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The Construction Industry in Brazil Faces a Crisis of Skilled Labor Shortages but is Adopting Innovative Measures to Reverse This Situation.
The Brazilian construction industry, a sector that has proven vital for the national economy, faces a crucial dilemma.
Although it is responsible for 2.9 million formal jobs in the country, with a strong presence in hiring statistics, the segment is undergoing a period of transformation.
The shortage of skilled labor, coupled with an aging workforce, requires rapid and incisive adaptations from companies in the sector.
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These construction firms, in search of innovation and competitiveness, are betting on new strategies to attract a younger, skilled audience.
The Difficult Task of Attracting the New Generation
The construction industry in Brazil is currently experiencing high demand.
With unemployment reaching one of the lowest rates in history (6.6% in 2024), the challenges of finding and retaining qualified workers have never been more evident.
With an average age of 41 among professionals in the sector, construction companies are increasingly investing in alternatives to rejuvenate the workforce.
According to the newspaper Estadão in an article published this Sunday (02), this includes not only salary increases but also the incorporation of new technologies on construction sites and training programs, as well as incentives to attract more women to the sector.
According to Ana Maria Castelo, Project Coordinator at FGV/Ibre, “with a heated economy and unemployment at its lowest historical level, the challenge for the construction industry is to attract, train, and retain labor.”
However, an innovative strategy has gained traction in the market: the digitization of processes and the industrialization of construction.
These advancements not only aim to optimize services but also make the construction industry more appealing to the younger generation, digital natives who are increasingly demanding regarding work conditions.
New Forms of Training and Retention
One of the most notable initiatives in this scenario is the concept of the “factory-school.”
The construction company Tenda, for example, created this model in 2023 to train professionals in more technical roles such as finishing, painting, and tile installation.
Lucas Moura, Manager of People and Management at Tenda, states that “one of the main results was the quick replenishment of employees, with minimal impact on the production line, as turnover occurs within the school, not directly at the construction sites.”
By December 2024, 151 young people were trained through this initiative, many of whom moved on to permanent positions within the company.
Additionally, social inclusion programs have been created, such as hiring Venezuelan refugees who have been welcomed in shelters in the state of Roraima.
According to Moura, the program has been so successful that in addition to Venezuelans, “we are attracting people from other countries, such as Angola and Haiti.”
Matuvanga Mputu, 41, a native of Angola, is a clear example of this new reality.
He was trained at the factory-school and became a permanent employee, with plans to grow in the sector, including bringing his family to Brazil.
The Digital Revolution on Construction Sites
While “factory-schools” represent an effective way to train the workforce, digitization is also emerging as a disruptive force in the sector.
According to Estadão, companies such as Vinx are investing heavily in technology to make construction sites more efficient.
Fábio Gato, Quality and Occupational Safety Manager at Vinx, details how digitization has transformed project management: “Service checks executed on construction sites and even the arrival of materials at the sites, for example, are now conducted with tablets and mobile apps.”
This change significantly reduces errors and saves up to 80% of the time previously spent on paperwork.
By adopting technologies, construction companies can optimize schedules and avoid delays, which is crucial in a period of high demand like the present.
Digitization not only improves processes but also attracts young people who are more familiar with these technological resources and demand a more modern work environment.
Gato also observes that interns are already questioning the use of digitization before accepting a position, highlighting the growing importance of technology in the sector.
Higher Salaries to Attract and Retain Talent
To combat the labor shortage, construction companies are also adopting an effective measure: raising salaries.
Data from Sinduscon-SP, the Union of the Construction Industry of the State of São Paulo, shows that the sector grew 4.4% in 2024, and one of the ways to attract more professionals is indeed through higher compensation.
The average salary in the construction sector is R$ 3,661 per month, already exceeding other industry segments.
Moreover, some construction companies are adopting a productivity-based compensation model, which can allow a worker’s salary to reach up to R$ 7,500.
Ana Maria Castelo from FGV/Ibre notes that training is essential to increase productivity.
“It is necessary to train people, use artificial intelligence to gain productivity, and attract more women to the sector, who currently represent only 12% of the workforce in São Paulo and 6% nationally.”
The Future of the Construction Industry in Brazil
The construction industry in Brazil has significant growth potential.
The Minha Casa, Minha Vida program, for example, was expanded by the federal government, creating more than 200,000 formal job openings in the sector in 2024.
However, even with this increase in job openings, there is still a great shortage of workers.
As a result, the need for innovation in the sector has never been more urgent.
The labor shortage also leads to rising costs, directly impacting property prices.
The National Construction Cost Index (INCC) rose 6.34% between January and December 2024.
Thus, it is increasingly clear that companies need to invest not only in salaries but also in technologies and innovative process management methods to ensure their sustainability in the market.
The construction industry in full transformation: digitization, new working methods, and investment in young talent are the keys to the sector’s future. Do you believe that the labor shortage will continue to be a challenge, or will the market adapt to these innovations?
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