After years of uncertainty following the 2008 economic crisis, the construction job market is finally making a recovery. This year, you’ll see an especially promising outlook for construction industry employment.
More Construction Firms Hiring
When the national economy took a dramatic turn for the worse in 2008, the construction job market shrank just as dramatically. The rate of construction job openings eventually hit a low of 0.3 percent in April 2009. The low prior to that was in 2005.
Since then, however, the construction industry has been gradually recovering. In 2015, the job openings rate rose to a high of 2.6 percent in March. This year, the situation for construction workers looks even better. January’s rate of 2.7 percent slightly surpassed last year’s high. That’s the highest it’s been since any time after the pre-crisis high of 3.5 percent.
Despite some peaks and valleys over the last few years, the construction industry employment rate is showing a positive trend. Since May of 2013, the rate of hiring has remained above the rate of separations due to quits, layoffs and other causes. You can expect to see new workers entering the industry at a slow but steady rate.
What the Recovery Means for You
While the industry’s recovery is overall good news for your construction firm, it also brings some challenges. Increased demand for highly skilled laborers can make it tough to find the specialists you need. While shortages like this are normal for recovery periods, this one seems more severe than expected.
Carpenters, drywall workers and tile installers, among others, are in short supply. Lack of workers can lead to delays and other scheduling issues. The workers who are available may expect wages higher than you’d planned to pay, potentially causing budgeting issues.
There are ways to avoid these issues, though. Providing training and coaching, hiring workers from other industries, ensuring a safe and healthy work environment, and boosting pay and benefits can help you bring in skilled laborers despite the shortage.
For more information on current construction industry employment trends, contact Construction Monitor.