New Mineta Transportation Institute (MTI) research, “Addressing Transportation Construction Workforce Needs Through Innovative Policies and Practices,” explores insights from methods to reduce labor shortages in the agricultural, technology, and healthcare economic sectors and how they can be applied to transportation construction.

The nation is facing a critical shortage of construction workers, and that shortage becomes increasingly apparent as more funding becomes available through the Infrastructure Investment and Jobs Act (IIJA). 

The findings in this project are from a literature review of current sources and informal interviews with stakeholders of the three economic sectors of interest (agriculture, tech, and healthcare). 

Report Points

The major finding from MTI’s report is there simply are not enough workers. 

The research team investigated causes and solutions of labor shortages in each of the economic sectors, with a particular focus on the impact of changes in policies and processes to understand their potential for transportation.

Looking to comparative economic sectors that are facing or have faced similar labor shortages, the study found potential solutions that address issues related to three main categories: 

1. Raising awareness of an increased demand for particular skills and positions. 

2. Recruiting workers with the proper skills. 

3. Retaining quality workers so that positions remain filled. 

Solutions for Construction Sector 

The solutions most applicable to highway construction come from healthcare. Major recommendations include:

• Highway construction skills can be taught at trade schools and training programs led by experienced workers.

• Subsidized incentives for instructors for trade schools and training programs can be implemented so that an instructor shortage does not develop as it has in healthcare. 

• Incentive programs for construction workers themselves could also help address labor shortages. 

“Each industry has unique challenges and constraints. Healthcare is primarily focused on increasing recruitment because that would also help them solve their retention issues. Agriculture is focused on retention and recruitment since they cannot find a way to make farm work attractive to the public, and their incumbent workers are starting to retire. Technology is a large and diverse economic sector and has a broad set of issues, but because it requires the least manual labor amongst the three, many of the solutions are not as applicable to highway construction,” explained the study’s authors.

Implementing Strategies

Many construction firms are already implementing solutions, such as raising pay rates (86%), providing incentives and bonuses (45%), and enhancing benefits packages (24%). 

Additional strategies may include offering reduced-cost training programs in exchange for a commitment to work in areas with shortages or at specific companies. 

The transportation construction workforce shortage has become an even more acute problem in recent years because of pandemic-generated labor disruptions and the need for workers to implement projects funded by the IIJA.

The IIJA will invest $4.9 billion in the state for highway-related infrastructure projects, but these projects cannot happen without a capable, committed workforce.