The U.S. energy sector is booming, with over $97 billion in federal funding driving clean energy projects under the Infrastructure Investment and Jobs Act and the Inflation Reduction Act. These initiatives are expected to create 1.46 million jobs in the next decade. However, a severe talent shortage threatens progress:
Key roles - project managers, engineering specialists, and construction professionals - are critical to delivering large energy projects. Recruitment, training, and workforce planning are essential to meet demand. Companies must focus on skills-based hiring, competitive pay, and targeted training to address this gap while navigating regulatory and environmental compliance challenges.
For more insights on workforce strategies, keep reading.
U.S. Energy Infrastructure Workforce Crisis: Key Statistics and Projections
Large-scale energy infrastructure projects rely on a specialized workforce comprising three primary groups: project managers, engineering specialists, and construction professionals. Delays and budget overruns often stem from shortages in these critical roles. Understanding their responsibilities is key to aligning talent with the demands of these complex projects.
Project managers are the linchpins of energy infrastructure projects, guiding them from site selection and permitting to final commissioning and operational handoff. They handle work plans, staffing, and budgets, ensuring smooth coordination across all phases. Beyond this, they negotiate contracts for turbines, equipment, and subcontractor services while maintaining strict safety standards.
Most project managers in this field hold a bachelor's degree in engineering, construction management, or business, with an MBA often preferred for more intricate projects. Their experience is typically drawn from similar large-scale initiatives. For reference, construction managers in the energy sector earn a median annual salary of about $98,890 (roughly $47.55 per hour).
In today’s tech-driven environment, project managers must also be digitally savvy. A staggering 91% of construction industry professionals emphasize the growing importance of digital skills. This includes proficiency in project scheduling software, data modeling tools, and an understanding of technical constraints like geotechnical or water flow limits. Additionally, soft skills such as communication, conflict resolution, and stakeholder management are becoming increasingly valuable, with demand for people and business management skills rising 77% and 41%, respectively, since 2019.
Engineering specialists form the technical core of energy projects, covering disciplines like civil, electrical, and mechanical engineering. They handle everything from design and grid interconnections to optimizing performance as systems evolve.
As of late 2023, the U.S. had around 400,000 job openings in the architecture, engineering, and construction sectors. These roles now require a blend of traditional expertise and modern digital skills, such as data modeling, advanced analytics, and cloud computing. For instance, demand for cloud computing expertise has grown nearly 15%, while software development and mathematics-related skills have increased by 13% and 11%, respectively.
"Digital upskilling has been found to have two to four times the impact on the core infrastructure sector's output compared to mechanical skills." – Deloitte
Project engineers often bridge the gap between design and construction, managing technical studies (like wind assessments), bids, and third-party contracts. Cross-functional teams - combining design, procurement, commercial, and construction expertise - are now the norm. Specialized roles, such as wind resource engineers and industrial machinery mechanics, are also gaining prominence. Notably, industrial machinery mechanics are expected to see a 17.2% growth in demand by 2033, particularly in renewable and automated manufacturing sectors.
While project managers oversee the big picture, engineering specialists ensure the technical precision needed to maintain design integrity.
Construction specialists are essential to keeping energy projects on schedule and within budget. This group includes site managers, supervisors, and package managers, all operating within strict regulatory boundaries. Their expertise spans high-voltage system design, substation development, transmission line construction, and advanced control mechanisms.
Field operations increasingly rely on digital tools to monitor performance and manage contractor interfaces across dispersed sites. Safety and risk management remain top priorities, requiring knowledge in areas like dam safety, high-voltage protocols, and environmental impact mitigation.
"Construction talent shortages will widen opportunities for supervisors, site managers, and package managers who can manage contractor interfaces and keep delivery on track across dispersed sites." – LVI Associates
The skills gap in this sector is particularly noticeable. Since 2019, supplier management and social skill requirements have grown by 20% and 11%, respectively. Certifications like the Renewable Energy Professional (REP™) designation, NETA for electrical testing, or AWS for specialized welding can give professionals an edge. Additionally, field managers with expertise in SCADA systems, automation, and cybersecurity are in high demand, especially as Battery Energy Storage Systems (BESS) expand. These roles require knowledge in battery system design, integration, and safety analysis. Construction specialists are vital to ensuring projects meet operational and technical standards, driving efficient delivery from start to finish.
In mission-critical energy infrastructure projects, proper workforce planning lays the groundwork for long-term success. With core infrastructure sectors projected to need 6.1 million new workers by 2033 - including 5.25 million to replace retirees - companies must balance immediate staffing needs with strategies that build a sustainable talent pipeline.
