Residential building workers’ wage growth remained subdued in the first quarter of 2026, a reflection of easing construction activity and labor demand. Both nominal and inflation-adjusted wage gains remained calm, according to data from the U.S. Bureau of Labor Statistics.

How have earnings changed for residential building workers?

• Average hourly earnings for residential building workers increased 2.1% year over year in March, down from the 9.4% peak in mid-2024
• Accounting for inflation, real wages declined 1.2% year over year in March
• Real wage growth has softened since reaching a peak of 6.2% in 2024, coinciding with the slowdown in residential construction activity

Moreover, the number of unfilled construction sector jobs has continued to trend downward, reflective of the weaker housing demand and slowed construction hiring. However, wages remain strong relative to other industries:

• 8.4% higher than the manufacturing sector ($36.54 per hour)
• 22.4% higher than the transportation and warehousing sector ($32.34 per hour)
• 3.6% lower than the mining and logging sector ($41.10 per hour)

Jing Fu, NAHB senior director of forecasting & analysis, provides more detail in this Eye on Housing post.