Ireland Must Recruit 100,000 Construction Workers to Meet Housing Targets, Industry Warns

Dublin: Ireland will need to recruit up to 100,000 additional construction workers over the next four years if the Government is to meet its housing delivery targets, according to a new assessment by Property Industry Ireland (PII).

The organisation, which represents the country’s property sector, estimates that the construction workforce will need to expand by approximately 50 per cent by 2030 to deliver on the State’s ambitions. It has also raised concerns about acute skills shortages and an ageing workforce, warning that current capacity falls significantly short of projected demand.

Ambitious Housing Targets

Under the Government’s housing strategy published in November, Ireland aims to deliver 300,000 new homes by 2031. From 2026 onwards, this would require the construction of an average of 50,000 homes per year.

However, PII’s report argues that the industry does not currently possess the capacity to sustain that level of output. At present, the construction sector employs around 177,600 workers nationwide. To achieve the 300,000-home target, the workforce would need to grow by an additional 95,000 to 110,000 employees.

Labour Shortages and Structural Challenges

The report highlights multiple structural challenges facing the sector. A significant number of skilled workers are employed overseas, attracted by higher wages, thereby reducing Ireland’s domestic labour pool. Although inward migration has supplemented the workforce, housing shortages themselves remain a barrier to attracting and retaining talent.

Gender imbalance is another pressing issue. Women account for just 9 per cent of the construction workforce, with representation in skilled trades standing at less than 1 per cent. The report suggests that persistent stereotypes portraying construction as unsuitable for women continue to deter participation and limit the industry’s potential talent base.

Technology and Training Gaps

To address productivity constraints, PII recommends greater adoption of emerging technologies, including artificial intelligence. The report suggests that automation of administrative tasks, optimisation of project scheduling, and reduction of material waste could enhance efficiency and allow skilled workers to focus more directly on core construction activities.

However, the fragmented nature of the sector presents further obstacles. In 2022, 99 per cent of active construction enterprises employed fewer than 20 people. Such small-scale operations often lack the financial resources and administrative capacity to invest in large-scale training, recruit apprentices, or adopt new technologies at pace.

Planning Delays and Output Concerns

Concerns about delivery capacity have been echoed in an internal report by the Department of Housing, released shortly after the Government unveiled its plan. That report highlighted delays in planning approvals and warned that housing output could begin to decline from 2028.

According to data from the Central Statistics Office (CSO), 36,284 new homes were completed last year — approximately 30 per cent below the annual average required over the next five years to meet national targets.

Industry observers caution that without urgent action to address labour shortages, expand training pathways, and modernise construction practices, Ireland’s housing ambitions may prove difficult to realise within the proposed timeframe.