A new survey conducted by the group Associated General Contractors of America and the non-profit National Center for Construction Education and Research focused, in part, on the impact of new federal immigration policy on the building industry. Roughly one third of projects in the U.S. reportedly have been delayed due to federal immigration enforcement. Alabama is considered among the states more likely to be impacted.
Among the main complaints, is the inability of construction firms to hire enough workers to get projects done. In Alabama, roughly eighty percent of the respondents say they’re having difficulty in filling both salaried and hourly staff openings. Engineers, carpenters, cement masons, electricians, and crane operators are among the jobs where Alabama firms report 100% difficulty in hiring.
On the subject of immigration enforcement and the impact it’s having on Alabama construction companies, nearly 50% the respondents said they lost workers due to actual or rumored visitors by ICE agents. Just 13% of Alabama companies reported having an actual visit by immigration officials. Just over half of the respondents in Alabama report no problems connected to ICE at all. However, 84% of Alabama respondents say they don’t use VISA programs to bring in workers. The overall situation is reportedly worse in Georgia, where 75% of construction companies reported problems connected to immigration policy.
ICE activity isn’t the only issue covered in the survey. Newly imposed and announced tariffs are also reportedly having an impact on the construction industry. The authors noted that 16% of firms noted that at least one project they are working on has been postponed, canceled or scaled back because of tariffs. 41% of firms report they have raised prices because of tariffs and 39% have accelerated purchases in anticipation of new tariffs. Only 14% of firms report they have switched from foreign to domestic suppliers because of tariffs. In Alabama, 40% of respondents say they’ve accelerated purchases to get around new tariffs, while 12% have absorbed the cost to avoid passing the burden along to consumers.
Another complaint by the authors is their claim that federal officials have failed to properly invest in construction workforce training and education. Researchers note that the survey responses highlight the impacts of these investment shortfalls, and that 57% of firms report that available candidates are not qualified to work in the industry because they lack essential skills or do not have an appropriate license for the position.
