What Is Construction Hiring?

Textbook Definition

Construction hiring is the process of recruiting, selecting, paying, training, and retaining workers for craft, supervisory, and office roles, in a market where skilled labor is scarce.

In Plain English

Hiring is finding people, getting them to say yes, and getting them to stay. Right now there are more open jobs than ready workers, so keeping people matters as much as finding them.

Why Is Hiring in Construction So Hard Right Now?

The gap is large. ABC estimates the industry needs 349,000 net new workers in 2026 and 456,000 in 2027. A majority of the 2026 demand is retirement-driven, and about one-fifth of electricians are over 55. Source: ABC, January 2026.

Contractors feel it. In the 2026 AGC and NCCER survey, 87% of firms had hourly craft openings and 88% said those jobs were as hard or harder to fill than a year ago, with 50% saying harder. Half said candidates lacked skills, certificates, or licenses. And 42% said worker shortages delayed projects. Source: AGC, September 2026.

Pay is going up. In that survey, 55% of firms raised craft base pay by more than the prior year. Production and nonsupervisory construction workers averaged about $39 an hour in September 2026, up 4.3% from a year earlier. But pay is not the only reason people stay. In an older survey of about 1,500 workers, supervisor treatment and chances to learn and advance were the top reasons to stay. That study is from 2021, so treat it as a direction, not a current number.

Signs your hiring is not working:

  • Your job post gets few calls.
  • New hires quit in the first 90 days.
  • You hire and then expect people to know your way of doing things.
  • You do not know how your pay compares with other local contractors.
  • Only the owner supervises.
  • Good people leave because they cannot see a next step.
Three or more? The problem is probably less about finding people than about the system they walk into.

6 Moves That Help You Hire and Keep Construction Workers

You do not have to match the biggest company on pay. You do have to be clear, fair, and organized.

  1. Know your pay against the market.

    Check what other local contractors pay for your trades. The national average of about $39 an hour for production workers is a starting point, not your number. Raise pay where you must, and show the rest of the package.

  2. Write a clear job post.

    Include the trade, the pay range, the license or certificates you need, the schedule, and where the job can lead. Vague posts bring vague candidates.

  3. Recruit where workers are.

    In the AGC survey, 49% added online recruiting and 48% expanded school and career-technical programs. In Florida, the Department of Education’s Office of Apprenticeship works with employers through local representatives and an Apprenticeship Finder Map at apprenticeflorida.com.

  4. Onboard step by step.

    A new hire’s first week sets the tone. Use a simple checklist and a named buddy. See our guide to employee onboarding.

  5. Train and show a path.

    In the AGC survey, 35% to 36% of firms started or increased training spending and 25% added in-person onsite craft training. Even a small shop can offer one class a year and a clear next step.

  6. Fix supervision.

    People leave bad bosses. Build good crew leads using the steps in our crew lead guide, and learn what keeps people motivated in our motivation guide. When you hire the right person for the right job, see how to hire the right employee.

Dr. Paul’s Insight

The cheapest worker to hire is the one you do not have to replace. A hire who quits in 90 days costs you the search, the training, and the delay. Spend your first dollar on the job post, the first week, and the first boss. Then match pay. And plan the payroll cash before you hire, not after.

Hiring Rules to Know: Florida E-Verify and Worker Classification

Rules vary by state. Florida is the example here. Check your own state and ask an employment attorney.

TopicWhat the rule saysWhere
E-VerifyFlorida private employers with 25 or more employees must use E-Verify for new hires, effective July 1, 2023. Keep documentation for at least three years. Three failures in 24 months can bring a $1,000-a-day fine and possible license suspension.Fla. Stat. 448.095
Employee or independent contractor (federal)The IRS looks at three categories: behavioral control, financial control, and the relationship of the parties. Form SS-8 asks the IRS for a determination. The old “20-factor” label is outdated. A Voluntary Classification Settlement Program offers partial relief.IRS Topic 762
Independent contractors in Florida constructionFor workers’ compensation, independent contractors in construction are generally treated as employees, according to an insurance firm’s summary of section 440.02. Corporate officers can apply to be exempt. The exemption is not for subcontractors.Fla. Stat. 440.02

The workers’ compensation summary comes from a secondary source. Ask an attorney or your insurance agent how it applies to your crews.

About 29% of firms in the AGC survey reported an impact from immigration enforcement or policy: 12% had workers leave or not show up, and 16% had subs lose workers. The South was highest at 42%. Plan for the chance that a sub’s crew changes mid-job, and write backup coverage into your subcontractor agreements.

Check Your State

E-Verify thresholds, wage-and-hour rules, and worker classification tests differ across states. Do not copy a Florida rule into another state.

Hiring Questions

How do I hire construction workers?
Write a clear job post with pay and growth, recruit through schools, apprenticeship programs, online posts, and referrals, onboard with a checklist, and give each hire a good crew lead. Keeping people matters as much as finding them.
How much do construction workers make?
Production and nonsupervisory construction workers averaged about $39 an hour in September 2026, up about 4.3 percent from a year earlier, according to Bureau of Labor Statistics data summarized by AGC. Pay varies a lot by trade, experience, and location.
How do I keep construction workers from quitting?
Pay fairly, train people, show a path to advance, and treat them well. In an older worker survey, supervisor treatment and chances to learn and advance were top reasons to stay. Strong crew leads are the best retention tool.
Do I need E-Verify in Florida?
Florida requires private employers with 25 or more employees to use E-Verify for new hires, effective July 1, 2023. Repeated failures can bring fines of $1,000 a day. Laws change, so confirm the current rule.
Should I hire employees or use independent contractors?
The IRS looks at behavioral control, financial control, and the relationship of the parties. In Florida construction, independent contractors are generally treated as employees for workers’ compensation. Ask an employment attorney before you classify anyone.

Start with the systems. Call when you want help building them.

Where These Numbers and Rules Come From

Every figure on this page comes from a source below. Dollar examples labeled as examples are illustrations, not projections for your business.

Dr. Paul Borosky, DBA, MBA

Business Consultant, Author & Educator | 14+ Years | 1,000+ Clients Served

Dr. Paul Borosky, DBA, MBA is a business consultant, author, and educator, and the founder of Quality Business Plan. He helps small business owners across the United States and Canada, including contractors and specialty trades, with business planning, financial modeling, fractional CFO services, and the everyday problems of businesses that depend too much on their owners. He is the creator of Dr. Paul’s Organize-Plan-Grow™ Strategy, author of numerous published books on Amazon including Top 5 Reasons Construction Companies Fail, and publisher of over 1,000 business-focused videos on YouTube.

This page is for general educational purposes only. It is not legal, financial, tax, accounting, insurance, or other professional advice. Construction laws, licensing rules, and tax rules vary by state and change over time. Dollar examples are illustrations, not projections for your business. For decisions about your own business, consult a qualified professional.