In: ConstructionNews

The  annual BC Construction Association (BCCA) Industry Survey highlight the key issues facing employers and workers during a period of heightened construction activity.
According to the survey, the  industry is experiencing a 79 per cent increase in the value of current projects from five years ago, and a 17 per cent increase from pre-pandemic levels, even as labour shortages continue, and cost of goods are at all-time highs.

Despite an increase in project spending to $134BN and a sustained increase in the number of construction companies in BC (now at 26,262), the number of employees in the industry has dropped across all trend milestones: a 2 per cent decrease year-over-year, a 9 per cent decrease compared to pre-pandemic (2019) levels, and a 5 per cent decrease against the five-year marker.

The average company size has decreased 7 per cent over the last five years to an average of 6.53 workers.  Approximately 90 per cent of companies in the industry employ less than 20 workers.The survey further reveals that annual construction wages have seen a significant rise of 14 per cent since 2015 to $66,591, reflecting an 8 per cent increase since pre-pandemic levels alone.  Nearly 100 per cent of workers are working full time, 84 per cent year-round, and half are earning a higher wage than last year. Nearly 37 per cent of the survey respondents report taking a new job for more pay this year, and 41 per cent have worked for 2 or more employers.  

Workers are also getting more skilled, with 76 per cent of survey respondents reporting they are fully credentialed and 12 per cent working on their ticket. More women are receiving subsidized training and mentorship than men, and the number of companies with diversity policies in place has risen to 84 per cent from 62 per cent just a few years ago. 

The construction industry’s contribution to BC’s GDP is up 22 per cent, growing from $18.8BN in 2017 to $23BN today, and it remains the #1 employer in BC’s goods sector, with 215,133 British Columbians relying directly on construction for a paycheque. That’s down 2 per cent since 2017, but still larger than any other goods-producing sector. 

“Construction is an essential and highly dynamic industry that is affected by events next door and around the world” says Chris Atchison, BCCA President. “Whether its pandemic, floods, fires, war, supply chain, or government policy, our industry adapts to reflect those challenges.  With the unprecedented commitment of tax dollars to infrastructure spending and a boom in large private projects, employers are looking for leadership from government on two major issues that will improve industry conditions for all contractors and workers regardless of labour affiliation: prompt payment legislation and mandatory public sector procurement best practices.” 

At least 17 per cent of the projected skills gap has been filled by tradeswomen, who are now 5.7 per cent of the skilled workforce and 5.5x more likely to recommend the trades as a career path. While COVID-19 is no longer a top issue of concern after appearing at #3 in the list last year, lack of prompt payment, workforce shortages, and eroding public sector procurement standards keep stress levels high. 

Contractors are less likely to bid on public sector projects even as the province announces record-level spending, with 20 per cent of respondents reporting they are less likely to bid on taxpayer funded projects, says the survey.

More information regarding the value of the construction industry to BC’s economy can be found in the Spring 2022 Stat Pack.

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