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Labor Market Information Center
2025 Annual Report
Quarterly Census of Employment and Wages
Construction Supersector
The Construction supersector is made up of one sector, Construction. Businesses within this supersector erect buildings and other structures, perform alterations, installation, maintenance and repairs.
| South Dakota Covered Workers and Pay 2025 |
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| Supersector, Sector and Subsector | Number of Establishments | Average Number of Workers | Annual Pay |
| Construction | 4,772 | 29,719 | $71,093 |
| Construction | 4,772 | 29,719 | $71,093 |
| Construction of Buildings | 1,513 | 7,181 | $68,262 |
| Heavy and Civil Engineering Construction | 456 | 4,830 | $89,068 |
| Specialty Trade Contractors | 2,803 | 17,709 | $67,335 |
| Totals may not add due to rounding. Data subject to revision. Produced by the Labor Market Information Center, South Dakota Department of Labor and Regulation, in cooperation with the U.S. Bureau of Labor Statistics. |
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Construction
NAICS Sector 23
The Construction Sector is divided into three subsectors.
- Establishments in the Construction of Buildings (NAICS 236) subsector perform new work, additions, alterations, maintenance, and repairs.
- Heavy and Civil Engineering Construction (NAICS 237) establishments complete entire engineering projects or a specific component for such projects (such as installing sewer lines as part of a major road construction project).
- Specialty Trade Contractors (NAICS 238) subsector perform specific activities involved in building construction, such as pouring concrete, site preparation, plumbing, painting, etc. Specialty trade contractors usually perform most of their work at the construction site, although they may have shops where they perform prefabrication and other work.
In 2025, the Construction sector added 492 workers or 1.7% and 102 establishments, totaling 4,772 establishments. The average annual pay for this industry sector increased by $3,177 or 4.7%, bringing the total to $71,093. The Construction sector in South Dakota ranked eighth in annual wage, fifth in employment, and second in number of establishments.
Annual pay increases by subsector were:
- Construction of Buildings $3,581 or 5.5%
- Heavy and Civil Engineering $2,683 or 3.1%
- Specialty Trade Contractors $2,956 or 4.6%
Specialty Trade Contractors subsector added 59 new establishments, the Construction of Buildings subsector added 22 establishments, and the Heavy and Civil Engineering subsector added 21 establishments. Two of the subsectors added employment while one decreased: Specialty Trade Contractors subsector added 340 workers or 2.0%, Heavy and Civil Engineering Construction subsector added 229 workers or 5.0%, and the Construction of Buildings subsector decreased 75 workers or 1.0%.
Construction worker levels in South Dakota continue to reflect both economic expansion and population growth. This is evident when looking at economic indicators such as building permits and yearly construction valuations in some of the state’s largest cities (Sioux Falls, Rapid City, and Aberdeen).
According to the City of Sioux Falls, total construction valuation reached $1,327,437,573 in 2025. This marked the fifth consecutive year exceeding the $1 billion level and the second-highest year on record. In 2025, the city issued 5,615 building permits across residential and commercial projects, including new construction, additions, repairs, remodels, and renovations.
According to KOTA Territory News, Rapid City issued 68 building permits worth at least $1 million in 2025, including 12 valued at more than $5 million each. One of those permits, issued in October 2025, authorized a radiology addition for Monument Health valued at nearly $7.9 million. The city also issued 186 permits for single‑family homes last year, the third-highest total since 2007.
According to the City of Aberdeen, the 2025 City of Aberdeen Community Development Department Annual Report highlights a strong year of construction activity across both residential and commercial sectors. In 2025, the City issued 1,074 building permits with a total valuation of $149 million. This included 12 new commercial projects, 63 single-family home units, and 80 multi-family home units, generating more than $566,000 in permit-related revenue.
