(DPR Construction: Redwood City, CA) -- Just as individual market sectors are finding ways to move projects forward after a year of supply chain and cost turbulence, the ongoing labor shortage threatens to bog down construction unless owners and contractors embrace new approaches, according to the latest Market Conditions Report from DPR Construction, one of the nation’s top technical builders.

A recent survey by the Associated General Contractors of America and the National Center for Construction Education & Research showed:
• 88% of firms hiring craft workers and 80% employing salaried staff reported job openings, with similar percentages saying all of those positions are harder to fill than a year ago.
• 45% of respondents reported project delays due to a shortage of workers.
• Nearly 30% of firms cited immigration enforcement actions as contributing to the labor strain directly or indirectly.

“While contractors like DPR have changed how they recruit and are offering compelling career paths and benefits, the reality is it will take at least a generation to fully address the labor shortage,” says Roel Aguilar, DPR’s national preconstruction leader. “Owners looking to create more predictability should consider a self-performing general contractor and be open to new methods and technologies that can increase project efficiency using the existing workforce.”

DPR not only has a team of more than 5,000 self-performing workers, it also has taken a proactive approach to increasing efficiency. From progressive forms of delivery that increase speed to market and embracing lean construction techniques to scaling best practices across sectors and piloting new technology, project teams are working hard to extend the productivity and availability of the existing labor force.

Labor pressures come at a moment when customers across DPR’s core markets are moving ahead with projects, having successfully navigated tariff and supply chain uncertainties, market fluctuations, and more. Projects in advanced technology and life sciences are projected to be significant drivers for construction demand in 2026.

Similarly, healthcare customers are shaping their capital construction programs to account for new legislation and reimbursement models. Higher education is also adapting to a “new normal” based on policy and student preferences, while signs indicate that the commercial office market is beginning to awaken.

To learn more, explore the full report as well as DPR’s interactive market conditions dashboard.