You’ve probably noticed something happening in the offsite construction industry: robotics and automation are charging full speed ahead—at least in the early stages of production. The repetitive, labor-intensive tasks once handled by unskilled workers are increasingly being taken over by robots, streamlining the process and improving efficiency. That’s great news for factory owners looking to reduce reliance on high-turnover positions.
But as you walk further down the production line—past the framing, past the sheathing, and toward the heart of the build—you’ll see something else. The MEP (mechanical, electrical, and plumbing) stations, where precision and years of experience make the difference between a solid home and a costly rework, are still overwhelmingly dependent on skilled human hands. The problem? Those hands are aging out, and there aren’t enough new ones replacing them.
A Vanishing Workforce
The offsite industry has always had an uneasy relationship with skilled labor. Unlike site-built construction, where electricians, plumbers, and HVAC specialists often come from long-established apprenticeship programs, the modular and panelized sectors have had to train much of their workforce in-house. That worked well enough when there was a steady pipeline of experienced workers willing to share their knowledge with the next generation.
But that pipeline is drying up. Many of the master craftsmen who built this industry are retiring, and the trade schools that should be training their replacements have either shifted focus or shut their doors entirely. High schools, which once offered robust vo-tech programs, have pushed students toward four-year degrees instead of the well-paying, hands-on careers in offsite construction. The result? A labor bottleneck that is quietly strangling capacity for nearly every modular and panelized factory in North America.
The Generational Divide
At the same time, there’s a cultural shift happening inside our factories. Gen Z and Millennials aren’t looking for just another job—they’re looking for careers with meaning, flexibility, and a work environment that values their well-being. Yet most factory owners are Boomers or older Gen Xers who came up in an era where a steady paycheck was the only perk needed. That disconnect is making it even harder to recruit and retain skilled workers.
Walk through a factory, and you’ll hear managers complain that “no one wants to work anymore.” But talk to the younger workers, and they’ll tell you that no one is making it worth their while. They want training. They want career pathways. They want benefits that reflect the reality of their lives—not just a wage that barely competes with the fast-food joint down the street.
Where Do We Go From Here?
And so we arrive at our “Houston, we have a problem” moment. If offsite construction doesn’t find a way to attract and train skilled workers, the industry will have only one option: push harder for full automation. Not just on the front end, but all the way through. That might sound like a futuristic vision, but it’s not necessarily a good one.
The truth is, we are still years—if not decades—away from a fully roboticized offsite construction process that can match the expertise of human tradespeople. In the meantime, factories will struggle to meet demand, projects will be delayed, and costs will continue to rise.
So, what’s the solution? It starts with:
Industry-Led Training Programs – If traditional vo-tech schools aren’t filling the gap, it’s time for offsite companies and associations to step in and create their own. Internal apprenticeship programs, partnerships with community colleges, and in-house training academies could be game-changers.
Better Pay and Perks – The new workforce isn’t just looking for a paycheck; they want a career path. Offering competitive wages, benefits, and work-life balance will go a long way toward making offsite construction an attractive option.
Government Support – Policymakers need to recognize the role offsite construction plays in solving the housing crisis and invest in training programs that ensure the industry’s sustainability. Grants, tax incentives, and funding for workforce development would be a good start.
The offsite industry has always been about solving problems. Right now, one of its biggest challenges isn’t technology—it’s people. Without the skilled workforce to keep up with demand, automation will win by default. And when that happens, the industry might lose the very expertise that made it successful in the first place.
So, to the factory owners, trade associations, and policymakers reading this: the clock is ticking. If we want offsite construction to thrive, we need to invest in its future workforce—before we no longer have a choice.
Gary Fleisher, The Modcoach, writes about the modular and offsite construction industry at Modular Home Source.
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