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Construction Labour Issues: Its Impact and How to Address it

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about 1 year ago

by IVY Resource Group

Construction Labour Issues: Its Impact and How to Address it

It goes without saying that the current cost-of-living crisis, and the general economic climate of the nation, is impacting industries across the globe, including the construction sector, inflating prices and influencing construction demand. 

In this article, we will explore recent construction labour issues that the construction industry is facing, its effect, and how to address these issues. 

Labour Shortage

The labour shortage within the construction industry has been an existing problem in this sector even years prior to the COVID-19 pandemic and the cost-of-living crisis. Also known as talent crises, labour shortages refer to the increasing amount of vacant positions and lack of qualified construction workers available to fill these vacancies. 

With the pandemic and the economic turbulence, the labour shortage in the construction industry has been impacted further. However, despite this, there is still a demand in construction projects, particularly in infrastructure, private housing, and repair and maintenance.

In fact, the latest Construction Skills Network (CSN) report states 225,000 additional construction workers will be needed to meet the UK’s construction demand by 2027. This figure shows that there are substantial recruitment challenges facing the construction industry in the upcoming years. 

The Labour Shortage’s Effects

As construction companies are struggling to hire talented recruits, they might have to make the difficult decision to reject or withdraw from numerous construction projects because they simply don’t have enough workers to complete them. 

As a result, this can take a toll on the company’s reputation within the industry, preventing them from attracting more clients as they are perceived as unreliable. Ultimately, this can hinder the success of the construction company in the long run. 

In addition to this, recruitment costs tend to skyrocket as it often requires more time and resources to find the right workers with suitable accreditations and qualifications, typically in a short amount of time. This means that some construction companies offer a higher-than average wage to help secure new recruits in time for their construction project.

Paired with soaring inflation that is influencing the price of construction materials as well, construction projects are becoming a costly venture for construction companies themselves. 

Addressing the Construction Labour Issues 

First of all, don’t forget that you also have the ability to encourage the professional development of your existing employees so that they are able to fill in any vacant positions that require more accreditations or training. 

This means that you don’t have to spend too much time having to recruit new employees if you’re able to train your current employees to the standard that is needed for the project or role.

In the meantime, it would be a good idea to partner with a recruitment companywho are able to source talented construction workers for your needs. Instead of spending time and money on trying to recruit workers in-house, outsourcing your recruitment can certainly be more efficient. 

You can rely on recruitment experts who know the recruitment process thoroughly and are able to source skilled candidates for vacant positions within your company. If you would like more information about our services, don’t hesitate to contact the team at Ivy Resource Group.

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