Top 3 recruitment challenges for building and construction companies

TL;DR  

Building and construction companies play a critical role in infrastructure, housing, and societal development. Yet recruitment in the sector is becoming increasingly difficult, driven by structural labor shortages and shifts in workforce demographics. For HR and recruitment teams, the challenge is therefore twofold: meeting immediate project needs while also securing the future workforce.  

More specifically, three issues stand out. Based on insights from our 2026 HR Report, built on responses from over 5.000 candidates, as well as conversations with HR leaders in building and construction, this article outlines those issues, as well as context to why addressing them requires more than traditional hiring approaches. 

Overview 

• Why shortages of skilled and technical workers persist
  
• Why an ageing workforce threatens long-term capacity
  
• Why employer brand perceptions limit access to young talent
• What this means for recruitment in building and construction

1. Shortage of qualified skilled workers and technical skills

Across the building and construction sector, demand for skilled workers consistently exceeds supply. Roles requiring specific technical expertise, such as electricians, plumbers, site managers, and specialized technicians, are particularly difficult to fill. 

Why? These roles often require formal qualifications, certifications, and hands-on experience, which significantly narrows the available talent pool. At the same time, competition for skilled labor extends beyond construction, as similar technical skills are sought after in adjacent industries. 

For recruiters, this results in prolonged vacancies, increased reliance on subcontractors, and mounting pressure on existing teams to cover gaps. This pressure is often amplified by candidate experience challenges. In our 2026 HR Report, candidates highlighted:

• long or complex application requirements

• and unclear job descriptions 

as two of the most frustrating parts of the recruitment process. In a sector already struggling with limited talent supply, friction in the hiring process can further reduce the number of qualified applicants willing to complete an application. 

2. Declining talent inflow and an ageing workforce

The sector faces a long-term demographic challenge. Fewer young people are entering building and construction roles, while a large share of the existing workforce is approaching retirement age. Ultimately, this creates a growing gap between labor demand and supply. Knowledge transfer becomes more difficult, and organizations risk losing critical experience faster than it can be replaced. 

For HR teams, this means recruitment can no longer focus solely on immediate vacancies. Long-term workforce planning, early engagement with future talent, and retention of experienced employees become essential to maintaining capacity and continuity. This is particularly important as expectations around development and progression continue to shape career decisions. According to the opinions of over 5.000 candidates, career development potential ranks among the most important factors when candidates decide which roles to apply for.  

For building and construction employers, making learning pathways, apprenticeships, and progression opportunities visible therefore becomes key to attracting new entrants and retaining knowledge within the organization. 

3. Attracting young talent and employer brand challenges

Despite offering stable employment and meaningful work, building and construction is often perceived as physically demanding, traditional, and less attractive compared to other industries. These perceptions can discourage younger candidates before they even consider applying. 

Employer brands therefore play a decisive role. How organizations communicate working conditions, development opportunities, safety, and career progression directly influences whether young talent engages with the sector at all. This aligns with insights from our 2026 HR Report, where candidates told us that when they first look at a job ad,  

• job title and headline
• company culture and values
• and key responsibilities

are the three most important factors in capturing their attention. This reinforces how employer branding and clarity play a decisive role in whether younger candidates engage with opportunities in the sector at all. 

What's next?

Recruitment in building and construction is unlikely to become easier in the near future. Skills shortages will persist, workforce demographics will continue to shift, and competition for technical talent will intensify. 

However, there are ways to work with and around these issues. Our gathered candidate feedback data consistently shows that clarity, timely communication, and well-structured recruitment processes shape how employers are perceived, making recruitment experience an increasingly important part of employer branding. 

At Talentech, we work with building and construction companies across the Nordics and the Netherlands to: 

• Build long-term talent pipelines for skilled and technical roles, including apprentices and early-career talent 

• Support workforce continuity by structuring recruitment and retention around long-term capacity planning 

• Strengthen employer branding by clearly communicating roles, development opportunities, and working conditions 

Explore how our recruitment solutions support building and construction companies HERE.