Despite signs of slowing demand, the U.S. construction industry continues to face a significant labor shortage. The Associated Builders and Contractors (ABC) estimates that the industry will require 439,000 additional workers in 2025 to meet demand—a slight decrease from the 501,000 projected for 2024. The reduction reflects cooling construction spending growth , particularly in interest-rate-sensitive sectors such as residential housing and commercial development. Even with slowing growth, the labor gap remains substantial.

Contractors across the country continue to report difficulty hiring, especially for skilled trades positions. Industry surveys suggest that nearly 80% of contractors are struggling to fill open roles, pointing to structural issues—including an aging workforce,

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