Recruitment strategies that go beyond the basics can expand talent pools and streamline hiring. Instead of posting jobs and hoping for the best, successful companies partner with schools, government programs, and community organizations to identify potential candidates early. This approach not only fills roles but also builds relationships with future talent before they even enter the broader job market.
Skills-based hiring is changing the game. Instead of fixating on degrees or job titles, companies now prioritize specific technical skills and hands-on experience. For instance, a candidate with expertise in digital modeling and fieldwork might be more valuable than someone with a traditional degree but limited practical knowledge. This method has been shown to boost retention of high performers by 98%.
Diversifying recruitment efforts is just as important. Women make up only 30% of the construction workforce, and hiring veterans or other underrepresented groups can help close the talent gap. Some companies are even using acqui-hiring - buying smaller firms to gain access to their specialized teams and expertise. Meanwhile, relocating operations to areas with a high concentration of skilled professionals can provide access to deeper pools of talent.
"Talent management is not just about recruiting and retaining employees; it is about investing in the future of the organization by building a workforce that is agile, adaptable, and ready to meet the challenges of tomorrow." – Michelle Meisels, Principal, Deloitte Consulting LLP
For companies juggling multiple large-scale projects, working with specialized recruiting firms can be a game-changer. Firms that focus on power and energy infrastructure can pre-qualify candidates, ensuring hires like project managers, engineers, and construction specialists have proven success in similar projects. This reduces hiring time and minimizes the risk of costly mistakes.
But recruitment alone isn’t enough. Compensation strategies must also meet market demands to attract and retain top talent.
Offering competitive pay is just the starting point. To attract and keep top talent, compensation packages need to address the broader employee experience - things like safety measures, work-life balance, professional growth opportunities, and flexible work arrangements. These factors are increasingly influencing candidates' decisions.
In construction, hourly wages tend to be 12% higher than in manufacturing. Regional differences also play a role; for example, Atlanta, Georgia, saw a 30% wage increase for infrastructure jobs over five years, compared to the 22% national average.
Skills-based incentives are proving more effective than traditional pay structures. Companies that reward specific competencies - such as advanced safety certifications, SCADA system expertise, or digital modeling skills - are 98% more likely to retain high performers. For senior-level roles, offering equity options or involvement in renewable energy projects like wind and solar assets can provide long-term motivation.
Another approach gaining traction is "earn as you learn" apprenticeship programs. These programs offer immediate pay during training, making them especially appealing to younger workers and career changers. In 2023, contractors invested over $800 million in trade and specialty training programs, showing the industry’s commitment to building talent while meeting immediate needs. For frontline workers, perks like predictable schedules - allowing them to be home every night - can sometimes matter just as much as higher wages.
While competitive pay and benefits attract talent, training and development are key to keeping them engaged and growing within the company.
With 44% of current skills expected to change in the next five years, ongoing training is essential to staying competitive. Companies are rolling out comprehensive programs that focus on both technical and leadership skills.
One example comes from an Asian engineering and construction company, which created an academy to support a major transformation. The program featured seven custom training modules and combined classroom learning with fieldwork. Over 45 project managers participated, and a certification process helped embed the new practices into the company’s culture. As one participant noted, "The academy was key to supporting the transformation - and genuinely embedding the changes in the company".
Digital tools like Augmented Reality (AR) and Virtual Reality (VR) are expanding training possibilities. These technologies allow employees to practice safety protocols and equipment operation in a risk-free environment. A European EPC company preparing for a multibillion-dollar project used a virtual training program during its ramp-up phase. Over eight weeks, more than two dozen employees completed 500 hours of virtual training to address gaps in value engineering and planning.
Cross-skilling programs are another way to boost retention while filling critical roles. For example, allowing employees to rotate between traditional oil and gas projects and renewable energy initiatives provides career growth while reducing turnover. A global engineering and construction company introduced a two-part digital training suite: "digital essentials" for all employees and department-specific modules, such as on-site technology training for construction teams. The program was supported by in-house volunteer trainers.
Safety training remains a top priority, with contractors dedicating nearly 60% of workforce development budgets to safety education in 2023. This is especially critical as 400,000 U.S. energy sector employees are expected to retire in the next decade. Generative AI is emerging as a tool to transfer knowledge from retiring experts to younger workers, preserving decades of field experience and expertise for future generations.
Handling large energy infrastructure projects demands professionals who can expertly navigate federal, state, and local regulations. With nearly 70% of U.S. transmission lines surpassing 25 years in age, the urgency to modernize and expand the grid has made regulatory expertise indispensable.
Between 2010 and 2020, only 3.5% of transmission projects underwent the most rigorous federal environmental reviews, yet these accounted for 26% of the total mileage of new powerlines built. This underscores the importance of regulatory compliance - having the right experts onboard can mean the difference between a smooth project rollout and years of delays.
