"The Associated Builders and Contractors trade group estimated in a report last month the industry will need to bring in 456,000 new workers in 2027, up 30.7% from the 349,000 needed this year. "Failing to do so will worsen labor shortages, especially in certain occupations and regions, placing further upward pressure on labor costs," ABC Chief Economist Anirban Basu warned in a statement."
"Still, ABC said overall construction spending is poised to break a slump and return to growth for the first time in years. And according to its model, every additional $1 billion spent on construction translates to demand for 3,450 fresh jobs. If spending forecasts prove to be overly conservative, then the industry will need even more workers, Basu said. In fact, just days after the ABC report, quarterly reports from AI hyperscalers stunned Wall Street with jaw-dropping capital expenditure forecasts for 2026."
Construction industry employment demand is projected to rise significantly, with 456,000 new workers needed in 2027, a 30.7% increase from 349,000 this year. Much of this year's hiring need stems from retirements rather than higher construction activity. Overall construction spending is expected to end a multi-year slump and return to growth, while ABC's model indicates each additional $1 billion in construction spending generates demand for 3,450 jobs. Large AI hyperscaler capital plans — with firms expected to spend roughly $700 billion this year — are increasing demand for projects such as chips and data centers. Immigration restrictions have reduced access to traditional worker pools, worsening shortages and causing project delays.
Read at Fortune
Unable to calculate read time
Collection
[
|
...
]