{"id":34628,"date":"2021-09-17T08:43:25","date_gmt":"2021-09-17T12:43:25","guid":{"rendered":"https:\/\/www.glensfalls.com\/glensfallsbusinessjournal\/?p=34628"},"modified":"2021-09-17T08:43:25","modified_gmt":"2021-09-17T12:43:25","slug":"general-contractors-of-america-says-finding-workers-to-fill-jobs-is-still-problematic","status":"publish","type":"post","link":"https:\/\/www.glensfalls.com\/glensfallsbusinessjournal\/2021\/09\/general-contractors-of-america-says-finding-workers-to-fill-jobs-is-still-problematic\/","title":{"rendered":"General Contractors Of America Says Finding Workers To Fill Jobs Is Still Problematic"},"content":{"rendered":"<p>Construction firms are struggling to find enough qualified workers to hire, even as they continue to be impacted by pandemic-induced project delays and supply chain disruptions, according to the results of a workforce survey conducted by the Associated General Contractors of America and Autodesk.<span class=\"Apple-converted-space\">\u00a0<\/span><\/p>\n<p>The survey results underscore how the coronavirus pandemic has created constraints on the demand for work even as it limits the number of workers available to hire, association officials said.<\/p>\n<p>The association and Autodesk conducted the Workforce Survey in late July and early August. Over 2,100 firms completed the survey from a broad cross-section of the construction industry, including union and open shop firms of all sizes. The 2021 Workforce Survey is the association\u2019s ninth annual workforce-related survey.<\/p>\n<p>\u201cMarket conditions are nowhere near as robust as they were prior to the onset of the pandemic,\u201d said Ken Simonson, the association\u2019s chief economist. \u201cAt the same time, the pandemic and political responses to it are limiting the size of the workforce, leading to labor shortages that are as severe as they were in 2019 when demand for construction was more robust.\u201d<\/p>\n<p>Simonson noted that nearly nine out of ten firms (88 percent) are experiencing project delays. Among these firms, 75 percent cite delays due to longer lead times or shortages of materials, while 57 percent cite delivery delays. Sixty-one percent of firms said their projects are being delayed because of workforce shortages. And delays due to the lack of approvals or inspectors, or an owner\u2019s directive to halt or redesign a project, were each cited by 30 percent of contractors.<\/p>\n<p><span class=\"s2\"><span class=\"s1\"><!--more--><\/span><\/span>An even higher percentage of firms, 93 percent, report that rising materials costs have affected their projects. These rising materials costs are undermining firms\u2019 abilities to profit from the work they have, with 37 percent reporting they have been unsuccessful in passing those added costs onto project owners.<\/p>\n<p>As a result of these supply chain challenges, more than half of firms report having projects canceled, postponed or scaled back due to increasing costs. Twenty-six percent of firms report their projects have been delayed or canceled because of lengthening or uncertain completion times and 22 percent say changing market conditions have led to project delays or cancellations.<\/p>\n<p>The association said the market conditions are a key reason why 26 percent of respondents expect it will take more than six months for their firm\u2019s revenue to match or exceed year-earlier levels. And 17 percent are unsure when to expect a return to previous demand levels.<\/p>\n<p>While the pandemic has led to project delays and cancellations nationwide, contractor expectations of recovery do vary by region.<span class=\"Apple-converted-space\">\u00a0<\/span><\/p>\n<p>Forty percent of respondents in the Northeast expect it will take more than six months for their firm\u2019s volume of business to return to normal, compared to only 12 percent of respondents in the Midwest, 22 percent in the West, and 34 percent in the South, officials said.<\/p>\n<p><span class=\"Apple-converted-space\">\u00a0<\/span>There are also some differences by project type and revenue size, Simonson said. For instance, 100 percent of building contractors and 97 percent of firms that work on federal government projects report at least some projects were canceled, postponed or scaled back, compared to 61 percent of utility infrastructure contractors and 56 percent of highway and transportation contractors.<span class=\"Apple-converted-space\">\u00a0<\/span><\/p>\n<p>Two-thirds of the firms with revenues that exceeded $500 million increased their headcount in the past 12 months, compared to just over half (53 percent) of midsized firms\u2014those with revenues of $50.1 million to $500 million\u2014and slightly more than one-third (36 percent) of firms with revenues of $50 million or less.<\/p>\n<p>The association said that despite these challenges, contractors report as much difficulty filling positions as they experienced before the pandemic. Eighty-nine percent of firms that are seeking to fill hourly craft positions report having a hard time doing so. And 86 percent of firms seeking to fill salaried positions are also having a hard time hiring.<\/p>\n<p>According to the association, there are two main reasons so many firms report having trouble finding workers to hire. The first is that 72 percent of firms say available candidates are not qualified to work in the industry due to a lack of skills, failure to pass a drug test, etc. The lack of qualified candidates affects union and open-shop firms almost equally: 70 percent of firms that always use union craft workers exclusively and 74 percent of open-shop firms report a lack of qualified candidates. And 58 percent of respondents report that unemployment insurance supplements are keeping workers away.<\/p>\n<p>As a result of these shortages, almost one-third of firms report they have increased spending on training and professional development. Most firms, 73 percent, report they have increased base pay rates during the past year. And just over one-third of firms have also provided hiring bonuses or incentives during the past year.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Construction firms are struggling to find enough qualified workers to hire, even as they continue to be impacted by pandemic-induced project delays and supply chain disruptions, according to the results of a workforce survey conducted by the Associated General Contractors of America and Autodesk.\u00a0 The survey results underscore how the coronavirus pandemic has created constraints [&hellip;]<\/p>\n","protected":false},"author":89,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\r\n<title>General Contractors Of America Says Finding Workers To Fill Jobs Is Still Problematic - Glens Falls Business Journal<\/title>\r\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\r\n<link rel=\"canonical\" href=\"https:\/\/www.glensfalls.com\/glensfallsbusinessjournal\/2021\/09\/general-contractors-of-america-says-finding-workers-to-fill-jobs-is-still-problematic\/\" \/>\r\n<meta property=\"og:locale\" content=\"en_US\" \/>\r\n<meta property=\"og:type\" content=\"article\" \/>\r\n<meta property=\"og:title\" content=\"General Contractors Of America Says Finding Workers To Fill Jobs Is Still Problematic - 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