Southwest Florida is not immune to the nationwide shortage of construction workers but the labor shortage doesn’t deter us.
We continuing providing our clients with the highest quality work and the projects keep rolling on.
The nationwide shortage of labor in the construction industry was documented by Houzz in its Renovation Barometer for the third quarter of 2016.
“Half of building professionals reported that labor shortages are driving up the price of hiring subcontractors, while about one-third of firms reported an increase in the compensation of their own employees,” explained Houzz writer Erin Carlyle. “Despite these challenges, renovation professionals were feeling confident about their industry in Q3 — July, August and September 2016 — compared to the prior three months.”
Houzz collects data to measure “optimism among architects, designers, general contractors and remodelers, design-build firms, building and renovation specialty firms, and landscape and outdoor specialty firms.”
Renovations by Henning President Heather Henning Milner agreed the labor shortage is affecting the construction industry in Southwest Florida, too, but pointed out how the industry here is strong and resilient and despite costs increases is moving forward.
“The sustained growth in consumer demand for residential remodeling services, as indicated by the Houzz Renovation Barometer, is naturally driving prices for remodeling services up. Yet, with systematic labor shortages and no major shift in labor conditions expected in the near term, consumers will continue to experience significant increases in project costs and difficulty finding qualified remodelers,” said Nino Sitchinava, principal economist at Houzz. “At the same time, remodelers will continue to be squeezed to do more with less, be more selective about the nature of projects they take on and be more cautious about committing to project cost and timeline estimates.”
Despite the labor shortage, Houzz reports Q3 2016 was still a quarter filled with growth in the industry overall.
“The majority of firms continue to report quarter-over quarter increases in both the number of inquiries and the number and size of new projects in the third quarter of 2016,” Houzz reported. “Scores for new inquiries and number of new projects were unchanged or declined by only one to five percent across all industry sectors, other than landscape/outdoor specialties, showing confidence in market gains at the onset of seasonal slowdown.”
Henning Milner agreed this is true in Southwest Florida, too.
Read Carlyle’s full post: