Economist: Labor Shortage in Construction Industry to Drive Training Efforts

At a recent event in Phoenix, Associated General Contractors economist Ken Simonson presented some good news for the construction industry. After growth of 4-6% in total construction spending in 2016--on top of even better growth in 2015--, the trend looks to continue with 2017 offering a similar outlook.

With the growth, it's a good time to be looking for a job in the construction area. The Phoenix area, for example, added nearly 10,000 jobs last year. On the other hand, it can be a very trying time for companies who are looking to hire in order to ramp up in order to take advantage of the growing market. Construction workers are retiring more quickly than they can be replaced and that trend is made more painful in a growing market. Approximately half of the AGC member companies, for example, report having trouble finding qualified concrete workers and they are having even more trouble finding qualified plumbers, electricians, and roofers.

In order to make up for the shortage, many AGC companies are using the obvious solutions--offering higher pay and more bonuses, working more overtime, and pushing work to subcontractors. A large number are also reacting by developing their own work force. Forty-eight percent of member companies report that they are increasing internal training efforts in order to help address gaps.

At DHx Software, we believe that the right combination of face to face and online training can help construction companies get more employees up to speed quickly while limiting the time someone needs to spend in a classroom. If you are looking for new and innovative ways to onboard new employees and get them productive quickly, lets schedule a time to talk.  Please contact us at info@dhxsoftware.com.

 

 

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