The Associated General Contractors of America recently surveyed its members regarding their outlook for 2024, and although 77% of respondents said they have a hard time filling salaried or hourly craftworker positions, 69% said they still plan to increase staffing to meet demand, according to Construction Dive. Twenty percent of respondents said it will become more difficult to hire in 2024.
In 14 of 17 sectors, respondents anticipated the dollar value of projects they compete for to increase in 2024 compared with 2023.
Survey respondents’ top concerns for 2024 included:
- Rising interest rates or financing costs: 64%
- Economic slowdown or recession: 62%
- Rising direct labor costs (pay, benefits, employer taxes): 58%
- Insufficient supply of workers or subcontractors: 56%
- Worker quality: 56%
- Material costs: 54%
To recruit and retain more workers, nearly two-thirds of survey respondents said they increased base pay in 2023 more than they had the previous year, and 25% introduced or increased incentives or bonuses.
Regarding recruitment and retention, in a recent webinar about AGC’s report, Lynn Hansen, CEO of Crowder Constructors, Charlotte, N.C., said younger workers value more flexibility and time off, and her company also intends to invest more in technology to attract workers.
