Two new studies highlight a paradox happening in the plumbing industry right now. Despite the fact that plumbing contributes $442 billion to the U.S. economy nationally, it is facing a huge employment shortfall that likely will eat into that number, affecting the entire economy, not just plumbing.

Here’s a rundown of the two studies.

• “The Plumbing Manufacturing Industry Economic Impact Study” by Plumbing Manufacturers International (PMI), reports that the industry is a huge driver for the U.S. economy, contributing upwards of $442 billion every year, supporting 1.8 million jobs, and generating $60 billion in tax revenue.
• The other study, the aptly-named “Blocked Pipes: The Economic Consequences of Skilled Worker Shortages,” commissioned by PMI member LIXIL, revealed that the industry could face a shortage of 550,000 plumbers by 2027.

Both studies were conducted by the economic research firm John Dunham & Associates.

What will this shortage mean for plumbing, and for the economy? The “Blocked Pipes” study highlighted several key factors.

Rising costs + delays. Aside from causing headaches in plumbing businesses nationwide, the employment shortage is likely to cascade down to create headaches for construction as well, causing delays for builders and raising costs for property owners.

Plumbing is vital to most industries and sectors. Yes, construction costs will likely rise because of the plumber shortage. But it’s not the only industry that will be affected. The study found that, of the 544 U.S. industry sectors, plumbing services are critical to 519 of them. That means, when plumbing is in a crunch, healthcare, manufacturing, aerospace, retail, automotive, hospitality, and more are going to feel that pain.

Risk of system failure. The study found that roughly 90% of plumbing spending is directed toward new construction. With fewer employees, plumbers will prioritize those jobs, taking workers away from plumbing maintenance jobs. The study finds this heightens the risk of system failures nationwide, which will threaten the economy.

A small influx of new workers will make a big impact. The shortfall is expected to be about 550,000 plumbers. It sounds like a daunting number. How is the industry going to replace all of those employees? There’s good news. The study found that the addition of 16,400 plumbers would impact the economy in a huge way, reducing plumbing costs by $1.27 billion, and freeing up plumbers to focus on maintenance. Suddenly, the problem seems solvable. As of 2026 numbers, there are 129,352 registered plumbing businesses in the U.S. The majority employ six people or less. If all those shops can replace or retain just one lost employee, we’re ahead of the game.

What is causing this shortfall and what can plumbing business owners and managers do about it? We’ll tackle those issues in our next blog. Sneak preview: It’s all about recruitment, training, and workforce development.