Home Builders Institute (HBI) released a new report they predict that the construction industry may be on the cusp of an employee shortage crisis. The HBI’s Fall 2021 Construction Labor Market Report—based on data analysis from the Bureau of Labor Statistics—estimates that over the next three years an additional 2.2 million new hires will be necessary. Taking into account employees who are expected to retire or move to a different sector, this means that approximately 61,000 workers will need to be hired each month.
It’s necessary for companies to be aware of this market trend in order to make preparations and avoid potential issues, such as:
- Lacking the resources to accept or bid on new projects
- Not being able to keep up with projects’ expected timelines
- Experiencing worksite safety issues
- Hiring workers who may not have optimal qualifications
Firms may be able to get out ahead of the competition and secure necessary labor by considering the following steps:
- Increase pay while taking care to avoid making projects less affordable for clients.
- Reach out to students at secondary schools and women—who represent only 10.9% of industry employees—and attempt to convince more people to pursue construction careers.
- Make trade skills education and training more readily available for potential veteran, minority, and lower-income employees.
For more industry-specific information and guidance, set up a consultation with one of Horton’s construction Insurance experts to evaluate your risks and ensure you are covered accordingly.
Material posted on this website is for informational purposes only and does not constitute a legal opinion or medical advice. Contact your legal representative or medical professional for information specific to your legal or medical needs.