Construction Job Openings Rebound but Hiring Remains "Extremely Subdued"
According to Engineering News-Record, construction job openings rose 23,000 in March compared to February, bringing the industry total to 224,000, but that figure still sits 54,000 below where it stood in March 2025, per the latest U.S. Bureau of Labor Statistics Job Openings and Labor Turnover Survey.
A Market With Little Movement
The rebound in openings follows what economists described as a historically weak February. Anirban Basu, chief economist at Associated Builders and Contractors, called the current environment one defined by “an utter lack of churn.” While month-over-month hires increased by 14,000 and total separations rose by 8,000, the year-over-year picture tells a different story: separations have dropped by 32,000 since March 2025, while hires have grown by only 8,000.
Basu noted that contractors are holding onto workers, with the layoff and discharge rate falling to its slowest pace since early 2024, lower than at any point before 2022. Workers, meanwhile, are also staying put. “Workers are also reluctant to quit compared to the prevailing trend of the late 2010s and early 2020s,” Basu said.
What It Means for Subcontractors
- Poaching may not work like it used to. With workers reluctant to quit and employers reluctant to let people go, the available labor pool heading into summer is thin. Don’t count on luring experienced field hands away from competitors the way you might have a few years ago.
- Retention matters more than recruiting right now. With total openings down 54,000 year-over-year, the crews you have are harder to replace than the numbers suggest. Keeping your best people should be a higher priority than chasing new hires.
- Low churn can mask capacity problems. A frozen labor market means your crews likely aren’t growing, even if project pipelines are. Subcontractors bidding summer work should pressure-test their staffing assumptions now, before mobilization deadlines hit.
- Watch for a lag effect. If project awards pick up in Q2 and Q3, a sluggish hiring market means it will take longer than usual to scale field operations. Build that lead time into your project scheduling.
