Building the Crisis: How Construction Labor Shortages Are Impacting Housing Availability
Download MP3Overview:
- For years, there's been a growing concern about the shortage of skilled tradespeople in the construction industry.
- This issue is now significantly impacting the housing market, as a lack of workers is exacerbating the housing shortage.
- Key Points:
- Workforce is the Major Factor: While supply chain issues and high lumber prices have been addressed, a shortage of construction workers remains a critical barrier to building more homes.
- Current Housing Shortage: The housing shortage is more severe now than before the pandemic, and solutions such as increasing land availability and stabilizing development costs are part of the conversation.
- The Need for Skilled Workers: Construction companies are struggling to find skilled workers, which is slowing down home construction despite availability of materials and land.
- High Demand for Workers: There is a high demand for workers, with some construction jobs offering hourly wages as high as $60-$70 per hour. However, workers often show up briefly and then leave.
- 13,000 Additional Workers Needed Annually: According to the state of Oregon, an additional 13,000 construction workers are needed every year to close the housing gap. This means over 50,000 workers are needed within the next few years.
- Post-Pandemic Housing Demand: The number of households in Oregon has increased since 2019, with more people seeking their own space after the pandemic. This has further intensified the demand for new housing.
- Conclusion: The shortage of skilled construction workers is now one of the most pressing issues affecting the availability and affordability of new homes. Addressing this workforce gap is essential to solving the housing crisis.
