NAICS 23

Construction in Kentucky: 2026 Market Risk Report

Entry risk 39.8 (Moderate), ranked #19 of 51 states. 11,918 establishments, 93,486 jobs.

Entry Risk Assessment

Entry Risk Score 39.8
Low 0-30
Moderate 30-42
Elevated 42-55
High 55+
Moderate

ⓘ Lower is better. Relative to national construction average.

The construction sector in Kentucky is tracking close to the U.S. baseline, with no extreme signals in volatility, saturation, or wage pressure. Entry conditions are within the national median range.

5-Year Firm Retention
60.8%
Percentile within industry
Rank #21 of 51 states
Growth Momentum
14.7
Scale of 0-100
Rank #39 of 51 states
Establishment Density
12.4
vs. national average
Rank #20 of 51 states
Market Volatility
10.8
Lower is more stable
Wage Pressure Index
56.3
Labor cost pressure

11,918 Establishments in Kentucky

11,918
Establishments
+4.0% YoY
93,486
Total Employment
+4.1% YoY
$73,350
Average Annual Wage
+5.5% YoY

Kentucky vs National Construction Average

How Kentucky's construction market compares to the national average across all 51 states.

Metric KY National Difference
Entry Risk Score 39.8 44.2 -4.5
5-Year Retention 60.8% 51.0% +9.8
Growth Momentum 14.7 30.9 -16.2
Market Volatility 10.8 20.9 -10.1
Establishment Density 12.4 24.6 -12.2
Wage Pressure 56.3 57.1 -0.9

Green = favorable vs national average. Red = less favorable. Metrics are relative within construction only.

Kentucky Ranks #19 of 51 for Construction

Kentucky ranks #19 out of 51 states for construction market entry conditions.

Construction Entry Risk by State

Rank State Risk Score Classification
#1 Wisconsin 25.1 low
#2 Michigan 28.0 low
#3 Pennsylvania 28.4 low
#4 Alabama 30.3 moderate
#5 Nebraska 32.5 moderate
#19 Kentucky You 39.8 moderate
Entry Risk by State Alaska — 60.9 · #50 Alabama — 30.3 · #4 Arkansas — 34.3 · #8 Arizona — 38.6 · #16 California — 47.8 · #32 Colorado — 53.2 · #40 Connecticut — 43.2 · #27 District of Columbia — 56.9 · #45 Delaware — 43.0 · #26 Florida — 54.5 · #42 Georgia — 42.1 · #25 Hawaii — 61.1 · #51 Iowa — 34.3 · #7 Idaho — 58.4 · #48 Illinois — 49.1 · #34 Indiana — 35.0 · #11 Kansas — 51.5 · #38 Kentucky — 39.8 · #19 Louisiana — 53.6 · #41 Massachusetts — 41.5 · #23 Maryland — 35.0 · #12 Maine — 35.5 · #13 Michigan — 28.0 · #2 Minnesota — 37.3 · #14 Missouri — 54.6 · #43 Mississippi — 50.8 · #36 Montana — 45.0 · #28 North Carolina — 38.2 · #15 North Dakota — 58.3 · #47 Nebraska — 32.5 · #5 New Hampshire — 32.6 · #6 New Jersey — 48.3 · #33 New Mexico — 47.4 · #31 Nevada — 39.8 · #20 New York — 51.1 · #37 Ohio — 41.7 · #24 Oklahoma — 52.2 · #39 Oregon — 54.8 · #44 Pennsylvania — 28.4 · #3 Rhode Island — 38.8 · #17 South Carolina — 47.0 · #30 South Dakota — 34.7 · #9 Tennessee — 34.8 · #10 Texas — 46.3 · #29 Utah — 40.1 · #22 Virginia — 39.0 · #18 Vermont — 40.0 · #21 Washington — 58.1 · #46 Wisconsin — 25.1 · #1 West Virginia — 49.5 · #35 Wyoming — 59.3 · #49
Low Moderate Elevated High

Tap a state to view details

About Entry Risk Score: A weighted composite of firm retention, growth momentum, market volatility, establishment density, and wage pressure. Lower scores indicate more favorable conditions. Read full methodology →

Data Sources

Data period: 2024. Last updated: February 2026. Next refresh expected: Q2 2026 (BLS QCEW update).

Compare to Another State

How does Kentucky stack up against other states for construction?

Select a state above to see the comparison

Construction in Neighboring States

How Kentucky's construction market compares to bordering states.

Tennessee 34.8 #10/51 Indiana 35.0 #11/51 Virginia 39.0 #18/51 Ohio 41.7 #24/51 Illinois 49.1 #34/51 West Virginia 49.5 #35/51 Missouri 54.6 #43/51

Other Industries in Kentucky

Healthcare and Social Assistance → Retail Trade → Accommodation and Food Services → Professional, Scientific, and Technical Services → Finance and Insurance → Real Estate and Rental and Leasing → Administrative and Support Services → Information → Other Services →