More than two-thirds of applicants for open construction jobs lack the necessary skills, according to a recent survey by the Associated General Contractors and Autodesk.
Whether it's building construction, highway and transportation projects, federal and heavy work, or utility infrastructure, the problem remains the same. Contractors that use only union craft labor and firms that operate as open-shop employers, as well as firms with $50 million or less in annual revenue and those with more than $500 million in revenue, are all facing labor shortages.
A total of 85% of the surveyed firms reported they have open positions they are trying to fill, and of those, 88% are having difficulty filling at least some of those positions, particularly the craft workforce that performs the bulk of the work.
AGC’s survey of more than 1,400 construction firms, both open and union shop, was conducted in late July and early August.
Workforce shortages are only adding to the impacts of supply chain disruptions that have made it difficult for construction companies to get materials delivered on time and that are driving up the cost of those materials.
While these shortages have recently shown signs of abating, 65% of firms report projects they work on have been delayed because of supply challenges and 61% have been delayed because of labor shortages.
Half the respondents report owners canceled, postponed, or scaled back projects due to increasing costs. Meanwhile, 22% of firms reported projects were impacted due to lengthening or uncertain completion times.
