ICE enforcement partly to blame for construction worker shortage, industry says

New data is highlighting a worsening shortage of construction workers nationwide, and recent immigration enforcement efforts may be playing a role, according to the Associated General Contractors of America (AGC).

In a survey released Thursday, the AGC reported Washington lost 8,200 construction jobs in July, marking a 3.6% decline compared to the same time last year. Western Washington—specifically the Seattle-Bellevue-Tacoma area—made up nearly half of those losses, according to the AGC.

In a press conference held in Alabama, alongside representatives with the National Center for Construction Education and Research (NCCER) and various construction contractors, the AGC shared key insights from their findings.

AGC Chief Economist Ken Simonson said the drop in employment is not solely tied to slowing market conditions. He also blamed a lack of qualified and willing workers, tariffs, and the impact immigration enforcement is having on foreign-born workers, whether in the U.S. legally or illegally.

According to the most recent census data, 34% of construction workers are foreign-born, which is double any other industry.

“Construction is a lot more vulnerable to anything that affects the foreign-born population of workers,” Simonson explained.

Construction worker shortage due to several factors 

The AGC’s findings also come as the construction industry grapples with high building costs, supply chain issues, and uneven demand. At the same time, employers cited a range of challenges in hiring, including candidates lacking the necessary credentials, failing background checks, or not having legal work authorization.

However, even with the issue of immigration enforcement becoming a growing concern for construction companies, Simonson said it’s been a challenge convincing federal lawmakers to make it easier to hire foreign-born workers.

“If they can’t fill a job with a diligent effort to find American workers, they should be able to bring foreign workers in,” Simonson said. “The gridlock in Washington over this issue has really stymied our efforts for a long time.”

To address the shortage, many contractors are investing in training programs and expanding outreach efforts, including partnerships with high school and college career programs. Some are also stepping up digital recruitment strategies to reach younger workers.

Despite these efforts, AGC warned that without federal action to expand access to foreign-born labor, the construction industry’s workforce challenges are likely to persist.

While NCCER CEO Boyd Worsham added that fear over U.S. Immigration and Customs Enforcement (ICE) raids has led to foreign-born workers not showing up for work on construction sites.

“Even if they are legal, I think there’s a fear of arrest and then being caught up in something that is very disruptive to their family and to them,” Worsham said.

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