Construction labour costs rise 5%: how to read a revised building quote

INE’s labour-cost survey, published on 17 September, reports a monthly cost of €3,447.94 per worker in construction for the second quarter of 2026, up 5.0% annually. This is an employer labour-cost measure. It is neither take-home pay nor an hourly rate billed to a building client.

Ask what changed inside the revised offer

If a contractor sends a new total, request a comparison with the previous version. Separate changes in quantities, specified materials, expected hours, subcontracting and commercial terms. This helps establish whether you are seeing a new price for the same scope or a different project.

Consider a purely illustrative calculation. If labour accounted for €60,000 of a €200,000 works budget, raising that component by 5% would add €3,000, or 1.5% of the works budget. It does not establish the labour share or the appropriate increase for your own project; it shows why the component breakdown matters.

Check the period between quotation and commitment

Ask how long the price remains valid and what pricing changes the proposed contract allows. Identify the documents that define the specification and the process for approving variations. Keep the agreed scope separate from improvements you are still considering.

Our turnkey contract guide provides useful questions about inclusions and exclusions. If the project is already under way, the stage certification and payment guide helps organise the discussion around work completed and the next payment.

Make the remaining margin visible

The whole-project budget calculator combines acquisition, works, professional fees, taxes, temporary accommodation and funding. Change only the item that has been revised to see its effect on the available balance.

If the revised amount uses up contingency, work through the next decision explicitly: a scope adjustment, a confirmed alternative quote or a different programme. Keeping optional upgrades separate makes it easier to understand what the project now costs and which decisions remain yours to make.