New HBI Report Shows an Increase in Demand for Construction Labor

Workforce Development
Published

Additional skilled construction workers will be needed to reduce the nation's housing deficit during the second part of this decade, a shortfall NAHB estimates to total 1.5 million homes. The latest Construction Labor Market Report from the Home Builders Institute (HBI) provides an overview of the current state of the nation’s construction labor market.

Key findings in the report include:

  • There are currently 8.2 million payroll construction workers.
  • The estimated, required amount of construction worker hiring is approximately 723,000 per year, according to NAHB analysis of BLS data and projections.
  • The number of open construction sector jobs was above 400,000 at the start of the year. The count fell in March.
  • Average hourly wages in the overall construction industry have increased 5% over the last year, with average wage levels exceeding national private sector averages.
  • Women make up a growing share of the construction employment, reaching 10.9% in 2022. This is a noticeable increase from 9.1% in 2017 and just below the record high share of 11% recorded in 2021.

NAHB Chief Economist Dr. Robert Dietz and HBI CEO Ed Brady discuss the report’s key findings, trends and possible solutions for the labor shortage in an HBI Podcast. To learn more about the residential construction labor market, view the report.

Subscribe to NAHBNow

Log in or create account to subscribe to notifications of new posts.

Log in to subscribe

Latest from NAHBNow

Advocacy

Jan 12, 2026

NAHB’s Monthly Update Features 2026 Advocacy Priorities

The update provides the latest messaging framework to help members articulate the Federation's housing priorities.

Awards | IBS | National Sales and Marketing Council | 55+ Housing

Jan 09, 2026

Finalists Announced for the 2025 The Nationals Awards

NAHB announced the Silver Winners for The Nationals, powered by Chase. These awards celebrate the best in new-home sales and marketing and include 55+ housing, global innovation and NAHB Honors.

View all

Latest Economic News

Economics

Jan 12, 2026

Growth for Custom Home Building

NAHB’s analysis of Census Data from the Quarterly Starts and Completions by Purpose and Design survey indicates year-over year growth for custom home builders amid broader single-family home building weakness.

Economics

Jan 09, 2026

Townhouse Construction Share Gains Continue

According to NAHB analysis of the most recent Census data of Starts and Completions by Purpose and Design, during the third quarter of 2025, single-family attached starts totaled 46,000. Over the last four quarters, townhouse construction starts totaled a strong 179,000 homes, which is 1% higher than the prior four-quarter period (177,000). Townhouses made almost 20% all of single-family housing starts for the third quarter of the year.

Economics

Jan 09, 2026

Job Growth Slowed as 2025 Ended

Job growth continued to slow at the end of the year, reinforcing signs of a cooling labor market. Nonfarm payrolls increased by 50,000 jobs in December, while the unemployment rate edged down slightly to 4.4%.