring, and it’s a clear sign that construction demand hasn’t softened the way many other industries have.
AEM President and CEO Megan Tanel pointed to steady infrastructure investment, private development activity, and long-term confidence in the build environment as the forces keeping construction hiring moving. For contractors, that lines up with what many are already feeling: the work is still there, and schedules aren’t slowing down just because it’s winter. The projects might shift by region and sector, but the need for labor remains real.
When construction accounts for such a large share of new jobs, it usually points to one thing: projects are still being funded, approved, and staffed. It also suggests the broader economy hasn’t hit a wall. Construction tends to react fast when conditions turn. Firms pause hiring quickly when bids dry up, financing tightens, or developers start pushing work into the next quarter. January didn’t show that kind of hesitation.
Job growth in construction expected to continue to climb in 2026
A gain of 33,000 construction jobs is a positive sign for contractors staffing up for active jobs and upcoming work. It shows the growth in the field is likely to continue into 2026, especially for small and mid-sized firms that don’t have the same recruiting budgets as large contractors.
The demand from hiring trickles down to other companies in the field such as equipment manufacturers, rental companies, and dealers. While the January job growth is a positive sign, the construction industry at large is still experiencing major labor issues. Tanel pointed out that as hiring surges, contractors are shelling out more cash for advanced equipment, top-notch digital tools, and big-time workforce development strategies to scale safely and efficiently. This comes at the same time companies like Caterpillar, Bobcat, and JLG are developing AI powered machines that help contractors be more efficient on the field.
If this pace continues, contractors should expect 2026 to be a year of growth with steady demand for equipment that improves productivity.
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