Washington, D.C.—A new study by the National Association of Home Builders shows growing interest among young adults ages 18 to 25 in construction trades. However, the industry still faces a need for greater awareness around career opportunities.
The research builds on a similar study conducted in 2016. The share of young adults interested in construction careers doubled from 3% a decade ago to 6% today. Respondents cited good pay (73%) and the ability to gain useful skills (65%) as the top benefits.
The U.S. faces a shortage of roughly 1.2 million housing units. To close that gap, the industry must recruit younger workers. NAHB estimates the sector will need 2.2 million new skilled workers over the next three years due to growth, retirements and turnover.
“While this new research shows that more young adults have a positive attitude toward a career in the construction trades, many are still unaware that careers in the building trades offer workers well paid jobs and opportunities for growth in one of the most in-demand industries in the nation,” said Bill Owens. “High schools need to stress that the skilled trades are a viable alternative to four-year colleges that can pay above median wages and serve as a launching pad for small business development.”
Owens said policymakers can support workforce development by funding construction education and expanding job placement services. NAHB also supports the CONSTRUCTS Act, bipartisan legislation in Congress aimed at addressing the labor shortage and preparing young adults for careers in the trades.
Compensation driving interest
The survey found that 30% of young adults who are undecided about their career path would consider the trades if pay is high enough. That figure was 18% a decade ago. The data points to improving perceptions of the trades, especially as compensation increases.
Half of payroll workers in construction earn more than $60,320, while the top 25% earn at least $81,510, according to May 2024 data from the Bureau of Labor Statistics. By comparison, the U.S. median annual wage is $49,500, with the top quartile earning at least $78,810.
In another key finding, 52% of undecided adults said they would reconsider a career in the trades for the right salary. Among them, 32% said they would consider the field for $90,000 or more, while 20% cited a range of $60,000 to $80,000. At least 12 construction occupations already meet or exceed those salary levels.
“If we are to meet the housing needs of a growing population, now, more than ever, providing opportunities for students to learn a craft that will produce well-paying and life-long career opportunities must be a top priority,” Owens said.