• Sustainability
  • Projects
  • Circularity
  • Technology
  • Awards
    • Top Products 2023
  • Living Lab
  • Archives
    • ConnectedWorld
    • Constructech
What's Hot

Did the Predictions Come True?

February 1, 2023

Leveraging Tech in National Defense and National Security

February 1, 2023

Fact of the Day – 2/1/2023

February 1, 2023
Get your Copy Today
Facebook Twitter Instagram
Facebook Twitter Instagram
Connected WorldConnected World
  • Sustainability
  • Projects
  • Circularity
  • Technology
  • Awards
    • Top Products 2023
  • Living Lab
  • Archives
    • ConnectedWorld
    • Constructech
Connected WorldConnected World
Home » Construction Work Trends for 2023
Projects

Construction Work Trends for 2023

No Comments4 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr WhatsApp Email
Share
Facebook Twitter LinkedIn WhatsApp Pinterest Email

This year—2023 offers interesting opportunities for hiring in the construction industry—and the vast majority expect to do just that. In fact, more than two-thirds expect to add to their headcount, according to new research.

The Associated General Contractors of America and Sage recently released the finding of a new survey titled High Hopes for Public Sector Funding Amid Workforce and Supply Chain Challenges: The 2023 Construction Hiring & Business Outlook.

All in all, it finds the construction industry is continuing to look to the public sector as private dries up. The survey suggests contractors expect infrastructure and other public-sector funding will help in the year ahead.

The workforce statistics provide an interesting look at what is to come in 2023 in relation to hiring. While just under half of construction companies expect to increase their people by 10% or less, nearly one-quarter expect more significant gains. More specifically, 18% of the respondents say their headcount will grow by 11-25%, and 5% of respondents anticipate their workforce will grow by more than 25%.

The Shortage and Solutions

Here’s the challenge. Roughly 80% report they are having a hard time filling some or all salaried or hourly craft positions, compared to only 8% who say they are having no difficulty. I want to know who those 8% are—and what their secrets are! In addition, the majority—58%—of respondents says either hiring will continue to be hard or will become harder. Only 15% say it will become easier or remain easy to hire, while 27% expect no change.

With this shortage comes the need to create a better incentive package for workers. To address this, nearly three-quarters of construction companies increased base pay rates more than in 2021, compared to 62% that boosted pay more in 2021 than in 2020. Additionally, one-third of firms provided incentives or bonuses. And more than one-fourth of the firms increased their portion of benefit contributions and/or improved employee benefits.

While this is a start, we must seriously consider the needs and wants of the workers and appeal to each worker individually. Also, many companies may want to explore quiet hiring in the year ahead, which is picking up momentum in some industries looking to acquire new skills without actually hiring new full-time employees. While quiet hiring really isn’t new to construction, this trend has proven to be very viable in an industry that hires workers such as subs on a part-time, contract-basis for small projects and increasingly uses their talents, as needed.

The Role of SMBs

As we look at workforce trends in the construction industry, we must consider the role of SMBs (small and medium-sized businesses). Another recent report from Sage reveals with ongoing economic uncertainty across the globe, SMBs in the United States are still very resilient against the macro headwinds.

In fact, the report, published in partnership with The Centre for Economics and Business Research, suggests SMBs will continue to make significant contributions to the global economy until 2025, as employment by U.S. SMBs is projected to reach a record high of more than 63.3 million jobs by 2025, making up 44.8% of all business workers.

Interestingly, this report took a very deep dive into historical trends. The report, which assesses data in the period from 2005 to 2019, including the impacts of the global financial crisis, then forecasts growth trends during the next three years. Historical market analysis shows the vital role of SMBs in economic bounce back from the 2007-2009 global financial crisis, which suggests a similar path in the years ahead. In fact, the research demonstrated by 2015 U.S. SMBs employed an additional 3.9 million people when compared to 2010, while SMBs in Canada saw a 745,000 rise in employment across the same period.

In addition, by 2025, the study forecasts the number of United States SMBs will rise by 36,000 and by nearly 1.2 million across the eight countries studied—the United States, the United Kingdom, Canada, Spain, Germany, France, Ireland, and Portugal.

Could SMBs lead the way in the year ahead as the construction industry moves into a new era? Are SMBs equipped to adapt to the changing economic landscape faster than large organizations? Let’s watch as the year unfolds, and construction continues to turn to digitalization. Many factors are at play here. It is sure to be an exciting year. Perhaps the real question now is how smart will construction companies become as the industry moves forward?

Want to tweet about this article? Use hashtags #construction #IoT #sustainability #AI #5G #cloud #edge #futureofwork #infrastructure #SMB #workforce

5G AI Cloud Construction Edge Future of Work Hiring Infrastructure IoT Peggy’s Blog Sustainability Workforce
Share. Facebook Twitter Pinterest LinkedIn Tumblr WhatsApp Email

Related Posts

Did the Predictions Come True?

February 1, 2023

Leveraging Tech in National Defense and National Security

February 1, 2023

Steeling a Better Future

February 1, 2023

Fostering Innovation in Construction through Investment

January 31, 2023

Energy in the Built Environment

January 31, 2023

Metaverse and the New Manufacturing Workforce

January 30, 2023
Add A Comment

Comments are closed.

Get Your Copy Today
ABOUT US

Connected World works to expand quality of life and influence a sustainable future through digital transformation, innovation, and create opportunities all around.

We’re accepting new partnerships and radio guests right now.

Email Us: info@connectedworld.com

4611 Hard Scrabble Road
Suite 109-276
Columbia, SC  29229

 

Our Picks
  • Did the Predictions Come True?
  • Leveraging Tech in National Defense and National Security
  • Fact of the Day – 2/1/2023
Specialty Publishing Media

Questions? Please contact us at info@connectedworld.com

Press Room

Privacy Policy

Media Kit

Facebook Twitter Instagram YouTube LinkedIn
© 2023 Connected World.

Type above and press Enter to search. Press Esc to cancel.

Go to mobile version