Successfully managing the permitting process requires professionals who are well-versed in regulations like the National Environmental Policy Act (NEPA), the Endangered Species Act (ESA), and the National Historic Preservation Act (NHPA). These experts must also coordinate across federal, state, Tribal, and local levels.
The stakes couldn’t be higher. From 2010 to 2022, natural gas demand rose by 49%, while pipeline capacity only grew by 26%. Additionally, the average time projects spend in interconnection queues has ballooned from under two years in 2008 to five years by 2023. This backlog highlights the need for skilled professionals who can navigate these complex processes efficiently.
"The United States faces urgent challenges related to aging infrastructure, vulnerable energy systems, and economic competitiveness... these projects face one common bottleneck: permitting." – Federation of American Scientists
Top-tier permitting professionals don’t just know the rules - they engage stakeholders effectively. Early outreach with affected communities and coordination with Tribal governments during the planning phase can prevent late-stage conflicts and legal challenges.
To address the growing talent gap, some agencies have implemented specialized training programs. For example, in early 2024, a federal hiring manager launched an apprenticeship program that successfully transitioned 12 early-career permitting staff into permanent roles. Similarly, companies are investing in initiatives like "Permitting University" to train existing staff on evolving NEPA regulations and environmental policies.
But permitting is just one piece of the puzzle. Maintaining compliance with environmental standards is equally critical.
Beyond obtaining permits, ensuring ongoing compliance with environmental standards is key to project success. These specialists work to align projects with greenhouse gas regulations, sustainability goals, and climate policies. Their role has expanded with initiatives like the Justice40 Initiative, which aims to direct benefits to disadvantaged communities, and the Buy America, Build America Act (BABA).
Modern compliance management also involves leveraging advanced tools and technology. For instance, geospatial mapping platforms like the Climate and Economic Justice Screening Tool (CEJST) help professionals evaluate project impacts on vulnerable communities. Additionally, pre-filing processes and collaborative identification of project alternatives can streamline Environmental Impact Statement (EIS) reviews.
Efforts to standardize permitting roles across agencies are also gaining traction, improving collaboration and efficiency. This includes redefining STEM qualifications to include technology-focused roles like Environmental Protection Specialists, which may not require traditional degrees.
"Neglecting community engagement or diminishing protections fuels uncertainty, prolongs timelines, and undermines the long-term feasibility of proposed transmission projects." – Niskanen Center
These specialized roles are vital for ensuring that energy projects meet regulatory, sustainability, and community expectations. Companies that prioritize these functions gain a distinct edge. With U.S. transmission investments projected to exceed $40 billion annually by 2031, having the right team to navigate regulatory challenges is no longer optional - it’s essential. For more information on workforce strategies in the energy sector, check out our comprehensive guide.
When tackling large energy infrastructure projects, managing stakeholders effectively is key to keeping things on track. These projects often involve a wide range of players - government agencies, utility companies, landowners, and local communities - each with unique concerns and priorities. With over 900 GW of solar and wind capacity anticipated by 2030 and nearly $1 trillion in public funding in play, earning a "social license to operate" has never been more important. Gaining community support not only ensures smoother progress but also helps projects hit critical milestones like final investment decisions and timely construction starts.
"Proactive and meaningful, two-way engagement with host communities has emerged as a universal derisking strategy for deploying energy and infrastructure projects" - Hadia Sheerazi, RMI
The first step in managing stakeholders is identifying and engaging everyone involved - early and proactively. Before finalizing a project site, take the time to understand the local context, uncover potential concerns, and adjust plans as needed. To communicate effectively, use clear, easy-to-understand materials tailored to different audiences.
True communication goes beyond one-way updates. Aim for open, two-way dialogue by setting up flexible channels for ongoing feedback and collaboration. Partnering with trusted local "community connectors" can strengthen these feedback loops and highlight the project’s benefits. Independent third-party validation also helps build trust, while allocating a dedicated budget for community engagement ensures stakeholder input genuinely shapes project designs.
For more on workforce strategies related to large-scale infrastructure, check out our comprehensive guide on jobs and workforce planning.
Even the best-laid plans can face challenges from landowners or local communities. Successful teams work with Right-of-Way and engineering specialists to address concerns early, preventing them from escalating into costly roadblocks.
Conduct thorough desktop reviews and on-site surveys to identify potential issues, such as restricted access areas, historical landmarks, or contamination, before they become major problems. While aerial surveys are useful, they can miss critical details like abandoned cemeteries or buried archeological sites, making physical fieldwork essential.
