Labor Shortages Top Challenge in Q2 Construction Outlook
Slice of Construction Team
Jun 17, 2025
Key highlights
- Labor shortages now a leading cause of project delays, compounding ongoing delivery challenges.
- DPR recommends prefabrication and Self-Perform Work to manage workforce gaps and improve scheduling.
- Market pressures span key sectors, from life sciences to advanced tech, with tailored strategies needed per sector.
Source: PR Newswire
Notable Quote
“ Volatility has become the norm, not the exception. Labor availability, material lead times, and regulatory hurdles are converging into a perfect storm. The customers weathering it best are planning early, pressure-testing strategies, and working with partners who know how to respond as conditions shift. ”
Tim Jed, Supply Chain Leader at DPR Construction
Why This Matters
The Q2 2025 Market Conditions Report from DPR Construction underscores a pivotal moment for the building industry: labor shortages, on top of existing permitting, utility, and material cost issues, are now the chief contributor to project delays. As the industry faces an estimated 546,000 worker shortfall this year, DPR emphasizes the need for proactive planning, data-driven strategies, and flexible delivery methods.
From healthcare and higher education to life sciences and advanced tech, project success hinges on early alignment, prefabrication, and informed scenario modeling. In an environment where volatility is no longer the exception, but the rule, those who adapt swiftly and smartly will stay ahead.
For the full report and data dashboard, visit: dpr.com/market-conditions
