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Rising Material Costs and Cash Flow Challenges Reshape Construction Workforce Training Priorities – Study from Contractor Training Center

December 21, 2025

Survey of 683 contractors reveals estimating, pricing, and project management lead skills deficits as professionals invest an average of $1,005 in professional development to bridge gaps

LOUIS, Mo., December 16, 2025 — Contractor Training Center has today released the findings from its comprehensive Construction Industry Workforce Study 2025, which identifies the key skills gaps and professional development needs faced by today’s contractors. The study, which surveyed 683 industry professionals from August 15 to September 28, 2025, reveals that non-technical business capabilities are often cited as the most critical deficiency among industry professionals.

The four biggest skill gaps identified in the study were estimating accuracy (41% of survey respondents), pricing strategies (33%), project scheduling and management (29%), and bookkeeping (28%). Other skill gap categories that were identified by a significant number of survey respondents include hiring and retaining skilled labor (28%), understanding overhead and job costing (26%), business marketing (24%), and writing contracts and change orders (20%).

The industry’s response to these skill deficits involves substantial financial investment in professional development. Construction professionals report spending an average of $1,005 on exam preparation and licensing annually, demonstrating a clear recognition that business success requires capabilities beyond technical trade expertise. This significant investment level suggests that professionals understand that addressing skills gaps is a critical component for competitive survival and business growth in today’s market.

The study’s findings on training preferences align closely with identified skills gaps. Estimating and bidding job accuracy appears to be the top training interest for professionals at 45%, followed by project management training at 42%. Additional high-priority training areas include OSHA/safety compliance (35%), job costing and accounting workshops (35%), and technical skills specific to individual trades (34%), reflecting a comprehensive approach to professional development.

These skills gaps are linked to the industry’s most pressing operational challenges identified in the study. Material cost fluctuations were cited as the biggest challenge, affecting 35% of professionals, while cash flow management concerns were the second most common, cited by 24%. Additionally, the study found that workforce shortages and increasing competition also played significant roles in shaping operational inefficiencies, with many professionals noting difficulties in maintaining profitability and meeting demand. These factors highlight the ongoing need for strategic solutions to drive long-term stability.

The emphasis on non-technical skills development indicates a fundamental shift in how the construction industry views professional competency. While technical trade skills remain important, the study reveals that sustainable business success is increasingly reliant on financial literacy, project management capabilities, and operational efficiency. This evolution reflects a maturing industry that sees the difference between being skilled at construction work and being successful at running a construction business, highlighting the growing need for well-rounded leadership in the sector.

“These findings reflect what we’ve seen across 30+ years of training construction professionals,” said Patrick Hayes, General Manager at Contractor Training Center, by Colibri. “The biggest barrier to business success may not be technical competency—it’s business fundamentals. Contractors who can’t accurately estimate jobs or manage project finances tend to face difficulties regardless of their craftsmanship quality. That’s why we’ve expanded our training beyond licensing to include business skills development, recognizing the industry’s evolving educational needs.”

About Contractor Training Center

Contractor Training Center, part of Colibri Group, provides comprehensive exam preparation and continuing education for construction professionals seeking licensure and career advancement. With more than 30 years of experience, CTC has helped over 30,000 professionals in construction, electrical, plumbing, HVAC, and more achieve their licensing goals. The company serves professionals across multiple states with courses covering NASCLA, ICC, and state-specific licensing requirements.