Construction and Logistics Workers Brace for Recession’s Impact
Construction and logistics workers are feeling the pinch of a slowing economy. A new survey reveals how they're adapting—and how employers are falling short.
- By Stasia DeMarco
- Jun 20, 2025
As concerns about a potential recession continue to percolate across the U.S., frontline workers are feeling economic tremors. Indeed, much of the public focus falls on retail or healthcare sectors. Yet, construction and logistics workers, two essential yet often overlooked groups, are making proactive adjustments to hedge against financial fallout. A new report from Lance Surety Bonds,"How America's Frontline Workers Are Bracing for a Recession", offers insight into the challenges these workers are facing and the creative ways they’re adapting.
Warning Signs in the Field
In the past, construction and logistics workers have been sensitive to economic fluctuations. According to Lance Surety's survey of 844 frontline workers, 68% are already reporting signs of a slowdown in their industries. These signs include canceled contracts, fewer available shifts, and delayed payments, all of which signal tightening demand.
In construction, projects often rely on forward-looking investments. A hesitant economy means fewer developments break ground. Logistics professionals, including warehouse workers and delivery drivers, are facing reduced volumes as consumer spending shrinks. About 36% of frontline workers anticipate decreased demand for their services. Moreover, nearly one in five have seen contracts or job offers revoked.
Financial Survival Tactics
Workers are hustling to stay afloat financially. Over half (52%) of all frontline workers have picked up side gigs. This trend is even more pronounced among those in trades and transportation. Many report extended shifts or multiple jobs. In fact, one in four frontline workers is clocking an additional 15 hours per week, totaling nearly 800 extra hours annually.
Despite this added effort, financial fragility remains a concern. Nearly two-thirds of respondents said they could survive for only two months or less if they lost their main source of income. Alarmingly, 18% have already accumulated personal debt to manage rising costs and reduced hours. The average debt exceeds $4,400.
Younger workers are especially impacted. Gen Z respondents, who are heavily represented in labor-intensive fields, are making the most significant financial adjustments. About 93% of them have already changed their spending habits in response to continued economic uncertainty.
Delayed Decisions and Difficult Trade-Offs
The pressure isn’t only financial. Workers are postponing critical life decisions. In construction and logistics, where job opportunities often require geographic mobility, this can look like delaying career moves and turning down higher-paying offers due to instability. More than half of the workers surveyed reported putting off switching jobs. Others have delayed medical care, family planning, or retirement.
These choices reflect deeper financial insecurities. Top concerns included making rent or mortgage payments (57%), losing employment (52%), and affording food (43%). Around a third of workers say they’ve dipped into savings, stopped investing, or sold personal belongings to cover essentials.
The Disconnect With Employers
The communication gap between employers and workers paints a stark picture. While half of respondents believe the U.S. is already in a recession, many report that their employers haven’t acknowledged the downturn at all. Only 9% say leadership has clearly communicated any recession planning, while 63% say it's a topic that has never been discussed.
This lack of transparency between employer and employee can, and often does, erode trust. For construction crews and logistics teams, safety and coordination are paramount. Uncertainty about job stability compounds workplace stress. Many workers say they don’t feel supported or prepared by their organizations for what's coming or already unfolding in the economy.
A Call for Support
The report’s findings serve as a wake-up call. Workers in construction and logistics are among the first to feel the economic pinch. They're adapting in ways that are going largely unseen. They’re working harder, making sacrifices, and stretching limited resources. But they can’t do it alone.
Employers in construction and logistics can step up by communicating recession plans, offering flexible scheduling, and providing access to financial or mental health resources. Ensuring proper licensing and bonding, particularly in construction, is another way to maintain employability and legal compliance during these turbulent times.
Final Thoughts
Construction and logistics professionals form the backbone of America’s infrastructure and supply chain. Their ability to continue operating under economic strain is critical to our broader economic health. As recession fears loom, understanding and responding to their challenges is essential for maintaining a resilient, functional workforce.
For those in these sectors, now may be the time to reassess financial readiness and explore alternative income streams. For employers, it's a moment to lead with clarity and care. The economic road ahead may be bumpy, but supporting the workers who keep things moving is the best way to weather the storm.