The design-build industry is a vital part of the economy, contributing significantly to job creation, infrastructure development, and economic growth. However, it is not without its challenges, and one of the most significant obstacles facing the industry today is the shortage of skilled labor.
The construction industry has been facing a critical shortage of skilled workers, including carpenters, electricians, plumbers, and masons. According to a report in February from the Associated Builders and Contractors, the construction industry averaged more than 390,000 job openings per month in 2022, the highest level on record. However, the industry unemployment rate of 4.6% was the second lowest on record. This means there are plenty of job opportunities, but not enough people willing to fill them. This labor shortage is affecting the entire design-build industry, from architects and engineers to contractors and subcontractors.
What Caused the Shortage?
The root of the problem is multifaceted. First, the Great Recession of 2008 led to a significant reduction in the number of workers in the industry, as many lost their jobs and found employment in other sectors.
Second, the aging construction workforce means that many workers are retiring. With a lack of interest from young people to enter the field, replacements are hard to come by. Lastly, the COVID-19 pandemic has led to a reduction in the number of immigrants coming to the United States, many of whom have traditionally filled construction jobs.
What’s the Impact on Construction?
The labor shortage can have a significant impact on construction projects. The shortage of workers could mean that projects take longer to complete, leading to delays and increased costs. Additionally, contractors may be forced to turn down projects, or in some cases, they may have to increase their prices to compensate for the additional costs associated with the labor shortage. According to the National Association of Home Builders, the labor shortage is causing a significant increase in construction costs, with some builders reporting an increase of up to 30% in labor costs over the past year.
The shortage of skilled workers could also alter the quality of work on construction projects. Contractors may be forced to hire less-experienced workers or subcontractors who may not have the necessary skills to complete the job to the required standard. This can lead to defects and costly repairs down the line.
How Construction Companies Combat the Problem
To address the labor shortage, the design-build industry is taking a multi-faceted approach. This approach includes increasing recruitment efforts, promoting the industry to young people as a viable career option, and investing in training and education programs to develop the next generation of skilled workers.
Another solution is to leverage technology to increase efficiency and reduce the reliance on manual labor. New technologies such as Building Information Modeling (BIM) and prefabrication can help reduce the number of workers required on a job site while increasing the quality and accuracy of the work. To learn more about one specific way technology is being used in construction, read our blog “Augmented Reality’s Impact on Construction.”
Confident Work from Rose Design + Build
The shortage of skilled workers is a significant challenge facing the design-build industry. At Rose Design + Build, we are implementing strategies to overcome the labor shortage, so your construction project moves from design to completion right on schedule, with the job done right.
If you’re looking for a complete team to get your job done, contact us to learn more.