New jobs may arrive in 2021 for the construction industry says Caterpillar CEO
Entrepreneurs linked to civil construction such as the CEO of Caterpillar project that 2021 will be a year of great heating in the sector, continuing the movement that surprised the economy in the middle of the pandemic and generating new job openings.
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“The pandemic had a certain positive bias for civil construction because people ended up reflecting on the way they are living and that it is possible to upgrade,” said Diego Villar, president of construction company Moura Dubeux, to Exame magazine. He goes further by visualizing that “the year 2021 will be one of the best for the real estate market and new job openings”.
Construction companies are optimistic for 2021
Who is also very optimistic about 2021 is the management of Caterpillar, a giant in the construction machinery sector. The company projects a strong resumption of civil construction, driven mainly by works by the private sector and many new job openings.
“We don't design large government works, but in the private sector we should have several projects being executed around the country and many new job openings”, says Odair Renosto, president of Caterpillar do Brasil, also in an interview with Exame.
The first half of 2021 will be essential to stop generating job openings, says Caterpillar CEO
According to the December Construction Industry Survey, businessmen in the sector have positive expectations for the next six months, which should see not only job openings, but investment opportunities for entrepreneurs. The results of the work indicate an increase in the purchase of inputs and the generation of new jobs.
The prospect is that the Brazilian economy ends 2020 with a 4,41% drop in GDP. The expected retraction for construction in the year is 2,8%, because, despite the strong recovery in the second half, it was not possible to eliminate the losses of the beginning of the pandemic. For 2021, expectations for the country are positive: an expansion of 3,5% is expected for the Brazilian economy.
According to projections made by the Brazilian Chamber of Construction Industry (CBIC), construction should grow by 4% in its GDP, which would be the biggest expansion of the sector since 2013 (4,5%).
Shortages
The risk to this performance is shortages. “With this GDP, around 150 new jobs would be created. We are optimistic, but conservative”, said the president of the entity, José Carlos Martins.
In the view of construction entrepreneurs, according to a survey carried out by the National Confederation of Industry (CNI) with the support of CBIC, the main problem they faced in the 3rd quarter of the year was the lack or high cost of raw materials.
According to INCC-Materials and Equipment, calculated by the Getúlio Vargas Foundation (FGV), the price increase in the period from January to November was 17,72%, the highest in the post-real period. Some inputs recorded increases of more than 50% in the same period.
