Labor Shortage in Construction Threatens Delivery of New Housing Projects
- Redação Mudei e Agora
- May 20
- 1 min read
One of the biggest barriers to Portugal’s real estate expansion is the severe shortage of skilled labor in the construction sector. Over 80% of construction companies report difficulties in hiring qualified workers, leading to project delays and rising construction costs.
This shortage affects all phases of the building process—from foundation work to finishing touches. Skilled trades such as bricklayers, electricians, plumbers, and carpenters have become increasingly hard to find and thus more expensive. As a result, construction costs are rising, and project timelines are slipping.
The root of this issue is multifaceted. During the economic crisis of 2008–2013, many skilled workers left Portugal to seek opportunities abroad. Since then, vocational training has lost appeal among younger generations, leading to a shortage of new workers entering the field.
The COVID-19 pandemic worsened the situation, disrupting training programs and construction schedules. Now, even as demand for construction picks up—driven in part by Portugal’s Recovery and Resilience Plan (PRR)—companies struggle to assemble complete and experienced teams.
Solutions, according to industry experts, include requalifying the national workforce, encouraging skilled immigration, and modernizing construction methods. Modular construction and digital tools could help the sector boost productivity and reduce reliance on manual labor.
If these issues are not addressed, the housing supply crisis in Portugal could deepen, with more delays and rising prices putting pressure on both buyers and renters.
Comments