Briefcase

Construction Industry Adds Jobs in December

WASHINGTON, D.C. — The nation’s construction industry gained 30,000 jobs in December despite an overall increase in the industry unemployment rate, according to the Jan. 4 employment report by the U.S. Labor Department. That is the fastest pace of construction employment growth since February 2011. Year over year, construction employment has risen by 18,000 jobs, or 0.3%.  The construction unemployment rate for December was 13.5% (not seasonally adjusted) — up from 12.2% from November, but down from 16% the same time last year. The non-residential building construction sector added 7,000 jobs in December for a total of 12,200 jobs (1.9%) added during 2012. Non-residential specialty trade contractors gained 5,600 jobs for the month, but have lost 25,000 jobs (1.2%) compared to one year ago. The residential building sector added 5,800 jobs in December, but lost 6,600 jobs (1.2%) during the past 12 months. Residential specialty trade contractors added 12,300 jobs in December and have added 36,400 jobs (2.5%) since December 2011. The heavy and civil engineering construction sector lost 700 jobs for the month, but has added 400 jobs during the course of the past year. Across all industries, the nation added 155,000 jobs as the private sector expanded by 168,000 jobs and the public sector shrunk by 13,000 jobs. According to the Bureau of Labor Statistics’ household survey, the national unemployment rate stood at 7.8% in December, the same rate as November’s revised data. “It is tempting to believe the December 2012 employment report bodes well for nation’s construction industry,” said Associated Builders and Contractors Chief Economist Anirban Basu. “Employment growth was widespread, impacting general and specialty trade contractors alike — the largest monthly increase in construction employment in nearly two years. However, industry stakeholders will need to wait at least another month for some clarity regarding construction employment patterns.”

 

Casino Developers Spar over Picknelly

PALMER and SPRINGFIELD — Casino developers in Palmer and Springfield are sparring over which project may claim businessman Peter Picknelly, head of Peter Pan Bus Lines, who initially invested in the Mohegan Sun-backed venture in Palmer before joining Penn National Gaming in a casino proposal in the North End of Springfield. While Picknelly says he is no longer involved with the Palmer deal, his former partners say he remains legally bound to that project, and they have threatened legal action to stop Picknelly from moving forward with Penn-National in Springfield. However, the Penn National project will occupy land currently used for the Peter Pan bus terminal, and Picknelly has said he will be a 50% partner in the development. Picknelly and Penn National say he has no obligation to any other casino effort, and they have threatened a lawsuit of their own if the Palmer group interferes with Picknelly’s pursuit of a casino license in Springfield. The Penn National and Mohegan Sun projects are competing for the sole Western Mass. resort-casino license, as well as MGM Resorts, which has proposed a project in the South End of Springfield.

 

Foreclosures Down in Massachusetts

BOSTON — Fewer Massachusetts homeowners went into foreclosure and lost their properties to lenders in November. There were 295 completed foreclosures in November, a decline of almost 60% from November 2011, according to the Warren Group, a Boston company that tracks real estate. Between January and November, the number of completed foreclosures fell to 7,158, a drop of nearly 8% compared to the first 11 months of 2011. Last year is also likely to have the smallest number of completed foreclosures in the state since 2006, when the housing crisis began. “It’s been quite a positive year for the local housing market,” said Timothy Warren Jr., chief executive of the Warren Group. “An improving employment picture combined with government-backed programs are leading to fewer mortgage delinquencies.” The news added to growing sentiment that the state’s housing market is rebounding. Sales of single-family homes increased to 43,652 during the first 11 months of the year, surpassing the number of sales for all of 2011, according to the Warren Group. Lenders also initiated fewer foreclosures in November. Foreclosure starts dropped to 983, for a 3% decline from the same month in 2011.