(ALABAMA) Alabama’s building boom is colliding with a shrinking labor pool, and contractors say recent immigration raids are making a tight situation worse. As of August 2025, 90% of Alabama construction firms report trouble hiring, with 83% carrying open craft and salaried roles. Nearly half of firms—46%—say they’ve been directly or indirectly hit by new enforcement in the last six months; 13% reported workplace visits from immigration agents and 29% said workers left or didn’t show up after immigration actions. Employers across the Alabama construction sector warn that projects are slowing, costs are rising, and key deadlines are slipping.
Industry leaders say these stress points are showing up everywhere—from highway upgrades and hospital expansions to small-town roofing jobs—and they’re now the top reason for project delays. The commercial side alone is forecast to top $20 billion in economic impact this year, but firms caution that growth is at risk without more workers. The state reported more than 116,000 open jobs in February 2025, a figure that highlights how far demand outstrips supply.

Ken Simonson, chief economist for the Associated General Contractors of America, put it plainly: “Construction projects of all types are being delayed here in Alabama and across the country because there aren’t enough qualified workers available for firms to hire.” He and others are urging Washington to open lawful paths for foreign workers while boosting training for local talent. Boyd Worsham, president and CEO of NCCER, added, “We can’t build the future without investing in people,” calling for long-term solutions that blend immigration reform with strong career and technical education.
Labor Strain Deepens as Enforcement Rises
Contractors say the current workforce shortage isn’t new, but the pace of immigration raids and workplace checks in 2025 has worsened it. ICE actions have led to sudden labor losses and higher fear among undocumented workers, who have long filled essential roles in framing, concrete, roofing, drywall, and site prep.
Managers describe crews dropping from full strength to half in a week, forcing schedules to be rewritten and subcontractors to scramble for help. At the same time, the skills gap is biting: 48% of firms report that applicants lack needed licenses or hands-on skills. That leaves foremen training new hires on the job while also trying to meet schedule milestones.
The result: overtime bills grow, change orders pile up, and delivery dates slip. Some builders report raising prices to cover higher labor costs and idle time caused by short crews. Others say they’ve postponed bids or declined new work.
The broader Alabama economy is feeling the strain. Contractors report that workforce shortage is now the main cause of delays, pushing back school openings, hospital wing completions, and road timelines. That affects taxpayers and consumers when prices rise or critical infrastructure takes longer to finish. Economic analysts warn continued shortages could dampen investment decisions and slow the state’s growth trajectory.
“Construction projects of all types are being delayed here in Alabama and across the country because there aren’t enough qualified workers available for firms to hire.” — Ken Simonson, AGC chief economist
Policy and Legal Context
Firms say they need clearer, faster legal routes to hire from abroad. Yet only 12% of Alabama contractors use temporary work visas, such as H-2B for non-agricultural jobs. Companies cite paperwork burden, high legal costs, and tight federal caps.
Advocates are pushing for:
- A construction-specific visa
- Simpler steps and more predictable timelines
- Congress to increase H-2B numbers
- More funding for job training programs
For readers seeking an official overview, the U.S. Citizenship and Immigration Services H-2B page explains employer eligibility, worker qualifications, and seasonal need rules. Employers note that even when they qualify, timing often clashes with project schedules; approvals can arrive after bids have expired or weather windows have closed.
Industry groups, including the Associated General Contractors of America and NCCER, urge Congress to double federal support for high school career and technical education and to renew and improve workforce programs under the Workforce Innovation and Opportunity Act. They argue that Alabama construction relies on both immigrant and U.S. workers, and that long-term strength depends on stronger pipelines for each.
According to analysis by VisaVerge.com, low use of legal work visa programs stems from complex steps and limited quotas that don’t match the size of the need in trades. That gap is showing up in backlogged timelines and in quiet decisions by some firms to pass on new projects rather than overpromise.
Trade policy is a secondary headwind. Some contractors say tariffs have pushed up material prices and caused them to accelerate purchases or raise bids. A portion have even canceled or postponed work tied to unpredictable costs. But most executives interviewed for this story say the central problem is people: finding, training, and keeping the workers to pour concrete, set steel, and finish interiors on time.
What Contractors Are Doing Now
In the wake of stepped-up immigration raids, firms are shifting tactics to try to stabilize their workforce:
- Paying retention bonuses and offering higher starting wages to hold crews together
- Partnering with community colleges and high schools for fast-track training programs
- Cross-training workers to handle multiple tasks and reduce idle time
- Adjusting bid calendars and adding longer completion windows
- Increasing compliance checks on documents to reduce legal risk
- Building deeper subcontractor benches to spread demand
Even these steps have limits. Smaller builders, especially outside major metros, say they can’t match pay or benefits offered by larger firms. While cross-training helps, it doesn’t replace specialized skills that take years to learn. Commercial superintendents say they’re now spending more time recruiting than overseeing sites, which slows field decisions and safety checks.
Looking ahead, industry leaders expect shortages to continue into 2026 without action in Washington. They’re pushing for:
- A targeted visa tailored to construction
- Faster seasonal approvals
- Stable funding to expand apprenticeships
- Clearer guidance on enforcement so firms can plan staffing without sudden, disruptive losses
They argue policymakers should treat labor supply as infrastructure itself.
Human Impact and Local Examples
For families and workers, the choices are personal and immediate:
- A father in Huntsville might turn down overtime to care for kids because his crew is missing two carpenters and hours have stretched.
- A young graduate in Montgomery may enter a paid apprenticeship, only to find her site short on journeymen who can mentor.
- An immigrant mason in Birmingham may switch jobs or leave the state after a coworker is detained, taking years of skill with him.
Each decision adds up, affecting schedules, budgets, and the roofs over people’s heads.
Conclusion
Alabama’s construction workforce has long included immigrants—documented and undocumented—working alongside local tradespeople. The recent squeeze has exposed how important those workers are to meeting the state’s building goals.
Contractors say they stand ready to hire and train, but they need reliable legal paths and steady funding to do so at scale. Without that, the backlog grows, and the cost of delay lands on businesses, public agencies, and households across the state.
This Article in a Nutshell
Alabama’s construction boom is colliding with a shrinking labor pool in 2025, a problem worsened by increased immigration enforcement. By August 2025, 90% of contractors reported hiring difficulties and 83% maintained open craft or salaried positions; 46% reported direct or indirect impacts from enforcement in six months. ICE actions and workplace checks prompted crew losses, absenteeism and heightened fear among undocumented workers, exacerbating an existing skills gap—48% of firms say applicants lack required licenses or hands-on skills. Only 12% of firms use temporary work visas like H-2B, citing paperwork, costs and caps. Consequences include delayed highways, hospital expansions and other projects, rising costs, overtime and canceled bids. Contractors are responding with higher wages, retention bonuses, cross-training and partnerships with community colleges, but leaders stress the need for a construction-specific visa, faster approvals and more funding for apprenticeships. Without federal action to open legal pathways and strengthen training, shortages are expected to continue into 2026, threatening economic growth and delaying infrastructure across the state.