Nationwide Construction Worker Shortages Cause Delays

Busy construction site for the Meta data center in Richland Parish

Washington State, September 1, 2025

News Summary

Construction projects across the U.S. face significant delays due to a shortage of workers, exacerbated by immigration enforcement. In Washington, 25% of construction firms report negative impacts, while Meta’s $10 billion data center project raises local employment and energy concerns. Industry experts emphasize the urgent need for solutions to address workforce shortages and sustain ongoing projects.

Washington State – Significant delays in apartment projects and data center developments are occurring nationwide due to a shortage of construction workers. This shortage is compounded by increased immigration enforcement efforts that have affected nearly a third of construction firms across the United States.

A survey conducted by the Associated General Contractors of America alongside the National Center for Construction Education and Research reveals that 25% of construction firms in Washington have reported negative impacts resulting from immigration enforcement activities within the last six months. Nationwide, the same survey shows that 28% of surveyed construction firms experienced direct or indirect effects from immigration actions during the same period.

Furthermore, the survey found that 5% of construction companies faced visits from immigration agents on job sites, and 10% reported that workers either left or did not show up because of these enforcement actions. Additionally, 20% of firms indicated that their subcontractors experienced workforce losses due to immigration-related issues.

According to industry professionals, over 90% of contractors across the nation are struggling to fill available positions, which is leading to significant project delays. Construction officials are advocating for increased funding for construction education and lawful pathways for skilled workers to enter the industry. Ken Simonson, the chief economist for the association, emphasized that current workforce shortages are having lasting effects on construction projects across various sectors.

Nearly 1,400 firms took part in this year’s Workforce Survey, marking the 13th annual study of its kind. The findings emphasize the urgency of addressing both the worker shortage and the challenges posed by immigration enforcement on the construction industry.

In addition to these concerns, a major ongoing project contributing to the construction backlog is Meta’s $10 billion data center being built in northeastern Louisiana. This data center is designed to support the company’s artificial intelligence operations and has the potential to transform the local economy.

Set to be the largest data center in the Western Hemisphere, the facility will occupy a 2,250-acre site in Richland Parish. Its energy requirements are substantial, estimated to demand roughly twice as much electricity as the city of New Orleans on peak days. To fulfill these energy needs, local utility provider Entergy is seeking approval to construct three new gas-fired power plants at a projected cost of over $3 billion.

In an effort to attract Meta to the region, Louisiana has offered a 20-year sales tax exemption. However, this exemption raises concerns about the state’s potential financial liabilities. The construction of the Meta data center is expected to create around 5,000 temporary jobs, with approximately 500 permanent positions available once the facility becomes operational.

Conversely, the project has sparked debate among local communities, with some critics arguing it could jeopardize the reliability of Louisiana’s power grid and lead to increased electricity prices for residents. The data center’s impact on energy markets has elicited mixed responses from local political figures, environmental advocates, and energy user groups.

In response to the increasing demand for sustainable energy solutions, Entergy’s stock has experienced a surge following the announcement of the Meta project. The company is likely to continue investments in energy infrastructure. As part of the deal, Meta has also pledged to contribute to the development of renewable energy resources.

Local officials underscore that the data center could play a significant role in revitalizing Richland Parish, one of the poorest regions in Louisiana. Yet, the scale of the project and its extensive energy requirements have raised questions about maintaining a reliable power supply and the sustainability of the state’s energy grid.

Frequently Asked Questions

What are the primary factors causing construction worker shortages?

Nationwide construction worker shortages are primarily due to immigration enforcement actions and a lack of available skilled labor, with over 90% of contractors struggling to fill positions.

How are construction firms reacting to the immigration enforcement activities?

Many construction firms are advocating for increased funding for construction education and legal pathways for workers to enter the industry to mitigate the negative effects of immigration enforcement.

What impact does Meta’s data center have on local employment and infrastructure?

The construction of the Meta data center is expected to create approximately 5,000 temporary jobs and around 500 permanent positions once operational, though it also raises concerns about energy demand and grid reliability in Louisiana.

Key Features of Nationwide Construction Challenges

Feature Details
Construction Worker Shortages Widespread across the U.S., affecting 90% of contractors.
Immigration Enforcement Impact 25% of Washington firms and 28% nationally report impacts.
Meta Data Center Project Largest data center in Western Hemisphere, $10 billion investment.
Job Creation 5,000 temporary jobs and 500 permanent positions anticipated.
Environmental Concerns Critics worry about power grid reliability and electricity rates.

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STAFF HERE PHILADELPHIA WRITER
Author: STAFF HERE PHILADELPHIA WRITER

PHILADELPHIA STAFF WRITER The PHILADELPHIA STAFF WRITER represents the experienced team at HEREPhiladelphia.com, your go-to source for actionable local news and information in Philadelphia, Philadelphia County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Mummers Parade, Philadelphia Flower Show, and Thanksgiving Day Parade. Our coverage extends to key organizations like the Greater Philadelphia Chamber of Commerce and United Way of Greater Philadelphia, plus leading businesses in telecommunications, food services, and healthcare that power the local economy such as Comcast, Aramark, and Children's Hospital of Philadelphia. As part of the broader HERE network, we provide comprehensive, credible insights into Pennsylvania's dynamic landscape.

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