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Construction lost 35,000 jobs in September, according to the U.S. Bureau of Labor Statistics.

“The drop in construction employment accelerated in September and will get much worse   more...unless credit markets reopen,” said Ken Simonson, chief economist for the Washington, D.C.-based Associated General Contractors of America, told the South Florida Business Journal.

The U.S. Labor Department reported that U.S. weekly jobless claims remained at their highest level in seven years last week.

The employment downturn comes on the heels of a report from the Census Bureau that private, nonresidential construction spending fell by nearly one percent in July and August.

State and local construction spending was up, but may change direction as more states announce budget shortfalls.

Highways and schools – 60 percent of public construction spending – are thought to be in jeopardy because of drops in fuel and property tax receipts.

Simonson said all types of construction shed workers in September, following a brief spurt in nonresidential hiring in August. He called it an ominous sign and said the October labor report – due out just after Election Day – could be even uglier  less

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