What To Expect From The Construction Industry in 2019!

We may already be a quarter of the way through the new year but it is never to late to try and plan for what lies ahead. This is no different for the construction industry in 2019. However, a report released in late 2018 may, in fact, show a very minimal change in construction activity, only increasing in revenue by about $2 million from the previous year. So what does this mean?

In short, this could simply mean that while record growth within the construction industry is starting to plateau, spending and activity related to projects are most likely going to stay constant through 2019 with very minimal increases in overall spending. However, there are still some key factors that indicate a change is on the horizon. Based on past events with a similarly strong economy, this level of growth and spending is simply not sustainable over a long period of time.

Chief Economist and VP of Dodge Data & Analytics, Robert Murray, believes that a even if the construction industry sees a decrease in activity that doesn’t necessarily mean that the overall state will suffer a decline. It is his belief that overall value and spending on construction starts will achieve a “deceleration…the enhanced level of activity that has been achieved over the past several years.” In essence, the construction industry may fall back to where spending and activity was at its most profitable and sustainable over the past few years; a decline but not drastic.

However, according to Cristian deRitis, the Senior Director of Moody’s Analytics, the biggest red flag indicating an economic decline is the steady but low unemployment rate. Cristian argues that, historically, “any time unemployment hovers around 4.5%, recession comes about three years later.” And, in fact, ever since March of 2018, the unemployment rate has been steadily dropping. With this information in mind, according to Moody’s Analytics and the Bureau of Labor Statistics, this could mean that the economy is due for a recession next summer.

In addition, it is no surprise that the desperate demand for a skilled workforce is effecting the overall health of the construction industry. In a recent survey performed by the Associated General Contractors of America and Autodesk, 81% of those surveyed said they are having a hard time filling craft positions and 56% said the same thing about salaried positions. Where a small number of contractors are attempting to sustain through the labor shortage, the overall problem is that economists agree that is a problem that isn’t going away overnight. Only time will tell how much the construction industry will be able to retain this level of productivity through a long-term labor shortage and consistent low unemployment rates. However, all signs seem to point to 2019 remaining steady and profitable.

The Trillium brand of companies is privately owned by René Poch and provides more than 30 years of industry leading recruitment and staffing services through its divisions including: Trillium Staffing, Trillium Construction Services, Trillium Driver Solutions, Trillium Marine, Trillium Technical, Trillium Environmental, Trillium Hospitality and Trillium Techs. With approximately 100 offices nationwide and nearly 400 internal recruitment professionals, the Trillium brand is proud to be recognized by Staffing Industry Analysts as a Top 25 Largest Industrial Staffing Firm in the U.S., a Top 100 Largest Staffing Firm in the U.S., a Top 100 Fastest Growing Staffing Firm in the U.S., and a winner of National Best and Brightest Companies to Work For. For more information please visit www.trilliumstaffing.com.

 

 

Military Construction Projects on the Rise for 2019!

It’s hard to believe that we are already looking into 2019 in terms of industry trends and what to expect on the job market landscape. Believe it or not, US Lawmakers have already signed legislation to increase spending on Military construction projects by 2.4% in the coming year. That equates to earmarking $10.3 million just for military related construction projects in 2019.

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Commercial Construction Trends to Watch in 2018!

After construction spending hit a record all-time high in November of 2017, what can the construction industry expect out of 2018? Here are the top 5 trends to watch out for in commercial construction in the coming months.

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Demand for Experienced Skilled Trades Talent Grows

The Bureau of Labor Statistics predicts the construction industry will face a shortage of 1.6 million workers by 2022. So how did an industry that let go more than 2 million workers during the recession, well more than any other industry, end up in the talent struggle?

Image of construction worker on construction site, working on site where skyscraper is being built. Manual worker has protective helmet and protective uniform. Image taken with Nikon D800 and professional Nikon lens, developed from RAW in highest resolution. Location: Novi Sad, Serbia, Europe

Currently, there is only one tradesman entering the workforce for every 5 that retire. With 73% of construction firms planning to expand their headcount throughout 2017, this leaves the industry in a continued shortage for qualified talent. The Associated General Contractors of America reported that construction firms added employees over the past year at nearly double the rate of the overall economy. In June alone, the industry added 16,000 jobs across the country.

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1.6 Million New Workers Needed In This Industry By 2022!

With the job market booming in most sectors, you may be surprised to learn that the construction industry is tied in growth with the medical industry! Experiencing an annual employment growth rate of 2.6%, the demand for skilled and experienced talent both in skilled trades and management is undeniable. Experts with ABC predict that 1.6 million new skilled workers will be needed in the construction industry by 2022!

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The Best Construction Jobs In 2013

With the construction industry quickly gaining speed, many contractors are quickly growing their staff to accommodate the growing number of projects on their workload. Unemployment in the construction industry has almost dropped in half in the past 3 years and continues to show improvement. As projected by AOL, here are the Best Construction Jobs for 2013:

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1. Cost Estimator– With an average salary of $62,670, cost estimators are responsible for a wide range of duties including project budgeting, cost proposals, and coordinating of services with prospective sub contractors.

2. Construction Manager– With an average salary of $93,900, construction managers are responsible for the planning, budgeting, coordination, and completion of construction projects.

3. Plumber– With an average salary of $51, 830, a plumber’s duties range from analyzing blueprints, to installing, maintaining, and repairing pipes and septic tanks while remaining in compliance with building codes.

4. Glazier– With an average salary of $41,620, glaziers prep, install, fasten, seal, and remove glass for windows; often working at extreme heights.

5. Cement Mason / Concrete Finisher– With an average salary of $39,370, these roles include installing rebar and reinforcement materials, pouring cement mixtures, spreading and leveling of cement mixtures, and applying sealants.

Are you a stand out professional, technical professional, driver, or skilled worker seeking contingent, temporary, or long term career opportunities?  Visit our job board  for more information!  Want to learn more about how you can gain access to Trillium’s national network of professionals and skilled workers? Contact us today!

Trillium, a national leader in staffing and recruitment is a valued staffing partner to over 5,000 companies nationwide. Trillium is privately owned by Oskar René Poch.