Market Report Reveals $97B in Additional Material, Labor Costs for Subcontractors in 2022

  • Posted on

Billd has released its third-annual construction industry market report, the 2023 National Subcontractor Market Report: $97 Billion in Extra Weight on the Shoulders of America’s Subcontractors. Billd surveyed nearly 900 commercial construction professionals across the country, largely consisting of business owners and executives. The report indicates that subcontractors continued to bear the brunt of rising input costs for materials and labor in 2022 to the tune of $97 billion in unplanned expenses. Rising material costs and price volatility are not new issues for subcontractors, with 81% of those surveyed reporting a negative effect on their businesses in 2022; 80% expect that trend to continue. It is … Read more

Filed under: Economic NewsTagged with: ,

ABC’s March Construction Backlog Indicator Down to Lowest Level

  • Posted on

Associated Builders and Contractors reported that its Construction Backlog Indicator declined to 8.7 months in March, according to an ABC member survey conducted March 20-April 3. The reading is .4 months higher than in March 2022. View ABC’s Construction Backlog Indicator and Construction Confidence Index tables for March. View the historic Construction Backlog Indicator and Construction Confidence Index data series. Backlog slipped in March and is at its lowest level since August 2022. Backlog is down on a monthly basis in every region except for the South, which continues to be associated with elevated levels of current and future construction … Read more

Filed under: Economic NewsTagged with: ,

Architecture Billings Index Slowdown Continues

  • Posted on

More architecture firms reported a decline in billings in February, indicating an extension of a recent downturn in design activity according to a new report released from The American Institute of Architects. The score for February fell slightly to 48 (any score below 50 indicates a decline in firm billings). However, inquiries into new projects continued to improve, as did the value of new design contracts. Both indicators suggest that design work is expected to improve in the coming months. Key ABI highlights for February include: Regional averages: West (50.4); Midwest (48.8); Northeast (48.4); South (47.3) Sector index breakdown: mixed … Read more

Filed under: Economic NewsTagged with: ,

Dodge Construction Reports Total Construction Starts Slip

  • Posted on

Total construction starts fell 27% in January to a seasonally adjusted annual rate of $865.6 billion, according to Dodge Construction Network. During the month, nonresidential building starts fell 38%, residential starts lost 20% and nonbuilding starts declined by 16%. Comparatively, total construction was 14% lower in January 2023 than in January 2022. Nonresidential building starts were down 2%, nonbuilding starts rose 10% and residential starts lost 34%. For the 12 months ending January 2023, total construction starts were 13% higher than the 12 months ending January 2022. Nonresidential starts were 36% higher, residential starts lost 6% and nonbuilding starts were … Read more

Filed under: Economic News, eNewsTagged with: ,

Construction Labor Shortages Persist, Reports Annual Marcum Job Analysis

  • Posted on

The construction industry continues to face a skilled labor shortage, with worker scarcity worsening since the beginning of the pandemic, according to Marcum LLP’s annual analysis of the Bureau of Labor Statistics’ Job Openings and Labor Turnover Survey. The construction industry has slowly begun to recover jobs lost in the early months of 2020. But the rate of recovery has put the industry significantly behind the pre-pandemic pace of employment growth. The residential sector, buoyed by a boom in new home construction, has gained employees at a faster pace than the nonresidential sector over the past two years. Nonresidential construction … Read more

Filed under: Economic NewsTagged with: , ,