A workforce survey conducted by the Associated General Contractors of America and National Center for Construction Education and Research shows construction workforce shortages are the leading cause of project delays, according to AGC.
Ninety-two percent of construction companies that are hiring report having difficulty finding qualified workers. Eighty-eight percent of companies report having openings for craft construction workers, and 80% have openings for salaried workers.
Fifty-seven percent of companies report available candidates are not qualified to work in the industry because they lack essential skills or do not have an appropriate license. Also, only 10% of firms use the H-2B visa program or other temporary work visa programs to hire salaried or hourly craft employees.
The survey shows new immigration enforcement efforts have affected nearly one-third of construction companies. Twenty-eight percent of respondents report being affected directly or indirectly by immigration enforcement activities during the past six months; 5% report a job site or offsite location was visited by immigration agents; 10% percent say workers left or failed to appear because of actual or rumored immigration actions; and 20% report subcontractors lost workers.
Worker shortages are survey respondents’ most common reason for project delays. Forty-five percent of respondents report experiencing project delays because of their own shortages or subcontractors’ worker shortages. Seventy-eight percent of companies report at least one project has been delayed during the past 12 months.
Contractors are trying to combat the labor shortage. Seven out of eight firms raised base pay for workers as much or more than they did a year earlier, and 42% initiated or increased spending on training and professional development during the past year. Additionally, 55% of companies used online strategies such as social media and digital advertising to connect with younger applicants, and 52% engaged with career-building programs at high schools, colleges, or career and technical education institutions.
Nearly 1,400 companies completed the Workforce Survey from a broad cross-section of the construction industry.
