News
January 14, 2026

ICE Enforcement Spurs Construction Labor Shortages in Tennessee

Construction Owners Editorial Team

CHATTANOOGA, Tenn. — Construction sites across Tennessee remain active, but many are operating with fewer workers as heightened Immigration and Customs Enforcement (ICE) activity continues to ripple through the construction industry.

Fear of Enforcement Keeps Workers Off Job Sites

Courtesy: photo by Glenov Brankovic on Unsplash

Industry leaders and workforce advocates say growing fear around enforcement actions is keeping workers from reporting to job sites, even when projects themselves are not directly targeted. The result has been labor shortages that extend beyond isolated enforcement incidents and disrupt schedules across multiple trades.

“Regardless of the documentation status of a community, they are at increasingly high risk of being targeted simply by the way they look,” said Lily Sanchez of the advocacy group La Paz.

Construction professionals say that uncertainty alone has been enough to cause absenteeism. Brian Turmail of the Associated General Contractors of America said ICE activity often has a chilling effect across entire job sites and nearby projects.

“ICE will come in — they're looking for a specific individual, and they'll show up on a job site or they'll show up at an adjacent job site — and then a percentage of the workforce doesn't show for three or four days because they're worried,” Turmail said.

Industry Leaders Warn of Delays and Call for Workforce Solutions

Those temporary absences can quickly escalate into longer-term delays, especially on projects that rely on tightly sequenced work and specialized labor. Industry representatives warn that even short disruptions can lead to missed inspections, rescheduled subcontractors, and increased costs.

Turmail said addressing the labor gap requires action on multiple fronts.

Courtesy: photo by Pexels
“The answer obviously is invest in domestic workforce development, allow more people to lawfully come to the country. No one benefits from having undocumented workers,” Turmail said.

He added that the construction industry has faced long-standing workforce challenges that predate recent enforcement increases. According to Turmail, the U.S. has “kind of starved our domestic workforce development” while simultaneously limiting legal pathways for construction workers to enter the country, even as demand for infrastructure, housing, and commercial projects continues to grow.

The issue has taken on added urgency following President Donald Trump’s recent spending bill, which allocates $170 billion to ICE over the next several years to expand enforcement capacity nationwide.

Advocates argue that enforcement funding alone does not address broader community and safety concerns.

“We also call on local law enforcement and government officials to commit to public safety protocols and procedures that are in service of actually protecting and keeping our communities safe,” Sanchez said.

As enforcement intensifies, construction leaders say the industry must grapple with how immigration policy, workforce development, and project delivery intersect. With construction demand remaining strong, experts warn that unresolved labor shortages could continue to strain timelines and costs across Tennessee and beyond.

Originally reported by Jonathan Shelley, Ray Collado (WTVC) in Rocket City Now.

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