The skill gap in the building and construction industry

Importance of Skills Development During Harsh Economic Phase

At the turn of the century, as baby boomers are exiting the workforce, the building and construction industry is facing an immense hiring crisis. With millennials comprising about 35% of the workforce, most of the construction companies are striving to make the industry more attractive for the job seekers.

The HR reports of a majority of construction companies illustrate the fact that the present-day project contractors are finding it really tough to recruit a person with the requisite skill level and relevant knowledge. Therefore, the pronounced skill gap in the industry is creating a struggle in replacing the aged staff who are advancing towards retirement. 

Why is the skill gap a problem that needs to be addressed immediately?

While the businesses deal with qualified labour shortages, skill-gap is threatening to stunt the growth of the entire building and construction industry. Approximately 75% of the building and construction industry bigshots seated around the metropolitan cities are finding it hard to deal with a lack of qualified professionals armed with the requisite skill set. Specific construction firms have increased the incentivization of their employees by increasing the hourly rates and the associated benefits. 

What kind of staffing challenges does a skill gap cause?

The diabolical situation faced by the building and construction industry is forcing it to make hiring decisions which do not necessarily focus on skills only. Often, the personnel in charge of the recruitment and the hiring managers give more emphasis on candidates possessing hard skills or the technical abilities that can be taught to others. It often leads them to neglect more suitable candidates who have a spectrum of skills that could be useful in their business. It results in a cycle of staff entering and leaving the organization without adding much value.

The freelance workers who are equipped with the necessary skills often choose more lucrative job options rather than entering the building and construction industry. Therefore the turnover of construction staff accelerates and the crisis of skill gap deepens. 

Possible remedies to address the skill gap in construction:

But the skill gap problem in the building and construction industry is more profound and cannot be tackled through rewards. According to a few of the strategists and management professionals of certain building and construction companies, the following can provide feasible solutions to bridge the skill gap. 


More and more firms are implementing in-house training for their staff and the new recruiters to get skilled in automation and digital strategies like BIM or building information modelling, which would streamline the staffing challenges while educating the next generation of the industry professionals. 

Detailed workforce development plan:

A detailed workforce development plan which outlines the steps that the officials can take to strengthen the workforce in the construction industry sector is crucial to bridge the skill gap. These measures include the increment in funds for the relevant career-related technical education that would drive several skilled construction workers to enter the workforce legally. 

Revamping the company culture:

Most of the notable companies that control the majority of the shares in the building and construction industry need to rethink their strategies and their company outlook has to change. The renowned construction companies are mostly traditional and archaic in their approach. They need to create unique job offerings coupled with attractive training and mentorship programs which will definitely attract new talent while boosting the company culture as a whole. 

Changing the recruitment process:

Attracting new talent is extremely important if the building and construction companies want to stay competitive and productive in their fields. Rolling out new hiring practices coupled with talent optimization will witness recruitment of employees with a higher degree of cognitive ability as well as better behavioural motivations. It is a clear indication of the prospective job performance and the company itself will derive a lot of gains from such a skilled employee. 

In the end:

The above measures cannot be achieved overnight. But their benefits lie in changing the entire environment around the building and construction industry and bridge the ever-increasing skill gap. 


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