Contractors: The Shortcomings of the Stimulus

From a news release by the Associated General Contractors of America, “Stimulus Construction Funds Have Little Impact to Date on Companies’ Ability to Hire New Employees, Analysis Finds“:

The stimulus plan appears to be having little influence on construction companies’ ability to expand payrolls to date according to a new industry analysis of the impact of the federal program’s construction spending released today by the Associated General Contractors of America. The “disappointingly” slow pace of construction spending outside of the transportation sector is one of the main reasons for the relatively small impact on new hiring, the group noted.

“While the construction portion of the stimulus is having an impact, it is far from delivering its full
promise and potential,” said Stephen E. Sandherr, the chief executive officer of the contractors association. “With construction unemployment at almost double the national rate, it is disappointing to see so many stimulus programs getting off to such a slow start.”

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