California Business Minute™

Hi, I am Tim Johnson and welcome to the California Business Minute.

Every one of California's 28 largest metropolitan areas saw a decrease
in construction employment between October 2008 and October 2009 according
to a new analysis of metropolitan area employment data released today by
the Associated General Contractors of America. The association urged state
regulators to rethink plans to force contractors to replace existing equipment
as shrinking demand for construction wiped out 136,000 construction jobs
statewide.

"Collapsing demand for construction services throughout the state is devastating
workers and forcing contractors to idle billions of dollars worth of equipment,"
said the association's chief economist Ken Simonson. "Requiring contractors to
spend money to replace idled equipment will force even more construction workers
out of a job."

Simonson noted that Redding had the largest percentage decline in the state with
a 30 percent drop in construction employment. Other California cities with large
percentage declines in construction employment included El Centro (29 percent);
Santa Cruz-Watsonville (22 percent); San Jose-Sunnyvale-Santa Clara (20 percent);
Salinas and Riverside-San Bernardino-Ontario (both with 19 percent). Simonson
added that Los Angeles lost the most construction jobs (16,600). The statewide
decrease was 18 percent in the past 12 months and 35 percent since peaking in
February 2006.

I am Tim Johnson and this has been the California Business Minute.