News Releases

ABC Celebrates the One Big Beautiful Bill Becoming Law

July 4, 2025 |
1103 |
News Releases 2025, Policy, Politics and Policy

WASHINGTON, July 4—Associated Builders and Contractors today issued the following statement after President Donald Trump signed H.R. 1, the One Big Beautiful Bill Act into law, delivering historic tax relief to the U.S. construction industry and Main Street businesses nationwide.

“On this July 4, ABC celebrates Congress and the White House working together to bring this pro-growth tax reform to reality for the millions of hardworking Americans who build and power our economy,” said Kristen Swearingen, ABC vice president of government affairs. “This new law provides long-overdue tax certainty that empowers construction businesses to invest in their workforce, expand operations and keep America building.”

This legislation provides certainty to the more than 95% of all American businesses structured as S corporations, partnerships and sole proprietorships. These pass-through businesses employ 62% of the private sector workforce and form the economic backbone of virtually every community nationwide.

ABC strongly supports the following reforms included in the bill:

Making the Small Business Deduction Permanent and Stronger: Solidifying the Section 199A deduction will provide tax certainty for pass-through businesses, allowing contractors to reinvest in their operations and workforce without fear of future tax hikes.
Permanent Estate Tax Relief: This provision ensures that family-owned construction businesses can pass along ownership to the next generation without facing destructive estate tax burdens.
Restoration of 100% Bonus Depreciation: Renewing immediate expensing of capital investments through 100% bonus depreciation will encourage construction firms to invest in new equipment and technologies—boosting productivity and economic growth.
Revived Expensing of R&D Costs: The bill permanently restores the ability for businesses to immediately deduct domestic research and experimental expenditures, providing critical support for construction innovation. Whether it’s hands-on problem-solving that happens on jobsites or improving project delivery methods, this provision gives contractors the financial flexibility to invest in finding better, faster and safer ways to get the job done right—without waiting years to see a tax benefit.
No Tax on Overtime for American Workers: Exempting overtime pay from federal income tax delivers direct, meaningful relief to the hardworking men and women of the construction trades—rewarding long hours on the jobsite.
Expanded 529 Accounts for Skilled Trades Training: The legislation expands the use of 529 savings accounts to cover career and technical education in the skilled trades, helping the next generation of construction professionals enter the workforce without student debt.

“Now that this critical legislation has been signed, we urge Congress and the administration to build on this momentum by enacting additional reforms to reduce regulatory burdens on businesses,” Swearingen said. “Smart, targeted regulatory relief will give contractors even greater ability to create jobs, strengthen their communities and drive economic growth nationwide.”

ABC and its 67 chapters, representing more than 23,000 members and millions of construction workers, have been strong advocates for this legislation and joined with other organizations representing Main Street businesses in support of its passage.

ABC Praises Final Passage of the One Big Beautiful Bill

July 3, 2025 |
586 |
News Releases 2025, Politics and Policy

WASHINGTON, July 3—Associated Builders and Contractors today issued the following statement commending the U.S. House of Representatives for passing H.R. 1, the One Big Beautiful Bill Act.

“ABC thanks lawmakers in both chambers for their leadership in advancing this important legislation, which provides much-needed tax certainty for the U.S. construction industry,” said Kristen Swearingen, ABC vice president of government affairs. “We look forward to President Donald Trump signing it into law. Doing so will provide immediate relief to Main Street businesses and ensure the construction industry can continue to drive economic growth and opportunity nationwide.”

ABC and its 67 chapters, representing more than 23,000 members and millions of construction workers nationwide, are proud to support this pro-growth, pro-worker legislation. ABC also joined a group of organizations representing millions of Main Street businesses in a letter expressing strong support of the package and applauded U.S. Senate passage of H.R. 1 on July 1. ABC has consistently advocated for policies that provide certainty and allow contractors to grow their businesses, create jobs and strengthen their workforce.

ABC: Construction Adds 15K Jobs in June

July 3, 2025 |
494 |
Construction Economics, Employment, News Releases 2025

WASHINGTON, July 3—The construction industry added 15,000 jobs on net in June, according to an Associated Builders and Contractors analysis of data released today by the U.S. Bureau of Labor Statistics. On a year-over-year basis, industry employment has increased by 121,000 jobs, or 1.5%.

Nonresidential construction employment expanded by 9,200 positions on net, with growth registered in just 1 of 3 major subcategories. Nonresidential specialty trade added 12,400 jobs, while heavy and civil engineering and nonresidential building lost 2,800 and 400 jobs, respectively.

