
Turkey's construction sector reached a record employment level in May as Urban Renewal projects, infrastructure investment, and strong housing activity continued to drive demand for workers. Official figures show the industry employed 1.93 million salaried workers, marking the highest total ever recorded for the month.
The latest data from the Turkish Statistical Institute (TurkStat) highlights the construction sector's growing contribution to the economy as Urban Regeneration projects gather pace, particularly in Istanbul.
Construction employment increased by 1.2% compared with May last year, adding 22,576 new salaried workers. Across the wider economy, total employment in the industrial, construction, and trade-services sectors rose 0.5% to 15.97 million.
Building construction accounted for the largest share of employment, with 1.27 million workers, while civil engineering employed 248,252 people, and specialised construction activities supported a further 418,461 jobs. Civil engineering recorded the strongest annual growth, rising 4%.
More than 276,000 independent housing units are currently undergoing Urban Renewal across Istanbul's 39 districts, showing the continued expansion of redevelopment programmes designed to modernise older buildings and improve earthquake resilience in Turkey.
Industry experts say the employment figures demonstrate that construction activity remains robust despite challenging financing conditions affecting parts of the property market. Ali Hepşen, Professor at Istanbul University's Faculty of Business, said: "This data shows that the recovery in the construction sector is continuing not only on the production side but also on the employment side."
Hepşen also added that continued Urban Renewal projects, strong housing sales, and reconstruction work in Turkey's earthquake-affected regions remain the main drivers supporting employment, although tighter financing conditions continue to limit faster expansion.
Construction industry representatives believe the sector is benefiting from increased project activity, improved cost visibility, and rising numbers of building permits. They say the summer months traditionally represent the busiest period for construction work, with developers accelerating projects across residential and infrastructure sectors.
Engin Keçeli, Chairman of the Association of Constructors and Real Estate Developers (INDER), said stronger construction output had directly contributed to higher employment levels.
He said: "We are the most dynamic sector; we work nonstop. Right now is also the busiest time of year for us. The increase in the number of apartments for which building permits were issued was already an indication that construction activity would pick up. Employment data also confirmed this.”
Keçeli also pointed to greater stability in exchange rates and construction costs as factors encouraging developers to move forward with new projects. With Urban Regeneration a national priority and reconstruction efforts continuing, the construction sector is expected to remain a key contributor to Turkey's economic growth.