Addressing Construction Labor Shortages in Rural Areas

Demand for labor is high, supply is low and construction projects are stalling, especially in rural areas.
Two people on a construction labor crew dressed in safety gear, standing in an open field and surveying a plan.

By any definition, the U.S. construction industry is booming, with over $2 trillion in new starts in 2025. But many companies are unable to fire on all cylinders due to a persistent shortage of skilled labor.

In a 2025 industry-wide survey by the Associated General Contractors (AGC), 92% of construction firms reported difficulty finding qualified workers. This gap is especially pronounced in rural areas.

Snapshot of the Construction Labor Market

Even as construction activity remains robust, the U.S. construction labor market is extraordinarily tight.

Here are some quick facts:

  • Total construction employment: ~8.3 million workers, one of the highest levels on record.
  • Unemployment: around 3-4% in late 2025
  • Demand: monthly job openings exceeded 250,000–270,000 in December 2025, a 42% year-over-year increase
  • Projected shortfall: It’s estimated that 349,000 more construction workers will be needed in 2026.

The Forces at Work

Demand for construction remains high, fueled by federal infrastructure projects, residential housing needs and industry growth in areas like data centers and renewable energy.

At the same time, the pool of available talent is shrinking due to two factors.

The skills gap is widening. This skills gap spans trades from carpenters and electricians to equipment operators. Contractors say many applicants lack the required skills or certifications.

The labor force is shrinking. An aging workforce means 1 in 5 construction workers is over 55 and nearing retirement, and there aren’t enough young workers entering the market to take their place.

Immigration policies are also affecting the industry, which relies on immigrant labor for about 25% of its workforce. The effects of immigration enforcement vary by region, but nationwide, it’s reported that 28% of construction firms have been directly or indirectly affected.

Labor Shortages Delaying Projects

Chronic labor shortages have real consequences on project delivery. According to a nationwide survey, 45% of construction firms say projects have been delayed due to workforce shortages. In fact, workforce shortages were the single most commonly cited cause of project delays in 2025.

The survey also found that 78% of contractors had at least one project delayed in the past year (for any reason), highlighting how widespread schedule slippage has become. In many cases, firms simply cannot find enough skilled workers on the timeline needed to keep projects on schedule.

Problems Multiply in Rural Areas

The skills shortage is acute in projects far from major population centers. Rural areas tend to have fewer trained construction workers available, due to factors like smaller populations, lower local training capacity and outmigration of young talent to cities. Additionally, rural areas may struggle to attract and retain new talent due to a lack of amenities and job opportunities.

This shortage of skilled workers can lead to higher labor costs and delays in construction timelines. Rural construction jobsites must often draw workers from distant cities or thinly populated areas, causing unforeseen delays and ultimately raising the overall cost of projects. A shortage of just a few key tradespeople can stall an entire project if replacements aren’t readily available.

Talent Attraction Strategies for Remote Areas

To overcome these challenges, hiring managers in construction and manufacturing are adopting creative strategies to source and retain workers for remote jobs. Key best practices include:

Expand and Innovate Your Recruitment Reach

Don’t rely solely on the local workforce. Cast a wider geographic net for candidates at the outset by tapping into national job boards or construction trade associations. Better yet, partner with Manpower to access a pipeline of skilled tradespeople that have indicated a willingness to travel.

Offer Strong Incentives for Mobility

To entice craft workers to travel for remote projects, many firms are boosting compensation and benefits. Wages are rising in the industry – the average hourly earnings for construction workers reached $40+ (for non-supervisory roles) by early 2026, outpacing the private-sector average.

But higher pay alone hasn’t solved the shortage.

Here are some other incentives that can significantly sway a worker’s decision to take a remote job:

  • Sign-on bonuses
  • Completion bonuses tied to project milestones and/or retention incentives
  • Per diem pay (daily stipends) to cover meals and housing allowances
  • Company-provided accommodation with desired amenities such as reliable internet access, recreational facilities
  • Transportation to the jobsite or vehicles for crew use
  • Enhanced healthcare benefits
  • Extended time-off rotations (e.g. one week off after three weeks on-site)

Invest in Local Workforce Development

Building a local talent pipeline is a longer-term solution, but it can pay off for repeat projects in a given area. Partner with regional trade schools, community colleges, and apprenticeship programs to train local residents in needed skills. By offering training, certifications, or pre-apprenticeships in the community, you not only expand the pool of homegrown talent but also earn goodwill by creating jobs for locals. For example, some contractors collaborate with workforce development agencies or vocational programs to upskill workers in rural areas, creating a more sustainable labor supply for ongoing projects. Even on a shorter timeline, you might offer on-site training for entry-level laborers from the local community and pair them with experienced mentors.

Manpower Case Study: Success Staffing a Remote Solar Project

To see these strategies in action, consider a recent success story from Manpower. A leading solar farm developer was struggling to staff the construction and maintenance of solar installations in some of the most remote parts of Arizona, Nevada and California. The sites’ distant locations made it difficult to find experienced technicians nearby, and even harder to retain them. The company’s HR team was continually recruiting and training replacements, driving up costs and distracting from other priorities.

Manpower Engineering partnered with this client to solve the talent gap. First, Manpower deployed a team of specialized recruiters with experience in the renewable energy sector. The recruiting team studied the local geographies of each project — mapping out nearest towns and labor markets, transportation options, and market wage rates — to determine how best to attract candidates to those areas.

Using a national talent network, they identified skilled solar technicians and electricians willing to travel. To sweeten the deal, Manpower helped the client implement a package of incentives: including per diem pay for travel, referral and retention bonuses for workers who stayed on through key project milestones. They also leveraged industry contacts to tap into an alternate talent pool – discovering that a similar employer was downsizing, and quickly recruiting several of that company’s newly available (and already-trained) technicians.

The results were immediate. Within six months, Manpower filled 10 Field Service Technician roles for the solar farms. This influx of talent alleviated the client’s labor shortfall, allowing construction and maintenance work to proceed on schedule. The client’s HR team was relieved of the constant cycle of sourcing and training new hires, and critical project demands in the field were finally met. The client saw the value in these strategies and expanded its partnership with Manpower for other projects.

Trust the Experts

Finding construction workers for rural and remote projects requires a proactive, multifaceted approach. A tight U.S. labor market means that standard hiring practices may not be enough when your project is far from population centers. By leveraging nationwide recruiting networks, offering compelling incentives, developing local talent and taking care of workers on the job site, even hard-to-fill remote roles can be staffed with the skilled people you need.

As the Manpower case study demonstrates, the right staffing partner can ensure that labor shortages don’t derail your project timeline. Don’t wait until you’ve already fallen behind. Connect with a Manpower expert today.