The construction unemployment rate fell to 3.4% last month. Unemployment across all industries declined from 4.2% in May to 4.1% in June.

“Virtually every economist has been waiting for indications of stagflation,” said ABC Chief Economist Anirban Basu. “The wait continues. June’s employment report, coupled with recent inflation data, indicate that the U.S. economy continues to demonstrate solid momentum, stable unemployment and declining inflation. Construction added jobs for a second consecutive month.

“While many will cheer this jobs report, some construction firm leaders may not be among that group,” said Basu. “While abating fears of recession are comforting, these data effectively slammed the door shut on a July Federal Reserve interest rate cut. A growing fraction of contractors is experiencing weakness in backlog as projects are postponed in an uncertain economic environment coupled with stubbornly elevated borrowing costs.

“At the same time, construction materials prices have begun to edge higher, in part because of substantial tariffs on steel, aluminum, Canada, Mexico and China,” said Basu. “All things equal, that will drive up construction delivery costs, render more projects uneconomical and diminish contractor margins. Shifting immigration policy stands to reinforce these dynamics. Close attention should be paid to the profit margins component of ABC’s Construction Confidence Index in the coming months, which should reflect how these higher costs are affecting contractor operations.”

ABC Applauds Senate Passage of the One Big Beautiful Bill

July 1, 2025 |
4564 |
News Releases 2025, Politics and Policy

WASHINGTON, July 1—Associated Builders and Contractors today applauded the U.S. Senate’s passage of H.R. 1, the One Big Beautiful Bill Act, as critical legislation delivering much-needed tax relief to the U.S. construction industry and other Main Street businesses.

ABC and its 67 chapters, representing more than 23,000 members and millions of construction workers nationwide, are proud to support this pro-growth, pro-worker legislation. On June 28, ABC joined a group of organizations representing millions of Main Street businesses in a letter expressing strong support of the package.

“Tax certainty and pro-growth policies are not abstract policy goals for construction businesses—they are the foundation that allows ABC members to invest, grow and keep America building,” said Kristen Swearingen, ABC vice president of government affairs. “We thank the Senate for passing this important legislation and urge the U.S. House of Representative to take swift action to send it to the president’s desk.”

The legislation includes a number of tax provisions that will directly benefit contractors, American workers and the broader economy. ABC strongly supports the following reforms included in the bill:

Making the Small Business Deduction Permanent and Stronger: Solidifying the Section 199A deduction will provide tax certainty for pass-through businesses, allowing contractors to reinvest in their operations and workforce without fear of future tax hikes.
Permanent Estate Tax Relief: This provision ensures that family-owned construction businesses can pass along ownership to the next generation without facing destructive estate tax burdens.
Restoration of 100% Bonus Depreciation: Renewing immediate expensing of capital investments through 100% bonus depreciation will encourage construction firms to invest in new equipment and technologies—boosting productivity, innovation and economic growth.
Revived Expensing of R&D Costs: The bill permanently restores the ability for businesses to immediately deduct domestic research and experimental expenditures, providing critical support for construction innovation. Whether it’s hands-on problem-solving that happens on jobsites or improving project delivery methods, this provision gives contractors the financial flexibility to invest in finding better, faster and safer ways to get the job done right—without waiting years to see a tax benefit.
No Tax on Overtime for American Workers: Exempting overtime pay from federal income tax delivers direct, meaningful relief to the hardworking men and women of the construction trades—rewarding long hours on the jobsite.
Expanded 529 Accounts for Skilled Trades Training: The legislation expands the use of 529 savings accounts to cover career and technical education in the skilled trades, helping the next generation of construction professionals enter the workforce without student debt.

Nonresidential Construction Spending Down 0.2% in May, Says ABC

July 1, 2025 |
1141 |
Construction Economics, Construction Spending, News Releases 2025

WASHINGTON, July 1—National nonresidential construction spending decreased 0.2% in May, according to an Associated Builders and Contractors analysis of data published today by the U.S. Census Bureau. On a seasonally adjusted annualized basis, nonresidential spending totaled $1.237 trillion.

Spending was down on a monthly basis in half of the nonresidential subcategories. Private nonresidential spending was down 0.4%, while public nonresidential construction spending was practically unchanged in May.

