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Cyprus construction labour shortage hits housing delivery

Cyprus’ construction labour shortage is becoming one of the biggest challenges facing the property sector, with industry leaders warning that a lack of skilled workers is delaying projects, increasing building costs and placing further pressure on affordable housing.

The Cyprus Scientific and Technical Chamber (ETEK) raised the issue during a meeting with Labour and Social Insurance Minister Marinos Mousiouttas, where discussions also covered construction site safety, engineering training and reforms to tower crane licensing.

Cyprus construction labour shortage drives up costs

ETEK described the shortage of skilled tradespeople, site foremen and supervisors as a critical issue for the Cyprus construction industry. The greatest shortages are among steel fixers and formwork carpenters, occupations that are essential to keeping construction projects on schedule.

According to the Chamber, the Cyprus construction labour shortage is disrupting the timely delivery of developments while increasing construction costs across the sector.

The Chamber also warned that the workforce shortage is affecting far more than building sites. It is slowing the delivery of affordable housing in Cyprus, delaying energy-efficiency upgrades to buildings and weakening the country’s wider economic growth.

To tackle the problem, ETEK called for immediate measures, including a faster and fully digital process for approving applications to recruit skilled workers from third countries.

The Chamber also recommended a comprehensive assessment of workforce needs across the construction sector to identify where the most severe shortages exist.

In addition, ETEK urged greater efforts to improve the image of technical professions by promoting Professional Qualification Standards and encouraging more young people to pursue careers in the construction industry.

Construction site safety remains a priority

Alongside the Cyprus construction labour shortage, construction site safety was a major topic of discussion.

ETEK stressed that health and safety should never be treated as a simple compliance exercise. Instead, it should form a core part of quality, professionalism and effective project management.

The Chamber referred to the ISSA-C International Construction Conference, held in Limassol on 2 and 3 July 2026 under the theme From Risk to Resilience: Achieving Vision Zero with AI and Sustainable Construction.

The conference explored how artificial intelligence, sustainable construction methods and the Vision Zero strategy can improve safety standards and strengthen resilience across the construction sector.

ETEK also highlighted its ongoing training initiatives, including SafePass, and called for closer cooperation with the Ministry of Labour and the Department of Labour Inspection to promote a more preventative approach to workplace safety.

Support for young engineers and licensing reform

The meeting also focused on the continuation of the Practical Training Programme for graduates in architecture, civil engineering and electrical engineering.

Funded through the European Social Fund, the programme has helped young engineers enter the labour market successfully. ETEK urged the government to renew the scheme promptly to ensure there is no interruption to the programme.

The Chamber also reiterated its concerns over the current requirement to obtain a building permit before installing tower cranes. It argued that the existing licensing process is inefficient and unnecessarily slow, calling instead for a more streamlined and practical system.

The issue will be reviewed further with the Ministry of the Interior and the Cyprus Federation of Building Contractors Associations.

Outlook for the Cyprus construction labour shortage

ETEK believes urgent action is needed to address the Cyprus construction labour shortage before it further affects housing supply, construction costs and economic growth. It says faster recruitment procedures, investment in skills, improved training and stronger support for technical careers will be essential if the construction industry is to meet future demand.

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