Construction News for the Week Ending February 6, 2026
Construction Industry’s Workforce Challenge
The construction industry needs to attract 349,000 new workers this year, a decrease from previous estimates, due to modest growth forecasts. However, this gap could widen if demand increases unexpectedly or if immigration policies change. The industry faces challenges in hiring skilled workers, exacerbated by an aging workforce and political and economic uncertainty.
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H-H-2C Visa Proposal to Tackle Construction Labor Shortage
A new seasonal worker visa, the H-2C, is being proposed to address the construction industry’s labor shortage, particularly in the Rio Grande Valley. The Essential Workers for Economic Advancement Act, introduced by U.S. Rep. Lloyd Smucker, aims to provide visas to qualifying non-citizens. The shortage, exacerbated by ICE raids, is causing delays in home construction and impacting the industry’s ability to meet demand.
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Rising Construction Costs in 2025
Nonresidential construction input costs rose 3.2% in 2025, driven by tariffs on materials like copper and steel. Despite these increases, contractor optimism remains high, with many expecting profit margins to stay stable or improve. However, economists warn that tariffs will continue to drive up construction costs in 2026.
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Construction Dive’s December 2025 economic roundup
Construction planning activity increased in December, driven by data center and infrastructure work, with strong pipelines for 2026. However, backlog gains favor large contractors, while smaller contractors face shrinking backlogs, and rising materials prices in 2026 are a concern.
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Milton S. Eisenhower Library Reconstruction Underway
Skanska USA Building has transitioned from demolition to reconstruction on the Milton S. Eisenhower library at Johns Hopkins University. The $104 million project, expected to be completed in fall 2026, will include a two-story reading room, expanded study spaces, and specialized learning labs, achieving LEED Gold certification.
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Build HUBS Act Overview
The Build HUBS Act, introduced by Senators Curtis and Blunt Rochester, aims to boost housing construction near transit hubs. The bill proposes extending TIFIA and RRIF through 2031, clarifying the definition of transit-oriented development, and implementing a delegated lending model to expedite project review and funding.
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Rising Construction Costs in 2025-2026
Nonresidential construction input costs rose 3.2% in 2025, driven by tariffs on materials like copper and steel. While some materials like asphalt may stabilize, tariff impacts are expected to continue pushing construction costs higher in 2026. Despite these increases, contractor optimism remains high, with many expecting profit margins to stay the same or grow.
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MTA’s Record $15.8 Billion Investment in 2025
The Metropolitan Transportation Authority (MTA) committed a record $15.8 billion to capital projects in 2025, the largest single-year investment in its history. This includes funding for the Interborough Express, state-of-good repair projects, and signal modernization. The investment surpasses the previous record of $11.4 billion set in 2022.
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NCCER and EnGen Launch English Upskilling for Foreman Certification
The National Center for Construction Education and Research (NCCER) partnered with EnGen to publish a construction foreman certification program for workers with limited English skills. The program provides three months of construction-tailored English upskilling, which can be taken as a standalone option or as part of the certification program. This initiative aims to improve communication, safety, and career mobility for immigrant construction workers.
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Co-working Spaces Surge 15% in Q4 2025
Co-working workplaces expanded 15% year over year in Q4 2025, driven by businesses seeking flexible office space solutions. This growth is concentrated in large markets like Los Angeles, Chicago, and Manhattan, with a focus on maximizing performance at existing sites before further expansion. Despite the growth, co-working still represents a small share of total U.S. office inventory.
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Dallas Luxury High-Rise Project
StreetLights Residential and Mitsui Fudosan America are developing a 20-story luxury high-rise in Dallas, featuring 365 units, amenities, and a prime location. The project, expected to be completed in 2029, reflects the developers’ commitment to delivering elevated living experiences.
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Construction Job Openings Rise in December
Construction job openings increased in December, with 292,000 unfilled positions, a slight improvement from November. Despite this, demand for construction workers remains subdued, with fewer hires in 2024 and 2025 than any two-year period since 2015-2016. The construction industry continues to face challenges from tariffs, supply disruptions, and a shortage of skilled workers.
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Levi’s Stadium Upgrades for Super Bowl
Levi’s Stadium has undergone $200 million in renovations, including the addition of 4K video boards, LED ribbon boards, and a 5G distributed antenna system. These upgrades aim to provide an immersive experience for Super Bowl attendees, with enhanced digital signage, lighting, and Wi-Fi connectivity. Cisco implemented extensive cybersecurity measures to protect the stadium’s networks and data, ensuring a secure event.
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White House unveils platform to streamline construction process
The Council on Environmental Quality launched CE Works, a tech platform to expedite the environmental review process for federal agencies. The platform helps determine if a project qualifies for a categorical exclusion under NEPA, streamlining the review process. This initiative aligns with President Trump’s push for permitting reform and follows the Supreme Court’s ruling in Seven County Infrastructure Coalition v. Eagle County, Colorado.
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