Dycom Industries President and CEO Dan Peyovich raised alarms over a severe structural labor gap in the United States, speaking at Fortune's COO Summit in Scottsdale, Arizona on Tuesday.
Peyovich highlighted that surging demand for artificial intelligence infrastructure is colliding with a persistent shortage of hands-on workers.
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"There's no doubt there's a skilled trade shortage now," said Peyovich.
The convergence of rapid data center construction, an aging workforce, and decades of educational pipelines favoring four-year degrees has intensified the crisis.
According to industry metrics, the construction industry faces more than 550,000 unfilled positions this year alone.
U. S.
Department of Education data projects that 2.1 million skilled trades jobs could remain vacant by 2030, potentially triggering $1 trillion in annual economic losses.
Peyovich's firm, which builds telecommunications and utility infrastructure, has scaled to approximately 20,000 skilled workers following a $1.95 billion acquisition of a data center electrical contractor in 2025.
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"As we stand today, and for as far as we can see into the future, somebody still has to be out there working with their hands," added Peyovich.
Peyovich, who began his career as a carpenter before transitioning into corporate leadership, now advocates for rebuilding the pipeline.
He noted that manual roles offer stability and upward mobility for Gen Z workers facing shifting white-collar job markets due to AI developments.
However, decades of underinvestment and a decline in early exposure to manual labor have left the modern workforce unprepared for outdoor and agricultural environments.
"Filling the skilled workforce in today's world is not like it used to be," said Peyovich.
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"You don't have people that have a lot of outside-elements exposure or working on farms that you can pull in," he added.
