The trades are getting younger and it’s happening fast. ADP Research’s Today at Work 2025 Issue 3 report shows the median age of electricians, plumbers, carpenters and HVAC professionals has fallen by as much as five years since early 2020. In contrast, the overall U.S. workforce has become only one year younger during the same period.
This shift signals more than a demographic change. As experienced tradespeople retire, they take decades of field knowledge with them, leaving a widening skills gap. Construction leaders must now translate that expertise into systems, technologies and cultures that align with a new generation of workers.
Here are six ways to position your firm for success in this changing demographic landscape:
MAKE SKILLS DEVELOPMENT A STRATEGIC PRIORITY
Younger workers bring energy and enthusiasm but often lack the technical depth of more experienced workers. Conduct a comprehensive skills audit to identify the expertise most at risk as senior employees depart. From there, pinpoint high-potential employees with both aptitude and interest in developing those skills.
The challenge, of course, is time. Project deadlines and profit goals often push training to the sidelines. Integrated HR and talent platforms can help solve that problem by offering on-demand access to courses and learning modules, allowing employees to develop skills on their own schedule. The result is a more capable, confident and productive workforce.
MAKE MENTORSHIP BUILT-IN
Mentorship is how you preserve what can’t be taught in a classroom—intuition, judgment and problem-solving honed over decades on the job. Pair your veteran tradespeople with newer recruits early and formalize those relationships with clear objectives.
Encourage your senior staff to document key workflows, safety insights and client management lessons. Support both sides with structured time for collaboration and informal events that strengthen bonds. When knowledge transfer becomes a cultural expectation, not a one-off effort, invaluable institutional wisdom stays in-house.
DESIGN BENEFITS WITH GENERATIONAL CHOICE IN MIND
The construction workforce now spans Baby Boomers to Gen Z, each generation with different priorities. Older employees often value healthcare and retirement benefits, while younger workers tend to seek financial wellness support, student loan repayment assistance, mental health resources and supplementary benefits like pet insurance.
A flexible, modular benefits program allows employees to choose what fits their current life stage. This approach improves satisfaction across age groups while helping retain valuable experience at every level.
MODERNIZE WITH MOBILE WORKFORCE TECH
For younger professionals, technology is not a perk—it is an expectation. Paper-based processes for time tracking, payroll and scheduling can frustrate digital-native employees and slow operations. Mobile-first workforce management systems can enable staff to handle HR tasks, track hours and manage performance from a single platform.
When employees can access what they need from any jobsite, they experience a smoother, more efficient workflow. That convenience can translate into higher engagement and lower turnover.
LEAD WITH VALUES AND PURPOSE
Many younger professionals want more than a paycheck. They look for employers whose values align with their own, whether that means community service, sustainability or safety leadership.
Examine how your firm articulates its mission and values, both publicly and internally. During recruiting, be transparent about what your company stands for. After hiring, reinforce those principles with visible initiatives—volunteer opportunities, charitable partnerships or recognition programs that reflect your culture. When employees see purpose in their work, they develop a deeper commitment to the organization.
KEEP COMPENSATION COMPETITIVE AND TRANSPARENT
Pay is still important. ADP Research’s Today at Work data shows that construction wages have risen nearly 15% since 2020, reaching a median of about $66,400 by mid-2025, compared to a 16% increase across all U.S. industries. However, bonuses in construction have been stronger, with the median year-end bonus hitting $1,232 in December 2024—more than twice the typical amount in other sectors.
Benchmarking compensation and benefits regularly ensures your pay structure remains competitive. Transparency also builds trust, especially with younger workers who expect openness about how compensation decisions are made.
PREPARING FOR THE FUTURE WORKFORCE
The construction industry is already in transition. The next generation is not simply replacing retiring workers; it is redefining what a career in construction looks like. Firms that modernize training, technology, mentorship and culture can harness that potential and secure long-term loyalty.
Managing this generational shift effectively will determine which companies build more than projects—they will build the future workforce itself.
SEE ALSO: MOVE OVER BOB, CONSTRUCTION IS FOR GIRLS!
