Market news · November 1, 2026
Market note, November 1, 2026: construction pay is still rising, just more slowly
💬 CommentsOn Friday the Bureau of Labor Statistics published its quarterly Employment Cost Index, the government's measure of what employers pay for work. Pay in construction is still going up, but more slowly than a year ago, and benefits are rising faster than wages.
3.0%
Wage growth for private construction industry workers over the 12 months to September 2026, down from 4.1% a year earlier (BLS Employment Cost Index, October 30, 2026)
BLS, October 30: construction wages up 3.0% in a year
The Employment Cost Index released on October 30 covers the three months to September 2026. For workers in the private construction industry, wages and salaries rose 3.0% over 12 months. A year earlier the same figure was 4.1%, and in the 12 months to June 2026 it was 3.5%. In the last three months alone they rose 0.5% (not seasonally adjusted), after 1.6% in the three months to June. Total compensation in the construction industry, wages plus benefits, rose 3.1% over the year.
The picture looks different when you count the trades instead of the industry. Wages of private workers in construction, extraction, farming, fishing and forestry jobs, whoever employs them, rose 3.8% over the year. For all private industry workers wages rose 3.1% and benefit costs 3.9%.
Why a small contractor should care: a skilled worker still expects a raise of a few percent a year, and the jobs that compete for him (BLS counts trade jobs in every industry, not only at construction companies) were paying 3.8% more. If you have not changed your crew's day rate in over a year, you may be behind. And if you pay any benefits, such as health insurance, those costs are rising faster than wages.
What to do this week: write down every worker's current day or hourly rate and the date it last changed. Then check the labor rate you use in estimates for jobs that run into 2027: if you plan raises in January, the estimates you send in November should already carry the new rate. If you buy health insurance for your crew, ask your agent now what the renewal will cost. Whether a raise, a bonus or a benefit is the better choice for your taxes is a question for your accountant.
Where WorkTime CRM helps with this
In Projects each crew day you mark with "✓ Worked" on the worker's card (Project → Team → Crew) goes into that job's labor costs, so the Money tab shows what the job really cost and how much profit is left. The worker's day rate is filled in from his last entry, and you can change it any time in Accounting → Team Pay.
Questions
Is 3.0% the raise my workers will ask for?+
It is a national average of what construction employers paid, not a rule. In your area and your trade it can be very different. Use it to check whether you are far behind, and ask other contractors and suppliers what local crews are paid.
Why are there two different numbers, 3.0% and 3.8%?+
BLS counts two ways. 3.0% is everyone working for private construction companies, including office staff. 3.8% is people in construction and extraction jobs (and farming, fishing and forestry) at any private employer. Both are for the 12 months to September 2026.
When is the next release?+
The Employment Cost Index comes out every quarter. The next one, for the three months to December 2026, is expected at the end of January 2027; check the BLS release calendar for the exact date.
Sources
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Original on app.worktimealliance.com/guides/market-note-2026-11-01