Construction industry survey hammers home skills shortages

As demand for construction surges, the industry is constrained by capacity, compliance and sluggish contract turnaround times, according to results from the first New Zealand Construction Industry Survey.

A staggering 84 percent of those in construction industry management roles (general, project and fleet managers) identify labour and skills shortages as a major issue facing the industry, with 69 percent of all respondents agreeing. Almost two thirds of respondents (64 percent) anticipate that they will be needing more staff in the upcoming year. So severe is the shortage that 84 percent of respondents say they would hire immediately, if labour with the right skills were available. That’s a big ‘if ’ – finding skilled, motivated workers who can pass workplace drug testing is proving to be a real challenge, says Civil Contractors New Zealand (CCNZ).

Presented at the CCNZ annual conference in Dunedin last month, the Survey is a joint research project between Teletrac Navman, CCNZ and Contractor magazine. The Survey gauges the attitudes of people in the construction industry on a wide range of issues regarding productivity, training, staffing, safety, measurement and the use of technology.

“We want a strong, successful and productive industry, but need change. Focus should be on reducing approval and turnaround times for projects, and improving collaboration between the public and private sectors. We can’t do it alone. We need local councils and central government to work with us to complete projects efficiently and to a high standard,” says Peter Silcock, Chief Executive at CCNZ.

A significant three quarters ( 74 percent) of owners and directors identify compliance costs as the most important area requiring change in the construction industry, as do 57 percent of all Survey respondents. The need for better, not more, regulations is the prevalent view held by 80 percent of the respondents. Other key areas requiring change are, the approval and turnaround time on construction projects (34 percent), and collaborative private- public partnerships to enable future planning and sensible operating environments (33 percent).

Despite the challenges, the Survey indicates positive attitudes towards industry growth, a dedication to workplace health and safety, and smart thinking around improving productivity.

“Overall, there’s a strong feeling of optimism, and plenty of forward thinking from the Survey respondents. Building a strong reputation, being customer focused, developing skillsets, and investing in technology are key opportunities identified for businesses,” says Jim French, Construction Industry Specialist at Teletrac Navman. “I hope it encourages industry leaders, the wider construction community and government to tackle the issues together.”

*Construction Industry Survey Methodology The 2017 Construction Industry Survey is an online survey that sampled 159 adults within the New Zealand construction industry. The Survey was commissioned by CCNZ and Teletrac Navman, and produced by research firm Colmar Brunton. Margin of error for the total sample is + or - 7.8 percent at a 95 percent confidence level. Data was collected from 24th May to 15th June 2017 by Colmar Brunton.

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