The construction industry plays a crucial role in the growth and development of every country. Developed nations usually have a robust construction sector that helps build their public and private infrastructure. The industry also creates employment and business opportunities for other sectors like mining and manufacturing. On a global scale, construction also makes a crucial contribution to international trade.

Considering the vital importance of construction to national and global economies, skills shortages in this sector can be a huge hindrance to human development and growth. This brief article explores the impact of such shortages and how countries can tackle the problem.

In-Demand Skills In The Construction Sector

The construction sector comprises a wide range of activities that require specific skills and capabilities. Some professionals are civil engineers, materials scientists, or project managers, while others are architects, designers, inspectors, or draftsmen. Still others are “on the ground” workers. These are the people who build dams and bridges, lay tiles, operate power tools, and dig trenches.

Most of these activities require physical strength, dexterity, and stamina. Construction workers must also have excellent hand-eye coordination, fine motor skills, and of course, knowledge of building materials and codes, environmental regulations, and operating equipment. Engineering, design, and management professionals must also be competent at blueprint development, quality control, worksite management, documentation, and labor relations. Apart from these qualities, all these professional skills are highly valued in construction:

• Computer-aided Drafting (CAD)
• Carpentry
• Masonry
• Stonework
• Painting
• Tilework
• Metalwork
• Welding

A shortage of these professionals can have a huge impact on the construction industry and the broader economy.

The Impact Of Skills Shortages In Construction

The most obvious impact of a shortage of skilled carpenters, bricklayers, plasterers, etc. is that it affects the progress of projects. As projects get stalled indefinitely, the finances of all involved companies are adversely affected. Stalled projects reduce construction output, which impacts the development of the local community, and ultimately the national economy and its GDP.

Another problem is that available workers demand higher salaries or payouts. This increases personnel costs for companies, reducing their revenues and profits.

The squeeze on labor, rising wages, and inflationary pressures also dampen the appetite for new investment in construction. These factors slow down the pace of new developments and prevent the country from meeting its infrastructure needs. A slowdown in housing construction, in particular, creates a huge demand-supply gap, which increases house prices and rents, making affordable housing next to impossible.

Construction worker shortages also affect other industries. Since construction firms are “customers” for firms in many other industries, a slowdown in this sector can also cause a slowdown in all these other sectors.

The Way Forward For Construction

The problem of skills shortages is not easy to resolve. However, it’s not impossible. What’s required is a concerted effort by governments, the construction industry, and society at large.

Governments must invest in major construction and infrastructure projects to show that the industry can thrive and contribute to the country’s economy. As new bridges, roads, and ports go up, it can help attract fresh blood into the industry.

Companies must also make an effort to boost employment possibilities. They should target highly-skilled professionals and show them how their efforts can contribute to “tangible” projects and thus build a career legacy. Employers should also catch future professionals at a young age. They should convince youngsters to sign up for apprenticeship programs and create employment pathways for when they complete these programs. 

It’s also crucial to clearly highlight the earning potential and pipeline of opportunity for future professionals. Showing potential workers, engineers, and managers that they have a bright future in construction can go a long way toward attracting them to the sector and keeping them there. Governments and companies should also revisit the wages paid to these workers, especially those who work more with their hands rather than their minds. Benefits like insurance and pensions can also attract more workers to the industry.

The final effort should come from society. Parents and guardians should stop pushing their reluctant wards to traditionally “attractive” professions like medicine or finance. Instead, they should encourage children to also consider construction careers such as civil engineering, project management, quantity surveying, town planning, and trades like welding, metalwork, plumbing, etc. If the children themselves are keen and they have parental support, it can help to create the next generation of dedicated, skilled construction professionals who love their work.

Conclusion

The construction industry will always play a critical role in national economies. Unfortunately, due to factors such as the COVID-19 pandemic, supply chain shocks, and the “Great Resignation”, the industry is currently reeling under a severe shortage of skilled professionals.

Addressing the problem will require a sustained and combined effort from governments and construction companies, plus the support of the people. Considering the growing importance of the sector, this effort is required now more than ever.