How to retain and upskill your construction workforce

The construction workforce is facing a demographic shift. As of 2025, a significant portion of Canada’s construction workforce is nearing retirement. According to Statistics Canada, more than 245,100 construction workers are expected to retire by 2032, creating a shortage of approximately 61,400 workers. This growing exit of older workers from the labour force creates an urgent need for talent renewal.

Unlike other sectors, construction relies heavily on skilled trades, apprenticeships, and physically demanding work — factors that make it less appealing to many younger workers. Those who do enter the trades often bring new expectations around safety, job stability, and long-term career growth. Ongoing safety concerns, the seasonal nature of construction work, and remote job sites make it increasingly difficult to attract and retain the next generation of workers.

Meanwhile, the work itself is evolving. New building codes demand energy efficiency, digital tools are becoming standard, and climate resilience is an increasingly important consideration. The result? A growing gap between the skills your business has and the skills it needs.

Retention requires a plan, not perks

The construction industry is built on timelines and margins, making retention a competitive advantage. Workers stay when they feel safe, respected, and supported. This includes:

• Predictable work, even in a seasonal industry
• Clear career paths, not just job titles
• Recognition that goes beyond a paycheque
• Inclusive job sites where everyone can see a future

Business leaders typically assume that retention strategies revolve around providing perks. However, removing the barriers above can be even more impactful.

Retention strategies for construction leaders

1. Prioritize safety and wellbeing

Construction is one of the most hazardous industries in Canada. Investing in safety training, mental health supports, and ergonomic equipment shows workers you value their health and helps reduce turnover.

2. Provide steady work opportunities

Seasonal layoffs and project-based employment can drive workers to other industries. Staggering project planning, exploring partnerships with other contractors, or offering multi-year contracts can help provide more stability.

For example, a construction firm in Northern Ontario may be facing recurring winter layoffs due to seasonal shutdowns. The firm might consider partnering with a local utility company to align infrastructure upgrades with their off-season to address this challenge, allowing crews to transition between roadwork and utility installations.

3. Recognize and reward loyalty

Retention improves when workers feel appreciated. Offer milestone bonuses, tool allowances, or paid training days. Even small gestures like branded gear or shout-outs at safety meetings can help build loyalty to your business.

4. Support career progression

You can help workers see a future in your company by mapping out clear pathways from apprentice to journeyperson, to foreperson or estimator. Promote from within and offer leadership training for crew leads.

5. Build inclusive job sites

Women, Indigenous workers, newcomers, and youth are underrepresented in construction. Developing and implementing inclusive hiring practices, mentorship programs, and culturally safe workplaces can help diversify and strengthen your team.