Alabama Construction Industry Important Pillar of State's Economy

Since the pandemic, the Alabama economy has had its ups and downs. However, the good news is that the business climate in Alabama has outperformed other states. One sector of the Alabama business community that has really increased is the construction industry.

A recent study by the Associated Builders and Contractors of Alabama showed that between 2015 to 2021 there was a 97 percent increase in commercial construction output to the tune of $9.4 billion. When you look at the direct impacts on all output payroll and employment, the earnings were over $11 billion. Most importantly the workforce in the Alabama construction industry has reached an estimated 200,000 jobs in this period.

For Alabama, agriculture and manufacturing are the leading industries in the state. You can now add the construction industry, which comprises 6.7 percent of Alabama's gross domestic product and creates over 7 percent of the jobs in the state. All in all, the construction industry creates more than a half a billion in taxes paid to the state.

While Alabama has plenty of both public and private building needs, some of the state's construction firms compete across the Southeast and Nation as some of the United States most productive companies in the industry.

As Alabama has grown, the state economy has diversified to provide more job opportunities and income for state coffers. The construction industry has now become one of the essential drivers of the Alabama economy.

Paul DeMarco is a former member of the Alabama House of Representatives and can be found on X, formerly Twitter, at @Paul_DeMarco

Paul DeMarco is a former member of the Alabama House of Representatives and can be found on X, formerly Twitter, at @Paul_DeMarco.

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