2025 CIRT Sentiment Index: First Quarter
The first quarter 2025 CIRT Sentiment Index increased to 67.9 from 64.1 in the fourth quarter of 2024. However, the outlook isn’t as positive among those focused solely on design, with the Design Index falling to 61.8 from 71.1.
The last time the Design Index and Sentiment Index diverged this significantly was during the economic turbulence of COVID-19 five years ago. Since then, the design segment has consistently led the trend—rising in expanding markets and declining in those expected to contract. This current divergence could be a signal of something significant and, at the least, suggests that the lag between front-end design activity and its downstream impact on construction has widened. Notably, the rapid and substantial paradigm shifts introduced by the new administration are already being felt in the planning and design stages, though not yet in the subsequent building phase. Either way, this remains a critical trend to monitor throughout the remainder of 2025.
Current trends covered in this quarter's report include:
- 27% of respondents said limited availability of skilled and craft workers is a primary challenge for 2025.
- Hiring projections are mixed, with 41% maintaining hiring targets in line with 2024 and 46% planning for modest increases.
- Backlog levels remain robust, with 48% of respondents maintaining backlogs of 19 months or more.