“Nonresidential construction spending declined for the fourth straight month in May,” said ABC Chief Economist Anirban Basu. “Private sector nonresidential activity remains particularly weak and is down nearly 7% from its January 2023 peak. Manufacturing investment, which increased more than 200% in recent years, has begun to fall and is now down more than 5% since its August 2024 peak. With the exception of data centers, on which spending increased another 1% in May, there are few categories with momentum.

“This decline in nonresidential activity was reflected in ABC’s Construction Backlog Indicator, which fell sharply in May,” said Basu. “Given the many headwinds at play, including high interest rates, tight lending standards, elevated uncertainty and the effects of immigration and trade policy on labor and materials costs, spending may struggle to rebound during the second half of the year.”

ABC: Construction Hiring Remains Sluggish in May

July 1, 2025 |
503 |
Construction Economics, JOLTS, News Releases 2025

WASHINGTON, July 1—The construction industry had 245,000 job openings on the last day of May, according to an Associated Builders and Contractors analysis of data from the U.S. Bureau of Labor Statistics’ Job Openings and Labor Turnover Survey. JOLTS defines a job opening as any unfilled position for which an employer is actively recruiting. Industry job openings increased by 3,000 last month but are down by 130,000 from the same time last year.

“Industrywide labor demand continued to be subdued in May,” said ABC Chief Economist Anirban Basu. “The year-to-date construction hiring rate is lower than in any year since the start of the data series in 2000. Job openings are down about 35% year over year and layoffs remain historically uncommon. Of course, it’s unclear how immigration policy uncertainty is affecting these data. To the extent that a decline in the hiring of undocumented workers is not reflected, the industry could be significantly weaker than it appears.

“Despite that possibility, contractors remained optimistic in May,” said Basu. “Over 55% expect their staffing levels to increase during the second half of 2025, according to ABC’s Construction Confidence Index.”

ABC Supports Reintroduction of Employee Rights Act

June 26, 2025 |
943 |
News Releases 2025, Politics and Policy

WASHINGTON, June 26—Associated Builders and Contractors today announced its strong support for the reintroduction of the Employee Rights Act in the 119th Congress. The legislation provides critical protections for workers in construction and other industries subject to unionization pressure campaigns.

“Worker choice, flexibility and privacy and are essential to the success of the construction industry, and the Employee Rights Act delivers much-needed balance to our nation’s labor laws,” said Kristen Swearingen, ABC vice president of government affairs. “This bill protects all workers’ right to a secret ballot, their control over personal contact information and their freedom to work as independent contractors if they choose. Congress must act now to advance this pro-worker, pro-growth legislation and stop harmful policies that undermine workforce freedoms.”

Introduced by Rep. Rick Allen, R-Ga., the ERA would:

• Guarantee secret ballot union elections on jobsites
• Safeguard worker privacy and limit forced disclosure of personal information
• Provide legal clarity for independent contractors
• Clarifies the definition of a joint employer
• Prevent the use of employee dues for union political campaigns without consent

ABC urges the swift consideration of the ERA to protect worker freedoms nationwide.

ABC: Trump Administration Fails To Rescind Biden’s Anti-Merit Labor Mandate

June 12, 2025 |
3095 |
News Releases 2025, PLAs, Politics and Policy

WASHINGTON, June 12—Associated Builders and Contractors today responded to the announcement from the Office of Management and Budget that President Donald Trump’s administration will continue to enforce former President Joe Biden’s anti-competitive policy mandating project labor agreements on federal construction projects of $35 million or more.

“This decision cannot be reconciled with the president’s philosophies of merit, fairness and nondiscrimination because it inhibits fair and open competition and prioritizes special interests over taxpayers and workers,” said Michael Bellaman, ABC president and CEO. “Today’s memorandum doubles down on an unfair, wasteful, anti-competitive, Biden-era policy that inflates costs and delays critical construction projects, including those important to the defense of our country.

“It is unfortunate that this guidance states that maintaining Biden’s PLA mandate final rule is necessary because the Trump administration ‘supports the use of PLAs when those agreements are practicable and cost-effective,’” said Bellaman. “To be clear, this policy is not needed to allow the use of PLAs on federal construction. At no point, under any administration, have federal contractors ever been prevented from voluntarily entering into a PLA when such an agreement makes sense for their workforce. Fair and open competition works because it not only preserves worker choice but also gives contractors the freedom to choose to enter or not enter into a PLA. At the end of the day, it is based on merit and nondiscrimination. Every qualified contractor should have the opportunity to build America.

