Construction Jobs Available: The Impact Of The Labor Shortage On The Construction Industry

Construction Jobs Available: The Impact Of The Labor Shortage On The Construction Industry

Supply chain issues and a lack of work demand have plagued the construction industry, but it was predicted that once these issues were resolved the industry would boom again. Even though supply chains are now slightly better than in the previous months and clients are once again seeking projects, construction companies are still struggling to keep up with demands. While the supplies are available and clients are clamoring for projects, the workers needed to meet these demands are not. Construction jobs all over the US sit open, leaving companies struggling to complete projects. So why has the demand for construction work gone up and not the demand for construction jobs, and how will this impact the future of the construction industry?

Why Construction Jobs Are Still Open And What This Means For The Industry

Why Is There Still A Labor Shortage?

It was initially predicted that the difficulty in filling construction jobs would ease once the COVID-19 pandemic slowed, and yet this has happened in very few sectors. While the demand for projects has risen since COVID-19 restrictions were decreased, the number of available workers has not, creating greater industry demand and leaving construction companies short-handed. Several factors cause the lack of laborers for construction jobs.

  1. A Retiring Workforce. As people ages 45-65 start to retire, this takes a large number of workers out of the workforce. This age group makes up a large number of workers, typically those with the most experience. As this group retires, we are not seeing adequate numbers of replacements, leaving many construction jobs unfilled.
  2. A Lack Of Interest From Young People. 4-year degrees and white-collar jobs have long been promoted and are now becoming more popular than ever. As more young people go to college and university, we see fewer people going to trade school or interested in apprenticeships. Applying for construction jobs right out of high school is not very common anymore either.
  3. Increased Difficulty To Return To Work. After the brunt of the COVID-19 pandemic, many workers have been unable to return to their construction jobs for a myriad of reasons. Some of these workers must now stay home to support their families, whether children or older relatives. Some of these workers may not have the same level of care or support since the pandemic as their childcare is no longer available or their spouse is sick due to the pandemic. The toll this period took on the health of workers is also causing some people to stay home, either due to long-COVID or to the mental health damage caused by this period of difficulty and isolation. 

What This Will Mean For The Industry

  • Greater Turnaround. We are already seeing high rates of worker turnover as workers switch to different industries, locations, and better-paying positions. Because laborers are in high demand, they have much more freedom to get different, and better-paying, positions.
  • Increased Competition. To compete with other employers, businesses will have to offer more incentives for workers to join or stay with their company. This may be in the form of wage growth, more offered overtime, or better health benefits. Companies may need to offer benefits such as vacation time or career development within the company to incentivize workers to not only join, but to stay with the company for many years.
  • Workers With Less Skill And Experience. Many employers are now hiring workers who are brand new to the industry as they race to get employees before they are hired elsewhere. While workers who are new to the construction industry are an easy candidate pool to select from, they have less experience and may slow down production. While hiring recent graduates comes with benefits, it is not sustainable to build a workforce full of new graduates, as new workers need to learn from experienced employees.


Fill Construction Jobs By Partnering With Wide Effect

Get ahead of the curve and hire qualified and experienced candidates by partnering with a staffing agency. At Wide Effect, we can help you fill construction jobs by finding candidates that are otherwise unavailable to your company. By partnering with Wide Effect, your company gains access to a pool of construction job candidates who are already qualified and pre-screened so you know you are only receiving top candidates and not sacrificing quality. Our direct-hire and temp-to-hire solutions offer permanent employees to fill construction jobs and limit the amount of company turnaround. To partner with Wide Effect and start building a sustainable workforce, call 1-262-298-0026 or fill out the online contact form.



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