When disputes arise, prioritize early mitigation and community investment over legal measures like eminent domain. As Burns & McDonnell advises:
"Eminent domain proceedings always should be a last resort... any project that proceeds down this pathway must account for the potential cost of reputation for the owner in addition to the financial costs"
By addressing concerns early and investing in local socio-economic priorities, teams can resolve conflicts more effectively while fostering goodwill with the community.
| Stakeholder Management Skill | Key Application |
|---|---|
| Early Engagement | Engage stakeholders before site finalization to understand local context |
| Two-Way Communication | Build trust through informal dialogue and continuous feedback |
| Community Partnership | Work with local "community connectors" to strengthen relationships |
| Conflict Prevention | Use early surveys to identify and address potential disputes |
Strong stakeholder management not only boosts project credibility but also aligns with broader efforts like talent recruitment and regulatory compliance. With decarbonization investments projected to create over 400,000 jobs across nearly every U.S. state, companies that excel in managing stakeholders position themselves to deliver projects efficiently and on budget.
From technical specialists to project directors, finding the right talent has been a recurring theme in this discussion. Large energy projects thrive when skilled professionals meet the demands of these complex undertakings. With 456,000 construction positions unfilled in the U.S. as of February 2024 and over 40% of the current workforce set to retire by 2031, workforce planning has never been more critical. In fact, 61% of construction firms cite labor shortages as a direct cause of project delays.
A skills-based hiring strategy is no longer a luxury - it's a necessity. Identifying gaps in expertise early and offering focused training ensures teams are prepared to deliver from day one. This approach doesn’t just improve project execution; it also boosts retention, making companies 98% more likely to hold on to top performers.
Strong project directors are the backbone of profitability. These leaders juggle complex stakeholder relationships, manage supply chain disruptions, and keep projects moving despite obstacles. For roles in remote or tightly regulated areas, incorporating global mobility into your talent strategy becomes essential. It ensures the right professionals can be deployed quickly and effectively. As Sandra Klasic highlights:
"Mobility is not a back-office function anymore. It's a critical part of our value chain. Without the ability to move people quickly and compliantly, our projects - and revenue - are at risk"
Global mobility strengthens the broader strategy for addressing talent shortages.
Looking ahead, the renewable energy sector alone will require 1.1 million additional blue-collar workers for development and 1.7 million for operations by 2030. Meeting this demand calls for data-driven workforce planning to pinpoint staffing needs at every phase of a project, preventing overstaffing or shortages. Companies that establish strong talent pipelines - through partnerships with schools and community organizations - will be better positioned to scale as the energy transition gains momentum.
For more guidance on crafting effective workforce strategies for critical infrastructure projects, check out our comprehensive guide on jobs and workforce planning.
To address the talent gap in the energy sector, businesses can focus on workforce planning and targeted recruitment strategies. This means analyzing labor market trends and designing campaigns to attract skilled professionals, particularly for positions in renewable energy and infrastructure development.
Another important approach is investing in employee training and upskilling programs. These initiatives help close skill gaps and prepare teams to meet the industry’s shifting demands. Companies can also expand their search by hiring talent from related fields with transferable skills and emphasizing diversity to build stronger, more dynamic teams.
Lastly, fostering an engaging work environment is critical. Offering career growth opportunities, prioritizing work-life balance, and integrating cutting-edge technologies can make companies more attractive to both current and prospective employees. When paired with supportive policies, these efforts can help meet the rising need for specialized expertise in the energy sector.
Skills-based hiring is all about matching professionals with the precise expertise required for the intricate demands of energy infrastructure projects. By focusing on specific skills rather than traditional qualifications, this approach boosts efficiency, shortens onboarding time, and fills critical skill gaps. These benefits are essential for completing large-scale projects on time and within budget, especially in fields like engineering, construction, and project management.
This hiring method also helps companies tackle challenges like talent shortages and an aging workforce by drawing on transferable skills from other industries. As the energy sector shifts toward renewable and sustainable solutions, skills-based hiring plays a key role in ensuring access to the specialized talent needed to bring modern energy projects to life.
Large energy infrastructure projects rely on a team of experts to navigate the maze of regulations and environmental requirements. Key players in this process include permitting specialists, environmental engineers, and regulatory compliance officers. These professionals ensure projects meet the standards set by laws like the National Environmental Policy Act (NEPA) and the Endangered Species Act (ESA).
Environmental engineers and specialists focus on evaluating potential environmental impacts and developing strategies to reduce harm. They play a crucial role in keeping projects compliant with regulations, addressing policy shifts, and preventing delays. By working together, these roles help mitigate risks, ensure legal adherence, and keep projects moving forward smoothly.
