Why is there a Labor Shortage in Construction?

This company decided to dig deeper and came up with several reasons why we are struggling to find labor. They also shared a program that they are using to help solve the problem.

By Karen L. Edwards, RCS Editor.

I recently heard from Chase Northwest Construction when they shared a blog post they had written that was inspired by RCS Influencer Rudy Gutierrez’s thoughts on how the immigration debate poses an economic threat to a labor shortage in construction.

They dug even further and wanted to answer the question ‘Why is there a labor shortage in our industry?’ They came up with several reasons:

1 – The construction industry has not fully recovered from the recession even though other industries have. Total non-farm employment is up 6.8 percent over what it was in January 2008, yet construction employment is 8.8 percent lower than its peak in April 2006.

2 – The immigration debate. The National Association of Home Builders says that 30 percent of construction labor and 45 percent of roofing labor roles are filled by immigrants. Policies that negatively affect immigration can lead to a labor shortage.

3 – The lack of interest among young people entering the workforce. A study done by NAHB showed only three percent of respondents aged 18-25 wanted to work in construction.

So, what to do about the labor shortage? Several contractors have taken things into their own hands and started training programs to train the future workforce. Manufacturers are stepping up as well, with GAF implementing the Hire a Hero program to train military veterans to work in the industry.

Thank you, Chase Northwest Construction, for taking the initiative to highlight solutions that can lead to solving the labor shortage. Read their full article here.