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.

This measure provides funding to the U.S. Army Corps of Engineers and its Directorate of Civil Works (for harbor maintenance, lock, dam, levee and environmental restoration), the Naval Facilities Engineering Command and the U.S. Department of Veterans Affairs (for hospitals, medical clinics, cemeteries). As this is great news for those contractors that specialize in government related construction projects including infrastructure, VA hospitals, etc., there may also be room for smaller general contractors and subcontractors who are trying to get their foot in the door with military projects. For additional information on how your company may be able to get a piece of this lucrative pie in 2019, check out constructiondive.com for details and additional resources.

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, and Trillium Techs. With approximately 90 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 2015 winner of National Best and Brightest Companies to Work For. For more information please visit www.trilliumstaffing.com.

• Continued Labor Shortages: Construction companies across the country have felt the sting of skilled labor shortages over the past few years. While researchers and economists have continued to see a slow uptick in the number of construction industry jobs added each year, we still fall short of the 336,000 jobs that were added in 2015 (210,000 were added in 2017 for comparison). With this said, a recent survey by the Associated General Contractors of America (AGC) shows that 75% of firms surveyed are planning to add to their workforce in 2018. While that seems promising, 78% of those companies also have been experiencing difficulties in locating talent and expect the issues to continue.
• Offsite Construction: Just as the trend of modular and prefabrication as a construction method seemed to be diminishing, it has gained steam over the last couple of years and it is expected to continue to do so. For companies that use offsite construction, the benefits are making the transition easier to handle. Having the ability to build and construct buildings in a controlled environment enables companies to work year-round without weather being a factor and creates a safer working environment for their employees. Just one example of this trend is Marriott, the hotel giant, committed to having 13% of all hotels be built using offsite construction methods in 2018.
• Technology: While the construction industry has been slow in adopting technological advances, it appears that the companies who have started to embrace technology are really seeing the benefits. From using robotic equipment on job sites, drones being used to perform land surveys, and even construction based software to help interpret and visualize projects, technology is beginning to make its presence known all over the construction industry landscape.
• Sustainability: The trend of sustainability far out reaches just the construction industry. Everywhere you look these days, companies are looking to become more environmentally responsible and reduce their overall carbon footprint. This concept is no different in the construction industry. From introducing green components to a project’s scope and increasing policies regarding recycling construction waste, the sustainability trend doesn’t show any signs of slowing down.
• Subdued Growth: While forecast models do not show any exponential growth in 2018, models indicate that spending and starts will remain strong throughout the year. ConstructConnect’s construction starts forecast for 2018 is a 4.8% increase to $773.1 billion. Commercial construction (offices, parking garages and transportation terminals) is expected to have a 12.4% increase in starts next year with conservative growth out through 2021. ConstructConnect’s forecast for total construction spending is expected to increase 5.6% to $1,301.3 billion in 2018. Total nonresidential construction is expected to grow 3.9% to $737.2 billion and total residential is forecast to increase 7.8% to $564.1 billion.

For more information regarding commercial construction trends and what to expect as we navigate 2018, please visit www.constructconnect.com.

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, and Trillium Techs. With approximately 90 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 2015 winner of National Best and Brightest Companies to Work For. For more information please visit www.trilliumstaffing.com.

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.

The shortage of talent comes from a number of factors including:

• Fewer apprenticeship programs
• Fewer trade/vocational programs
• A much faster rate of talent leaving the industry than joining it
• The number of tradesmen who left the industry during the recession and sought other professions
• Growing number of construction projects across the nation

The talent shortage has caused contractors to delay job completions, pay costly overtime, hire under-skilled staff and offer per diem options to attract non-local workers to their projects.

Hiring inexperienced workers can result in costly mistakes, injuries and delays to schedules. Trillium Construction Services specializes in recruiting skilled trades and construction management talent for long term and short term hiring needs across the country. With more than 30 years of experience, Trillium is ranked the 24th Largest Industrial Staffing Firm in the nation, hiring more than 40,000 employees each year in all 50 states. Whether your need for talent ranges from Project Management through Journeyman or Apprentice level tradesmen, Trillium can provide you with the talent needed to meet project deadlines and expectations. Contact us today at www.trilliumconstruction.net.

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, and Trillium Techs. With approximately 90 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 2015 winner of National Best and Brightest Companies to Work For. For more information please visit www.trilliumstaffing.com.

Are you interested in a career in the construction industry? Check on these stats presented by the Associated Builders and Contractors, Inc.! You may be shocked at how quickly a career in the industry can meet your needs and goals!

Want to learn more about how you can gain access to Trillium’s national network of top level talent? Contact us today! If you are a stand out in your profession and seeking contingent or long term career opportunities, visit our job seekers section for more information!

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.

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.