CONSTRUCTION INDUSTRY FEELING EARLY IMPACT FROM COVID-19, SAYS SURVEY

Confirming earlier industry predictions, some 39 percent of contractors in a brand new survey say project owners have either delayed, or outright halted, new construction projects in the wake of the COVID-19 outbreak.

The survey conducted by the Associated General Contractors of America during the third week of March additionally showed that some 45 percent of contractors were experiencing some kind of project disruption related to a shortage of parts, equipment, and materials.

The delays were also being caused by a lack of personal protective equipment needed for workers.

Adding to the challenge, exactly 18 percent of respondents said they are burdened by a lack of craft workers, while 16 percent pointed to a dearth of government inspection and permitting officials needed to get a project underway.

A lower 13 percent said their projects had been delayed due to a “potentially infected person” visiting a job site.

The sudden drop in projects, said Ken Simonson, “is taking a swift and severe toll on construction.”

Chief economist for the AGC, Simonson in a statement continued: “This sudden drop in demand stands in sharp contrast to the strong employment levels this industry was experiencing just a few weeks ago.”
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Some 1,640 contractors nationally participated in the survey.

​By Garry Boulard

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