Construction industry breaks records, but faces labor shortages that delay deliveries and increase costs

The construction industry is breaking records, but it faces a major obstacle: a shortage of qualified workers! Rare professionals, high costs and delays in construction are just the tip of the iceberg.

Civil construction in Brazil is expanding rapidly, but faces a major challenge: a shortage of qualified labor.

This scenario, which is a reflection of the lack of specialized professionals, is generating a chain reaction: an increase in project costs and significant delays in the delivery of works.

According to a survey by Getulio Vargas Foundation, 82% of companies in the sector are facing difficulties in hiring new workers, a problem that is directly affecting the progress of construction in the country.

The demand for labor in the construction sector has intensified in recent years, mainly due to economic growth and the increase in construction work throughout the country.

Sylvio Pinheiro, director of G+P Soluções, reveals that the lack of qualified professionals has been the main bottleneck for companies, which often face a shortage of up to 30% of workers on construction sites.

Among the most affected specialties, professionals with more experience are the hardest to find.

Sylvio highlights the lack of electricians, bricklayers, construction foremen, plumbers and installers, essential functions for the execution of medium and large-scale projects.

The situation is even more worrying when we consider the increasing difficulty in hiring qualified professionals, such as experienced carpenters, who used to be a constant presence on construction sites.

Rising costs and delays in construction work

The rise in costs also reflects the shortage of labor. The survey showed that, in the last 12 months, the cost of labor in the construction industry increased by 9,75%, the highest inflation rate recorded among the construction components., which include materials and equipment.

This has impacted not only large projects, but also smaller projects, such as residential renovations.

The increase in labor prices has caused a series of delays in construction projects.

Around 21% of companies in the sector report that they are unable to meet delivery deadlines due to a lack of workers, which reflects how critical the scenario is in the construction job market.

We also pack any 18% of companies are reviewing the prices of their services to try to offset additional labor costs, which consequently further increases the value of the works for customers.

Effect of the lack of professionals in the renovation market

The labor shortage affects not only large construction companies, but also individuals looking to make small renovations to their homes..

Ana Maria Castelo, Construction Projects Coordinator at FGV/Ibre, explains that the lack of qualified professionals in the construction sector has generated a cascade effect, affecting everything from small projects to large projects.

She points out that the widespread demand by workers in various sectors of the economy, such as commerce and supermarkets, has worsened the situation.

The case of Rebeca and Fernando, who are trying to renovate their home due to an air conditioning leak, is a clear example of this reality.

The work, which has already lasted two months, depends on the busy schedule of the bricklayer, a professional who is overworked due to the high demand..

“Good professionals are in high demand, and you end up having to wait for them to ensure a good job,” comments architect Fernando Santos.

Historical challenges and future perspectives

The shortage of skilled labor is not a new problem.

It has been observed since the beginning of Brazil's economic recovery, when many professionals in the sector chose to migrate to other more profitable areas.

Furthermore, the lack of investment in professional qualifications has made it difficult to replace specialized labor on construction sites.

The shortage of qualified professionals is aggravated by the lack of continuous training and the delay in training new workers in the sector, which implies a vicious cycle that has no end date.

With the shortage of qualified workers, companies end up hiring less experienced people, which, in addition to increasing costs, compromises the quality of the work and delivery times..

This cycle affects not only the construction of large buildings, but also the simplest renovations carried out by families looking to improve their homes.

Impacts on material costs and the market

Another important point is the increase in prices of construction materials., which have reflected the general inflation of the Brazilian economy.

Although the increase in the price of labor was the highest in the last 12 months, the cost of materials and equipment also rose, which has contributed to the general increase in the value of works and renovations.

According to data from the construction index, inflation in materials was 6,2%, a rate below the increase in labor costs., but which, added to the salary increase for professionals, has still generated a considerable impact.

Projections for the future of civil construction in Brazil

The lack of qualified labor in the construction reflects not only the reality of the sector, but also the challenges faced by the Brazilian economy as a whole.

With a growing demand for qualified professionals and a limited supply, the situation is likely to worsen in the coming years, which could lead to a slowdown in the pace of construction and even an even greater increase in prices..

The construction industry is breaking records in terms of construction and growth, but it faces a harsh reality: the country does not have enough professionals to meet the growing demand. What will be needed to reverse this situation and resume the pace of construction?