NAICS 23

Construction in Birmingham, AL

Metro Market Score 52.6 (Challenging), ranked #221 of 342 metros. 2,861 establishments, 29,161 jobs.

Metro Market Assessment

Metro Market Score 52.6
Favorable 0-35
Moderate 35-48
Challenging 48-60
Difficult 60+
Challenging

Lower is better. Relative to national construction average.

💰High-Cost Market

Birmingham pairs above-average construction concentration (63.2) with positive employment growth (trend: 67.3). The market is competitive but still expanding, leaving room for well-positioned new entrants.

Industry Concentration
63.2
LQ: 1.08
Rank #216 of 342 metros
Wage Competitiveness
81.3
$81,155 avg wage
Growth Trend
67.3
Employment growth index
Rank #113 of 342 metros
Wage Pressure
33.5
YoY wage change index

2,861 Construction Firms in Birmingham

2,861
Establishments
+3.0% YoY
29,161
Total Employment
+4.0% YoY
$81,155
Average Annual Wage
+4.3% YoY
1.08
Location Quotient
Above national avg

Birmingham vs Alabama Statewide

How this metro's construction market compares to Alabama overall. The state ranks #4/51 for entry risk.

Measure Birmingham AL Statewide
Overall Score 52.6 Challenging 30.3 Moderate
Score Type Metro Market Score Entry Risk Score
Rank #221 of 342 metros #4 of 51 states

Metro and state scores use different methodologies (metro has 4 QCEW-based metrics; state adds BDS survival and momentum data). Direct score comparisons are approximate.

Other Industries in Birmingham

Construction in Other Alabama Metros

About Metro Market Score: A weighted composite of industry concentration (25%), wage competitiveness (25%), wage pressure (20%), and employment growth trend (30%). Lower scores indicate more favorable conditions. For Birmingham's construction sector, the wage competitiveness component (81.3) has the strongest pull on the composite. Metro scores use QCEW data only (no BDS survival data at metro level). Read full methodology →

Data Sources

Data period: 2024. Last updated: April 2026.