Ielmini on how AI is driving construction demand for Insulators

March 26, 2026

Pete Ielmini, Executive Director of the Mechanical Insulators Labor Management Cooperative Trust (LMCT), joined host Ed “Flash” Ferenc on the America’s Work Force Union Podcast on March 26 for a wide-ranging conversation on artificial intelligence becoming one of the most significant forces reshaping the union construction industry. Rather than fueling the fear that often surrounds the topic, Ielmini made a compelling case that AI’s infrastructure demands are creating a generational boom for mechanical insulation—and now is a great time to join the Insulators Union.

From the explosion of data center construction and the condensation challenges that come with it, to the coming surge in power generation and the urgent need for apprenticeship recruitment and retention, Ielmini laid out why the future is bright for anyone willing to enter the trade.

AI is not the enemy—it’s a construction engine

Ielmini opened by acknowledging the anxiety many workers feel about artificial intelligence, noting that Hollywood films like “The Terminator” and “I, Robot” have painted a dark picture of what advanced technology means for human livelihoods. But when he turned his focus to the mechanical insulation industry specifically, a different story emerged.

At its core, AI requires massive physical infrastructure to function. Every query, every stored file, every piece of data processed by AI systems needs to live somewhere, and that somewhere is a data center. These facilities have been under construction for the past 15 years, but the scale and pace of development are accelerating dramatically. The projects being built today are measured in billions of dollars and require enormous amounts of skilled labor.

For mechanical insulators, this is a significant opportunity. Data centers rely on servers that must be kept at precisely controlled low temperatures. That means chilled water systems, cold applications and condensation control—all areas that demand elevated craftsmanship and more labor than standard hot insulation work.

Condensation control: why data centers need skilled insulators

Ielmini took time to explain why cold insulation work in a data center environment is particularly demanding. When systems operate below ambient temperature, moisture forms on the outside of uninsulated or poorly insulated surfaces. This is the same condensation that leaves a ring on a wooden coffee table when you set down a cold drink.

In a data center, that kind of moisture is unacceptable. Water and electrical equipment do not mix, and there is simply no tolerance for failure. As Ielmini put it, data centers cannot shut down. Not even briefly. Losing power means losing data, which is why these facilities are also built with full backup power systems to ensure continuity under any circumstance.

That zero-failure standard makes the quality of insulation installation critical. It also means the work requires skilled, trained mechanics—exactly the kind that come out of a union apprenticeship program.

Power generation: the boom that follows the boom

Data centers don’t just need physical space—they need enormous amounts of electricity. And that is straining a power grid that Ielmini described as already challenged. When summer air conditioning demand peaks alongside the energy draw from a growing number of data centers, the gap between supply and demand becomes a real problem.

The response, Ielmini explained, is a coming wave of power generation construction—natural gas plants, and increasingly, nuclear. He highlighted small modular reactors (SMRs) as an emerging technology gaining traction and noted that Microsoft has already purchased Three Mile Island in Pennsylvania to privately power many of its data center operations.

By 2030, it is projected that 30 percent of all data centers will have their own on-site energy generation, selling surplus power back to the grid. The construction of those generation facilities represents yet another wave of work for the mechanical insulation industry.

Now is the time to enter the apprenticeship program

With the construction landscape shifting so decisively in favor of skilled trades, Ielmini used the second segment of the conversation to make a direct pitch: if you are considering a career in the building trades, do not wait.

He provided a candid pitch about the work for those considering the career. Construction is physical. Insulators spend roughly 75 percent of their time on ladders. The job requires going to work five days a week, working outdoors in heat and cold, and being comfortable getting dirty. The apprenticeship program can teach every technical skill required, but it cannot supply a work ethic. That has to come from the individual, he said.

What the program does provide is substantial:

  • No-cost education through a local union registered apprenticeship program
  • Starting pay from day one, with wages increasing as apprentices advance
  • A career path that regularly leads to six-figure income for journey-level mechanical insulators
  • Benefits, retirement and the backing of a union brotherhood and sisterhood

Ielmini drew on his own experience. A career in the trades allowed him to raise his family, put his children through college and build a stable life, he said, all without earning a collge degree.

Recruitment and retention: two sides of the same coin

Ielmini stressed that addressing the skilled labor shortage requires more than just recruiting new apprentices. Unions, contractors and the LMCT must also focus on retention—ensuring that the members brought in during this boom have long-term opportunities after the immediate wave of data center and power generation work is completed.

Bringing someone into the trades with the promise of short-term work, only to have no pipeline behind it, is not a commitment worth making. Ielmini was clear that recruitment and retention have to be planned together.

He also highlighted one of union labor’s structural advantages in this environment: the ability to move labor across regions and even across the country to meet demand. When one area is short on workers, the union can supply them from elsewhere. That flexibility is a significant selling point for contractors choosing between union and non-union operations—and it becomes even more valuable during a construction boom.

Listen to the episode

To hear the full conversation with AWF Host Ed “Flash” Ferenc—including additional detail on data center construction, power generation, and why the LMCT sees this moment as a turning point for the mechanical insulation industry—visit the America’s Work Force Union Podcast episode featuring Pete Ielmini. The show is available on YouTube, Apple Podcasts, iHeartRadio, Spotify and Pandora. For more information, visit mechanicalinsulatorslmct.com or insulators.org.

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