The residential construction industry has faced a labor shortage for many years, and the kitchen and bath sector are experiencing similar trends. The National Kitchen & Bath Association’s (NKBA) recently released 2026 Skilled Labor Workforce Study shows that finding and retaining skilled laborers—especially installers and carpenters—has become a major challenge for the industry.

The skilled labor shortage has improved over the last year, but challenges persist

The report found that the percentage of businesses reporting significant or moderate shortages fell from 58% in 2024 to 40% in 2026. However, the number of companies experiencing at least some staffing issues has reached an all-time high, and this has a direct impact on businesses’ bottom line. Nearly half of businesses surveyed say that labor gaps have already restricted their ability to take on new projects.

What can the industry do?

The report suggests that industry leaders look beyond trade schools and focus on engaging with and teaching younger students about trades careers. Ninety percent of employers surveyed believe exposure to the trades should begin as early as middle or high school, and approximately two-thirds say hands-on learning is essential for creating genuine interest in the trades.