Construction labor shrinking

Unemployment is falling steadily in Rhode Island, to below 6 percent as of June, the lowest level in eight years.

It’s a promising trend, unless you happen to work in construction.

Employment levels in construction, seasonally adjusted, peaked in the Ocean State at 23,400 in 2007, before falling precipitously during the Great Recession.

For the past four years, construction labor leveled out at around 16,000 jobs annually. But in June, construction-related employment fell back to 15,000, according to the Federal Reserve Bank of Boston, which tracks economic data.

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How dramatic are the job losses, compared to other areas of the country?

The Associated General Contractors of America, analyzing U.S. Department of Labor data, reported last week that Rhode Island ranked 50th out of 51 states and Washington, D.C., based on its percentage loss in construction jobs over the past 12 months.

The state had 16,600 workers in construction in June 2014, which fell back to 15,000 by June, the Associated General Contractors reported.

The decline in construction activity in Rhode Island has forced skilled laborers to make do with smaller jobs, or travel to other states to find work, according to labor and contractor organizations. Many have bolted altogether, dropping out of the union ranks or finding other lines of work.

“Some of them are in a holding pattern,” said David Iwuc, executive director of the Rhode Island chapter of the Associated General Contractors. “Some of them are utilizing the work overflow up in Boston.”

The smaller projects, including renovations, aren’t plentiful enough for workers who are skilled in the various trades, including electrical work, carpentry, pipe fitting and masonry.

“It’s not enough to make a dependable living,” said Gregory Mancini, executive director and general counsel of the Rhode Island Building and Construction Trades Council, a trade organization for union workers.

The council’s membership has fallen from about 10,000 to 8,500 in recent years, according to leaders, speaking at a recent hearing at Providence City Hall.

The hearing, on an ordinance that would create tax incentives for development in downtown Providence, including the former Interstate 195 lands, was attended by more than 200 workers.

“About half of the crowd is unemployed here,” Michael Sabitoni, president of the trade council, told the City Council members.

The building trades council has promoted an apprenticeship program, and is trying to attract younger, skilled workers to the profession, representing all trades.

While it varies by trade, the average income is about $50 an hour, including wages and benefits.

“We’re trying to be proactive,” Mancini said. •

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