The electrical construction industry is undergoing a seismic shift. As buildings get smarter and energy codes evolve, traditional electrical systems are giving way to low voltage, network-based alternatives. Among the most transformative of these technologies is Power over Ethernet (PoE)—a solution that delivers both data and power through a single low-voltage cable.
At the same time, the industry is facing a skilled labor shortage. Thousands of licensed electricians are retiring each year, and younger generations aren’t entering the trade fast enough to fill the gap. But within this challenge lies a unique opportunity: the rise of low-voltage technology offers a new path forward—one that is changing who does the work, how buildings are wired, and what the future of construction looks like.
The Labor Shortage in the Electrical Industry
According to NECA (National Electrical Contractors Association) and other industry groups, the electrical trade is losing experienced workers faster than it is gaining new ones. Many union chapters report that nearly 30% of their electrician workforce is nearing retirement age. Simultaneously, fewer young people are pursuing careers as electricians, even though the demand for skilled labor continues to grow.
Construction firms across the country are feeling the pinch. A 2024 NECA Innovation report noted that nearly 70% of contractors struggle to find qualified electricians for their job sites. This shortage is impacting project timelines, increasing labor costs, and driving interest in labor-efficient solutions—like low-voltage systems and PoE-based infrastructure.
Why Low Voltage Is on the Rise
Low-voltage systems are growing rapidly across sectors including commercial offices, healthcare, hospitality, and education. These systems power everything from access control and video surveillance to LED lighting and automated window shades. In fact, many of today’s “smart building” technologies run entirely on low-voltage DC power—often using Power over Ethernet to streamline installation and reduce electrical load.
For contractors, this shift offers a more scalable, modular, and cost-effective approach to building infrastructure. For technicians, it creates a new career pathway that’s faster to enter, highly specialized, and increasingly in demand.
Unlike traditional high-voltage work, low-voltage installations don’t always require a licensed electrician. In many states, certified low-voltage techs or IT-trained professionals can handle PoE deployments, smart sensors, and AV systems—effectively expanding the labor pool and modernizing the workforce.
The Opportunity in Power over Ethernet (PoE)
At the center of this movement is Power over Ethernet—a technology that allows DC power and data to flow over a single Cat5 or Cat6 cable. This makes it possible to install and control lighting, shades, occupancy sensors, access points, and more without traditional electrical conduit.
For building owners and facility managers, PoE means simplified infrastructure, real-time control, and better energy efficiency. For electrical contractors and low-voltage integrators, it opens the door to new services, recurring revenue from smart building platforms, and a future-proof skill set.
As the demand for intelligent buildings grows, PoE is becoming the backbone of sustainable design. It aligns with LEED and WELL certification goals, supports biophilic design principles, and enables enterprise-wide automation through platforms like Cisco Spaces and aida™.
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Rethinking the Skilled Workforce
So what does this mean for the electrical construction industry?
It means the trades are evolving. A new generation of low-voltage professionals is emerging—not to replace electricians, but to complement them. As PoE adoption accelerates, collaboration between electrical contractors, IT teams, and low-voltage specialists will be essential to meet the demands of modern building projects.
To stay competitive, contractors need to train their teams in structured cabling, PoE standards like IEEE 802.3bt, and smart building integration. Likewise, young professionals looking to enter the field should consider certifications in low-voltage systems, network cabling, and building automation.
The future belongs to those who can bridge the gap between power and data—between traditional construction and smart technology.
Final Thoughts
The rise of low-voltage technology and Power over Ethernet is reshaping the electrical construction industry. It’s reducing the strain caused by labor shortages, creating new job opportunities, and building a smarter, more sustainable future.
Whether you’re a seasoned contractor, an up-and-coming technician, or a building owner exploring next-gen infrastructure—low voltage and PoE aren’t just trends. They’re the new foundation.