A second man working with the victim was also seriously injured by the car, which ploughed off the road into the streetworks site.
Greater Manchester Police said that emergency services attended the scene at 11.47am on Featherstall Road in Littleborough to find two electrical engineers who had been working on the pavement were found seriously injured.
The police said that despite the very best efforts of emergency services, one man in his 30s was later pronounced dead at the scene and the second man in his 20s was taken to hospital in a serious condition.
Initial enquiries established that a vehicle had come off the road and collided with the victims. No arrests have been made.
GMPs Tactical Commander, Superintendent Arif Nawaz, said: “This has been a terrible incident and our thoughts are very much with the family and friends who have lost their loved one in tragic circumstances.
“As a result of this incident, around 2000 homes and businesses in the area were without electricity for around four hours and a major incident response was declared.”