The UK construction industry has faced one of its most significant challenges in decades: a shortage of skilled labour. According to the Construction Industry Training Board (CITB), the sector needs over 250,000 additional workers by 2027 to meet demand. The solution has to encompass the right skills, the right people, and the proper workplace practices to attract and retain them.
While supply chain constraints, economic fluctuations, and post-Brexit workforce changes play a role, the labour shortage is also a people management problem. The construction sector needs to rethink how it recruits, develops, and retains talent, starting with people practices.
Understanding the Root of the Crisis
A combination of factors drives the skills gap. An ageing workforce means many experienced tradespeople are retiring, and the number of those entering the workforce is not equal to those ageing out. As older workers retire, there is the added issue of having too few apprentices to replace them. Attracting school leavers into learning a trade is becoming increasingly complex, so the industry intake is far lower than previously.
The construction industry has also historically struggled to attract a broad demographic for recruitment. Low numbers of young people, women, and underrepresented groups are partly due to outdated perceptions about the nature of construction work. Many of these groups don’t see themselves represented in the industry, which can deter applicants.
Add to this the rising demand for green building skills, digital construction expertise, and compliance knowledge, and it’s clear why the shortage is so severe. Not to mention the other industries competing for the same talent from an already shrinking candidate pool.
Rethinking Recruitment
Construction HR teams can no longer rely on traditional recruitment methods and expect to fill roles. Word of mouth recruitment has always been a go-to tool for construction recruitment, but it’s short-sighted as a standalone technique. Expanding the talent pool is essential, and that means expanding recruitment practices. Tap into new demographics through targeted campaigns, engaging with schools and colleges to build interest early, and promoting the wide variety of careers available in modern construction.
Highlighting the industry’s growing emphasis on sustainability, technology, and professional development can help shift outdated stereotypes. These tap into people’s values and goals and can help reframe people’s perception of what a career in construction may look like.
Organisations can also improve their offers to potential candidates to become more competitive. For example, offering flexible working arrangements can make construction more attractive to a wider range of candidates.
Building a Culture That Retains Talent
Retention is just as important as recruitment. Once skilled workers are on board, they must feel valued, supported, and safe. This is where HR has a direct impact on business performance. Clear career progression pathways, regular training, and recognition schemes contribute to long-term loyalty. Create personal development plans for workers and discover their personal goals and how you can help facilitate that journey. Workers are more likely to stay with a company that they feel is invested in their future and success.
Workplace culture also matters when it comes to retaining top talent. Construction has made significant strides in health and safety over the years, but now the focus must include mental health and well-being. Initiatives such as peer support networks, mental health first aid training, and open communication channels can make a real difference in keeping staff engaged and committed.
Investing in Training and Development
The construction skills shortage will not be solved purely by hiring new people. Upskilling the existing workforce is equally critical in the short and long term. From advanced technical training to leadership development, companies that invest in their people will see better retention and higher productivity.
Partnerships with training providers, apprenticeship schemes, and mentorship programmes are proven ways to grow talent from within. Additionally, the rise of new building methods such as modular construction and the increasing role of compliance in project delivery mean that continuous professional development is now a business necessity.
Compliance as a Competitive Advantage
Workers are drawn to employers who prioritise safety, compliance, and ethical practices in a competitive labour market. Veriforce CHAS certification, for example, demonstrates that a contractor is committed to the highest standards in health and safety. It also reassures clients and employees that they are joining a professional, responsible organisation.
For HR leaders, integrating compliance into people practices also streamlines subcontractor management. It ensures that every worker, whether directly employed or part of the supply chain, operates to the same high standards.
The Bottom Line
The skilled labour crisis in UK construction is a complex challenge, but not insurmountable. By adopting modern, inclusive, and people-focused practices, construction companies can attract new talent, retain valuable employees, and build a resilient workforce for the future.
The industry’s success depends on the people who make every project possible. Now is the time for construction businesses to put people management at the heart of their strategy and secure the skills they need for the years ahead.
