Persistent Construction Labor Shortage Due to Skills Gap?
Originally published by: Builder Online — May 11, 2015
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Fortune columnist Chris Matthews drills into employment reports and job openings data, noting that the construction industry accounted for one of every five of the jobs created in April. Still, labor shortages persist.
Matthews considers the latest employment report and matches job growth in the construction fields with the data in the most recent Labor Department JOLTS survey, which suggests that the number of positions opening up exceeds the pace of hiring. Matthews writes:
Mark Vintner, senior economist at Wells Fargo Securities, has argued that this difference shows that there is a shortage of skilled construction workers in America today. Vintner’s analysis is backed up by recent survey data from the American Association of General Contractors, which showed that 80% of construction firms expect to expand their payrolls this year, while 87% of firms “report having a hard time filling key professional and craft worker positions.”