“This policy effectively excludes the 90% of the U.S. construction workforce that does not belong to a union from nearly all large-scale federal construction contracts, regardless of whether PLAs are ‘practicable or cost-effective’ on a given project,” said Bellaman. “The ongoing confusion and legal uncertainty this policy creates will result in unnecessary delays and cost increases to critical national security projects needed to protect our border and rebuild our military, including land ports of entry and military bases.”

ABC has long opposed government-mandated PLAs, which force contractors to sign union agreements in order to win federal work. This policy keeps merit shop contractors from bidding on infrastructure projects in their own communities. While ABC members won 54% of federal construction contracts of $35 million or more by value during fiscal years 2009-2024, today’s guidance prevents many of these experienced and qualified contractors from delivering public works projects safely, on time and on budget.

“ABC will continue to fight the Biden-era illegal and anti-competitive PLA mandate in court and support our federal contractor members in opposing PLA mandates on any project where they are implemented,” said Bellaman. “The administration should rescind this PLA mandate executive order immediately.”

ABC: Tariffed Construction Materials Prices Rise in May

June 12, 2025 |
3087 |
Construction Economics, Materials Prices, News Releases 2025

WASHINGTON, June 12—Construction input prices increased 0.2% in May compared to the previous month, according to an Associated Builders and Contractors analysis of U.S. Bureau of Labor Statistics’ Producer Price Index data released today. Nonresidential construction input prices increased 0.3% for the month.

Overall construction input prices are 1.3% higher than a year ago, while nonresidential construction input prices are 1.6% higher. Prices decreased in 2 of the 3 energy categories last month. Natural gas prices were down 18.7%, while prices for unprocessed energy materials were down 3.5%. Crude petroleum prices increased 1.3% in May.

“Construction materials prices continued to increase at a faster-than-ideal pace in May,” said ABC Chief Economist Anirban Basu. “While input prices are up just 1.3% over the past year, that modest escalation is entirely due to price decreases during the second half of 2024. Costs have increased rapidly since the start of this year, with input prices rising at a 6% annualized rate through the first five months of 2025.

“Accelerating input price escalation is largely due to rapid price increases for tariff-affected goods like iron and steel,” said Basu. “Expect this dynamic to remain over the next few quarters; these data predate tariffs on iron and steel rising from 25% to 50%, which went into effect on June 4. Despite rising input prices, contractors remain relatively optimistic about their profit margins, according to ABC’s Construction Confidence Index. With cooler-than-expected economywide inflation in May, the number of expected rate cuts in 2025 has risen. If those expectations are realized, it would provide the construction industry with a much-needed tailwind.”

ABC: Contractors’ Backlog Falls Sharply in May

June 10, 2025 |
4300 |
Construction Backlog Indicator, Construction Confidence Index, Construction Economics, News Releases 2025

WASHINGTON, June 10—Associated Builders and Contractors reported today that its Construction Backlog Indicator fell to 8.4 months in May, according to an ABC member survey conducted May 20 to June 3. The reading is up 0.1 months since May 2024.

View the full Construction Backlog Indicator and Construction Confidence Index data series.

While the South maintains the longest backlog of any region, it was the only one to experience a decline in May. Only the Northeast has longer backlog on a year-over-year basis, while the other three regions experienced annual declines.

ABC’s Construction Confidence Index reading for profit margins improved in May, while the readings for sales and staffing levels fell. The readings for all three components remain above the threshold of 50, indicating expectations for growth over the next six months.

“The impacts of tariffs are increasingly apparent, with nearly 1 in 4 ABC member contractors reporting tariff-related project cancellations or delays in May,” said ABC Chief Economist Anirban Basu. “While 87% of survey respondents have been notified of tariff-related materials price increases, profit margin expectations actually improved in May.

“Of course, this survey was largely conducted prior to the announcement of the now-implemented 50% steel and aluminum tariffs, and margins will likely come under pressure in the coming months,” said Basu. “Despite this potential headwind, approximately 6 out of 10 contractors expect their sales to increase over the next two quarters, suggesting widespread optimism about the outlook.”

Note: The reference months for the Construction Backlog Indicator and Construction Confidence Index data series were revised on May 12, 2020, to better reflect the survey period. CBI quantifies the previous month's work under contract based on the latest financials available, while CCI measures contractors' outlook for the next six months. View the methodology for both indicators.