Business Notebook: Missouri construction industry has low jobless rate; DRA invests in training

Nonresidential construction spending in the U.S. was virtually unchanged in October compared to September, according to a report released last week by Associated Builders and Contractors (ABC).

However, in the report, ABC also said the construction industry in Missouri had one of the nation's lowest unemployment rates in September, the most recent month for which construction jobless data is available from the U.S. Bureau of Labor Statistics.

According to data published last week by the U.S. Census Bureau, the nation's seasonally adjusted commercial construction spending totaled $792.4 billion in October. September's spending was nearly $792.2 billion. In October 2019, nonresidential construction spending topped $822.9 billion.

Nationally, construction employment took a major hit because of the COVID-19 pandemic, but is rebounding quicker than much of the economy toward pre-pandemic employment levels.

From February to September, the national non-seasonally adjusted unemployment rate in the construction industry went from 5.5% in February to a peak of 16.6% in April before gradually improving over the next five months, eventually dropping to 7.1% in September, according to data from the Bureau of Labor Statistics.

On Friday, ABC announced the construction industry added 27.000 new jobs in November, and during the past seven months, the industry has added 804,000 jobs, recovering 74% of the construction job losses incurred during the early stages of the pandemic.

Overall, approximately 245,000 jobs were added to the U.S. labor force in November, about half the amount expected by many economists and labor analysts.

Missouri's non-seasonally adjusted unemployment rate in the construction trades in September was 3.0%, one tenth of a percentage point above South Dakota's 2.9% building industry jobless rate, the nation's lowest.

Rounding out the top five states with the lowest construction sector unemployment rates in September were North Carolina at 3.3% followed by Nebraska and Utah, tied at 3.4%

The five states with the highest unemployment rates in the construction industry in September were Hawaii at 24.6% followed by Rhode Island at 21.2%, Massachusetts at 13.4%, Michigan 11.3% and Ohio at 11.2%.

DRA announces workforce grant investments

The Delta Regional Authority (DRA) last week announced an investment of nearly $1.7 million in 13 workforce development programs within the Mississippi River Delta and Alabama Black Belt regions, including two programs in Missouri, one of which is in Portageville.

The Delta Area Economic Opportunity Corp. in Portageville will use a $150,000 DRA grant to provide apprenticeships, on-the-job training, and agricultural entrepreneurial opportunities to help meet workforce needs of agribusiness and agriculture-related industries. The investment is projected to train up to 50 people throughout six Southeast Missouri counties.

In addition to the investment in Portageville, DRA is investing $94,880 to purchase equipment for a robotics-training program at the Missouri State University campus in West Plains. DRA's investment is projected to train 50 to 75 people, including dislocated workers, new entrants in the workforce, incumbent workers and underrepresented groups such as women, veterans, minorities and people with disabilities.

DRA is a federal-state partnership created by Congress in 2000 to promote and encourage the economic development of the lower Mississippi River Delta and the Alabama Black Belt region. It invests in projects supporting transportation infrastructure, basic public infrastructure, workforce training and business development in an eight-state region.

Walmart announces nearly $20M in bonuses to Missouri employees

Walmart on Friday announced additional cash bonuses totaling $700 million for its U.S.-based associates, bringing its total 2020 quarterly and special cash bonuses for its employees in the United States to more than $2.8 billion.

The announcement included $9 million in quarterly bonuses paid to Missouri associates in their Nov. 25 paychecks following a strong third quarter, along with an estimated $10.5 million in cash bonuses to be paid to Walmart's Missouri employees Dec. 24 in recognition of their "sustained commitment to customers during the (COVID-19) pandemic," according to a statement issued by the company Friday afternoon.

Both full- and part-time associates are eligible for both bonuses.

Approximately 1.5 million full- and part-time Walmart and Sam's Club associates work in the company's stores, clubs, distribution centers and fulfillment centers and will receive the Dec. 24 cash bonuses, which will be Walmart's fourth special cash bonus paid to U.S. associates since the start of the pandemic.

The company said the bonus amounts will be similar to the previous three special cash bonuses Walmart provided its associates during the pandemic with part-time and temporary hourly associates receiving $150 and full-time hourly associates receiving $300 each.

Bingo World temporarily closes because of pandemic

In light of a rising number of COVID-19 cases in the Cape Girardeau area, Notre Dame Regional High School announced last week it has temporarily discontinued its operations at Bingo World on North Clark Avenue in Cape Girardeau, which is a source of revenue for the school.

"Out of an abundance of caution, Notre Dame Regional High School Bingo has decided to suspend our regularly-scheduled bingos until Feb. 3, 2021," according to a statement released by the school. The suspension went into effect over the weekend.

"We will reevaluate our decision 48 hours prior to our next regularly scheduled bingos on Feb. 3 and Feb. 6," the statement said.

Awards & Recognitions

PERRYVILLE, Mo. — Robinson Construction of Perryville announced last week its status as an Accredited Quality Contractor (AQC) has been renewed by Associated Builders and Contractors (ABC) for another year.

Launched in 1993, ABC's AQC program provides recognition to construction firms that have documented their commitment in five areas of corporate responsibility — quality, safety, talent management, craft and management education and community relations and diversity.

Robinson Construction was founded in 1946 and is headquartered in Perryville, with a regional office in Hopkinsville, Kentucky.

Business license applications

Lindsey Romano of Bellevue, Washington, has filed a business license application with the City of Cape Girardeau to operate T-Mobile Central LLC at 155 Siemers Drive, Suite 600. The retail wireless provider opened in August.

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Randy and Leigh Kirn of Cape Girardeau have submitted a business license application to operate Spring Court Trailer Park, 555 N. Spring Ave. in Cape Girardeau, which they are purchasing from James and Amy Stovall. According to the application, the ownership transfer will become effective Jan. 1.

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Ryan Andrew LeGrand of Cape Girardeau has submitted a business license application to operate Heartland Weight Loss Clinic LLC at 3095 Lexington Ave., Suite 200, in Cape Girardeau. The business is scheduled to open in January, according to the application.

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SEG Investments LLC of Cape Girardeau has filed a business license application with the City of Cape Girardeau to operate Greenlight, a medical marijuana dispensary at 1001 Broadway. The business has a projected opening date of Dec. 20.

Commercial building permits

Building permits have been issued for interior remodeling of three existing buildings in Cape Girardeau that will be the future homes of medical marijuana dispensaries. Permits were issued for buildings at:

• 772 S. Kingshighway, future location of a dispensary owned by QPS Missouri Holdings LLC, at an estimated construction cost of $30,000.
• 350 N. Kingshighway, future location of an Organic Remedies dispensary, which is being remodeled at a listed estimated cost of $508,885.
• 1001 Broadway, which will become the location of a dispensary that will be known as Greenlight, at a remodeling cost listed at $85,000.

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Commercial building permits were issued recently for renovations and additions at two buildings in the 600 block of Broadway in Cape Girardeau. Those buildings are:

• 632 Broadway for the addition of a deck, outdoor bar and restrooms, the cost of which was not included on the permit report.
• 629 Broadway for the renovation of the front of the building at an estimated cost of $20,000.

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A commercial building permit was recently issued for construction of a Rally's drive-through restaurant at 1134 N. Sprigg St. in Cape Girardeau. According to the permit, the project has an estimated cost of $600,000.

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