As with many other U.S. cities, Houston's construction industry is struggling with a skilled labor shortage, according to www.constructiondive.com. A report from Houston Public Media says immigration reform could help ease that struggle and control rising project costs.
Undocumented workers make up more than 30 percent of Houston's 300,000-worker construction labor force, and some city leaders say a deportation policy would slow down projects. These leaders say allowing undocumented workers some type of legal status would provide a more stable labor pool, reduce project costs and result in more workers receiving training and benefits.
Mike Holland, COO for Houston contractor Marek, told Houston Public Media that labor issues such as shortages and decreasing quality are the biggest contributors to the rising costs of construction projects.
A January survey from the Associated General Contractors of America showed about 80 percent of contractors were concerned there would not be enough workers to support their expansion plans this year. A Wells Fargo Securities survey reported that finding enough labor was the biggest concern for 47 percent of the contractors it surveyed; a lack of skilled workers presented the biggest business risk for 35 percent of the contractors polled.
The industry is having trouble recruiting new workers because fewer younger people are willing to consider the construction industry as a viable career option.
Many industry organizations have been requesting reforms to increase the supply of skilled construction workers, and earlier this month, Rep. Lloyd Smucker (R-Pa.) introduced two bills addressing the issue. The "Workforce for an Expanding Economy Act" would allow U.S. employers to staff preapproved projects in construction and other industries with temporary foreign workers, pending federal government authorization. The "USA Workforce Tax Credit Act" would encourage charitable donations for community-based apprenticeships, workforce development and career and technical education programs.
