Data Center Rush Worsens Shortages of Power, Grid Workers

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  • U.S. power developers could face delays and higher costs from shortages in electricians and other crafts, requiring faster rollout of skills and technology training.

May 18 – Soaring demand for workers to build data centers, transmission grids and power plants is intensifying already strong competition for electricians, line workers and other Engineering, Procurement and Construction (EPC) roles as a large share of experienced workers retire.


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Around 41% of the current construction workforce is projected to retire by 2031, according to ​the National Center for Construction Education and Research (NCCER).

“Nearly 1 in 5 electricians is currently 55 or older,” Anirban Basu, chief economist at the Associated Builders and Contractors (ABC), told Reuters Events.

The U.S. power ‌sector will need an additional 207,000 transmission and grid connection workers plus 300,000 in manufacturing, construction, and operations to add 300 GW of power capacity by 2030, Goldman Sachs Research predicted in July 2025.

Demand for electricians and power line installers is forecast to grow much faster than other occupations between 2024 to 2034, creating 81,000 and 10,700 average annual job openings respectively, the U.S. Bureau of Labor Statistics (BLS) estimates.

Hiring installation technicians and engineers is already challenging, Missy Henriksen, executive director at the Center for Energy Workforce Development (CEWD), told Reuters Events.

“We ​need those who have [General Educational Development qualifications] to PhDs, and really anything in between, to support the historic opportunities for building the energy workforce right now,” she said.

Basu predicts demand will exceed BLS projections. Transmission ​projects are expected to face line worker shortages, and any sector requiring skilled electricians will struggle to stay fully staffed, he said. In 2024, 59% of utility employers reported ⁠difficulty hiring line workers, according to the 2025 US Energy & Employment Report (USEER).

Wages are rising and companies must find innovative ways to attract workers.

Construction jobs represent the largest share of U.S. power sector employment and average hourly earnings for ​production and nonsupervisory roles, which includes most on-site craft workers, rose 4.8% over the past year to $38.73 per hour in April, according to government data released by the Associated General Contractors of America (AGC).

chart us construction wage growth by segment

Source: U.S. Bureau of Labour Statistics. Data: SAGE Policy Group.

“The insatiable demand for data centers has greatly increased the demand for electricians,” Basu noted. “Many of those projects are so urgent that they are paying significantly higher wages for electricians.”

Regional shortages

Demand for construction workers is high across North Carolina, South Carolina, Georgia, and Virginia due to growth in data center and power project development, Macrina Wilkins, director of market insights at the AGC, told Reuters Events

“Many of these fast-growing markets are also facing persistent shortages of qualified craft workers, ​especially electricians and other specialized trades needed to construct advanced facilities and power projects,” Wilkins said, citing surveys with contractors over the past year.

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Some ​28% of construction firms expect hiring craft workers to become harder in 2026 and a further 26% expect hiring to remain difficult, according to a survey published by AGC in January. Around 35% expected no change and 12% said it would become ‌easier.

Workforce availability varies ⁠by location. West Texas’ experience in renewable energy projects has helped build a skilled local workforce, supporting projects like Vesper Energy’s Hornet Solar power plant completed in April 2025 with over 300 local workers.

“In other areas where [power development] is newer, you certainly have to come in a little earlier and make sure you have a good training program and a well-thought-out plan to get that workforce built up,” Zach Wald, vice president of EPC at Vesper Energy, told Reuters Events.

As more projects are built over the next three to five years, developers may face longer construction durations in areas with a limited workforce, Wald added.

map planned us power plant installations in 2026Source: U.S. Energy Information Administration (EIA), February 2026

Demand for solar photovoltaic installers is estimated to grow ​by 42% between 2024 and 2034, to about 4,100 ⁠annual job openings, according to the BLS.

Staffing company Aerotek, which works across multiple sectors, has faced longstanding challenges finding reliable and qualified EPC workers, company director Mike Mulheron said.

Companies and organizations are using creative recruitment initiatives including conducting job fairs and partnering with local workforce development centers to boost local hiring.

Aerotek, which has recruited over 1,000 solar power ​professionals currently working on eight projects across Texas, monitors project life cycles to rehire and redeploy workers once projects are completed.

“Our goal is to keep that population ​of workers continuously employed, continuously impacting ⁠projects and giving them opportunities to learn new skills as they arise,” Mulheron said.

Next generation

Surging activity in transmission upgrades and expansions will require structured development programs to train workers in new skills and technologies.

From 2025 to 2029, investor-owned utilities plan $1.1 trillion in grid upgrades and expansions to support rising power demand, according to industry association Edison Electric Institute (EEI).

These investments will require highly trained staff, with expertise from traditional line work to advanced digital and grid ⁠technologies, EEI spokesperson ​Dani Marx said.

“EEI’s member companies are working closely with labor partners, educators, and local communities to expand apprenticeships, strengthen training programs, and build ​the next generation of skilled energy workers,” Marx said in a statement to Reuters Events.

EEI member companies work closely with CEWD to train and upskill the workforce.

A sustained focus on workforce development will be required in the coming years, CEWD’s Henriksen said. CEWD’s development programs include connecting veterans ​with energy job opportunities, encouraging women’s participation in skilled trades, and fostering interest among new generations.

“We see [workforce development] as being a priority that’s here to stay as we look at increased technology, increased growth, increased energy demand,” Henriksen said.

–Editing by Robin Sayles

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