Labor Shortages Overnight? What Every Contractor Needs to Know About ICE Raids and Schedule Impacts

“The headlines in Nashville, Tennessee are hard to miss: “Construction work force taking a hit amid ICE operations in Middle Tennessee” and “Tennessee ranks near the top for ICE arrests” For contractors and subcontractors, these are more than political talking points. It is a business risk that can hit the bottom line overnight.

Labor Disruptions on Site. An ICE raid occurs when U.S. Immigration and Customs Enforcement (ICE) agents arrive at a construction site to investigate the immigration status of workers. These raids can result in employees being detained or leaving the jobsite, causing immediate labor shortages and project disruption. Even off-site arrests can ripple back to the project, as workers may not return out of fear or uncertainty, further straining the labor force. For example, a $20 million project in Mobile, Alabama was on track for on-time completion by November 1. However, as of July 28, 2025, the contractor is looking at a three-week delay after about half of his workers, scared by an ICE raid in Florida, have stayed away.”

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