Research shows commercial construction industry under immense pressure
The commercial construction industry is undergoing immense pressure with unprecedented demand and worker shortages amid nationwide residential construction drive according to a study by E1.
The study indicates that nearly one in five (20%) Aussie commercial construction workers feel overwhelmed by their current workload right now as Australia’s commercial and industrial construction industry grows at 12%, far surpassing the country’s overall GDP growth of 1.5%.
“I’m not surprised to see the industry struggling with stress, commercial construction has always been tough. But the increase in stress on the industry comes at a time when risk is also increasing because of significant escalation in material costs and a shortage in the availability of labour,” E1 co-founder and former estimator Michael Ashcroft says.
“What’s needed now is a better way for those working within commercial construction to work with one another. So much time is wasted by head builders putting out tenders to every single subcontractor they can find, while subcontractors spend an eye-watering amount of time quoting for work they never win.”
The survey revealed that stress levels in the Australian commercial construction industry are at an all-time high with 39% of workers finding it significantly more stressful than ever before. The demanding workload has led to negative consequences such as 18% of workers spending less time with family and friends and 10% experiencing a decline in overall health.
Furthermore, 33% of commercial construction firms are struggling to recruit new talent due to a widespread worker shortage, a situation that may worsen as the government directs 90,000 new workers towards the residential sector.
Despite the government’s plan to address the skills gap through increased TAFE places, 20% of commercial construction firms remain sceptical about its effectiveness.