The Associated General Contractors of America (AGC) has released its 2025 Workforce Survey, and the results confirm what many in the industry already know: Finding and keeping skilled workers remains one of the biggest challenges for contractors.
Nationally, 45 percent of responding firms said they are experiencing project delays because of worker shortages, whether in their own workforce or among subcontractors. Around 57 percent of firms in the South indicated they were struggling to fill positions because the available candidates are not qualified in the industry. And in Georgia, every firm surveyed reported difficulty finding hourly craft works, ranging from truck drivers to electricians.
The underlying problems are clear. Contractors consistently cite a lack of qualified candidates; many applicants arrive without the necessary skills, certifications, or licenses. Attrition compounds the challenge, with firms reporting that new hires often fail to show up or quit shortly after starting. Other barriers, such as the inability to pass drug tests, lack of reliable transportation, and the need for flexible schedules, further limit the available labor pool.
Policy is also playing a role. Federal workforce development dollars remain heavily directed toward four-year college programs, leaving trades education underfunded. Immigration policies have also added strain: only about ten percent of firms use H-2B or similar visa programs to bring in lawful workers, and stepped-up enforcement has disrupted some jobsites. In this year's survey, firms reported workers leaving or failing to appear because of actual or rumored immigration actions, while others noted that subcontractors lost workers during enforcement sweeps. These ripple effects can delay projects even when a firm's own workforce remains intact.
In response, many contractors are raising pay, expanding training programs, and experimenting with digital tools to reach younger applicants. While these steps help, the AGC emphasizes that long-term solutions will require broader investment in career and technical education and more accessible legal pathways for workers to enter the industry.
The takeaway? Workforce shortages are not a passing challenge but a structural issue that continues to drag on project delivery. Without significant shifts in policy and training, contractors will remain caught between rising demand and a shrinking pool of qualified labor.
For more details, see AGC's full article and access the national, southern, and Georgia survey results here.
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