New study reveals US states under greatest pressure amid 349,000 construction worker shortfall

New Construction Labor Pressure Index finds Texas, Florida and North Carolina are facing the greatest workforce strain

SANTA ANA, CA, UNITED STATES, November 5, 2026 /EINPresswire.com/ -- America's construction industry needs an additional 349,000 workers in 2026 simply to meet current demand, according to new research which reveals the US states where construction labor pressures are most acute.

The findings come from the newly developed Construction Labor Pressure Index from Foundation Building Materials (FBM), which identifies the regions experiencing the most significant workforce challenges across the construction sector.

Despite construction employment reaching a near-record 8.33 million workers nationally this year, there are still approximately 298,000 open construction positions across the US. At the same time, 92% of contractors report difficulty filling open roles, highlighting the growing strain faced by employers as housing, infrastructure and commercial development projects continue to advance.

To identify the states facing the greatest workforce pressure, FBM analyzed residential construction demand, construction employment growth and workforce shortage exposure, creating a top 10 index.

The top 10 states facing the greatest construction labor pressure:

1. Texas 90/100

2. Florida 69/100

3. North Carolina 52/100

4 Ohio 43/100

5. Louisiana 42/100

6. Tennessee 40/100

7. Georgia 36/100

8. South Carolina 34/100

9. Arizona 32/100

10. Nevada 23/100


Texas faces the greatest labor pressure nationwide

Texas ranked first, with the state's construction workforce facing the greatest pressure in America. The state added 24,800 construction jobs over the last year, more than any other state, while issuing approximately 12,180 residential building permits in June 2026, the highest total nationally.

The scale of construction activity reflects Texas' continued population growth and housing demand, creating intense competition for skilled workers across residential, commercial and infrastructure projects.


Florida and North Carolina complete the top three

Florida ranked second, recording approximately 10,940 residential permits, the second highest figure in the research. The state's ranking reflects the challenge of maintaining workforce capacity in the face of continued housing demand, with annual employment data showing a loss of 8,800 construction jobs despite ongoing development activity.

North Carolina placed third, adding 15,500 construction jobs year-on-year while recording construction employment growth of 5.6%. The state also issued approximately 6,240 residential permits and continues to experience strong housing and population growth, increasing pressure on local labor markets.


Labor shortage continues to impact housing supply

The findings underline the broader consequences of workforce shortages across the construction industry.

America remains short of approximately 1.5 million homes, while labor shortages are estimated to cost the homebuilding sector $10.8 billion annually through project delays, reduced productivity and lost housing output.

Industry analysis also suggests that labor shortages result in around 19,000 fewer homes being built each year, further constraining housing supply.

The challenge is expected to intensify further as older workers leave the workforce. Employees aged 55 and over now account for approximately 22-23% of the construction workforce, creating a significant replacement challenge in the years ahead.


Joe Saad, Regional Vice President at Foundation Building Materials (FBM) Pacific South Region says: “Demand for housing, infrastructure and industrial development is putting pressure on workforces across many of America’s fastest-growing states.

“Construction employment is at historically high levels, yet employers are still struggling to fill critical roles. Our own research reflects this, with four in five (80%) residential and commercial contractors and builders telling us that construction workers are difficult to recruit. This highlights the scale of demand facing the industry and the importance of continuing to invest in workforce development and skilled training.

“Persistent labor shortages affect more than individual contractors; they can delay project delivery, housing supply and increase construction costs. Our findings show that 71% of residential and commercial contractors and builders have seen labor shortages affect their ability to complete projects on schedule, while 89% expect shortages to persist or worsen over the next 12 months. Ensuring the next generation of skilled workers enters the industry will be critical to support future growth.

"Initiatives such as the Lowe's Foundation's commitment to train and develop hundreds of thousands of skilled tradespeople over the next decade demonstrate the kind of long-term investment needed to help strengthen the construction workforce pipeline."

For further information on the study, please visit: https://myfbm.com/news/fbmfeed/us-facing-greatest-labor-pressure-2026

Sophie Wylie
IDHL
+44 845 340 3799