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Construction Worker Shortage & Vaccine Balancing Act

Construction Worker Shortage & Vaccine Balancing Act

FromReal Estate News: Real Estate Investing Podcast


Construction Worker Shortage & Vaccine Balancing Act

FromReal Estate News: Real Estate Investing Podcast

ratings:
Length:
5 minutes
Released:
Sep 15, 2021
Format:
Podcast episode

Description

Contractors have been struggling with a worker shortage that began with the Great Recession, and then was made worse by the pandemic. If one worker on the job site gets sick with the virus, the entire project can be stalled for at least 2 weeks. And now, things are becoming even more complicated as more clients are wanting all workers on their property to be vaccinated. But many available workers are pushing back. Hi, I'm Kathy Fettke and this is Real Estate News for Investors. If you like our podcast, please subscribe and leave us a review.Getting the job done has been tough for contractors dealing with supply chain shortages, rising prices for the materials, and permitting issues. Add to it that the number of new coronavirus cases hit a 7-day daily average of 166,000 on September 1st. According to data in the New York Times, the case count has come down a bit since then but is still above 152,000. Some healthcare professionals are predicting another surge this month because of the Labor Day holiday and social gatherings, while others are saying that the Delta variant moves fast and furious and will be gone as quickly as it came.Chicago-based developer, Josh Stark, told Construction Dive that worries about the high case count right now could further impact construction and the slow supply chain recovery that’s been haunting the industry. He says that we’re seeing suppliers come back online, but if those cases turn into more hospitalizations or deaths, then those businesses might have to shut down again.Vaccine Hesitancy Among Construction WorkersWhile many different companies nationwide are mandating certain precautions for workers, including vaccinations for those who want to go back to work in the office, Construction Dive reports that more than 40% of construction workers say they will not get vaccinated.A construction safety nonprofit out of Maryland called The Center for Construction Research and Training says that vaccine hesitancy among construction workers runs much higher than other occupations. A graph in the article shows most occupations are dealing with a vaccine hesitancy percentage of 15% which is about 25% less than the construction’s 40%.This is a problem for contractors who have clients demanding that anyone who steps foot on their property be vaccinated. Kyle Peacock of the San Francisco-based Peacock Construction says he started getting vaccine mandates from his customers in just the last few weeks. He says: “All of our healthcare clients are doing it, but we’ve also had a couple office tenants that said they’re only going to let vaccinated people into their offices.”Job Site Mandates for Vaccinated WorkersThere are some vaccinated workers who only want to work with other vaccinated employees, which is creating concerns about a labor shortage that could worsen in the coming months. Ken Simonson of the Associated General Contractors told Construction Dive that employment levels are already below their pre-pandemic peak in 36 states.An opinion piece in Construction Dive by a New York-based contractor says the industry is already dealing with high prices for materials, appliances that are difficult to find, and a shortage of workers. And now, the construction industry has to add a Covid-problem-solving issue to his list. He says: “Construction workers are, at their core, a hardy, headstrong, self-sufficient group.” And he added that “They leave their homes daily and travel substantial distances, carpooling and ride-sharing. They stop at delis, lumber stores and home goods stores." That makes them more exposed to the potential of catching the virus and spreading it than those working from home.Risk of Further Impact to Worker ShortageThere are many, many strong opinions as to why people should or should not get the vaccine, and why the do or don't want it. We won't go into those reasons here. What's important for real estate investors to understand is how this situation may affect our industry. If 40% of cons
Released:
Sep 15, 2021
Format:
Podcast episode

Titles in the series (100)

Don’t get caught off guard by market crashes that can take all your money down with them. And don’t miss out on markets where you can build wealth practically overnight. Real Estate News for Investors with Kathy Fettke is the premiere source for savvy real estate investors who want the edge. Stay up-to-date on new laws, regulations, and economic events that affect real estate. Topics include: market trends, economic analysis that affects housing prices, updates on the best rental markets for investing in single-family rentals or multi-unit rentals, turn-key housing standards, the fate of the highly revered 1031 exchange and other tax law affecting investors, self-directed IRA investing and 401k changes, where rents and property values are rising or falling, flipping risks, new Dodd-Frank rules regarding private lending and financing standards, areas with job losses vs job growth, areas that are overbuilt or over-supplied versus areas with low supply and high demand, and how to avoid real estate scams. We'll bring you the latest reports from organizations like the National Association of Realtors, Realty Trac, Fannie Mae, Freddie Mac, Zillow, Trulia, Redfin, Rent Range, Property Radar, the Norris Group, Peter Schiff, Robert Kiyosaki’s Rich Dad, Suse Orman, Bigger Pockets, Dave Ramsey and more. And we'll help you interpret the data in terms that make sense for your real estate goals, and portfolio. Grow and protect your wealth by staying on the forefront of economic data analysis, expert opinions, innovative investing strategies and profitable investment opportunities. We'll share all the top real estate news stories and the best trade secrets investors should know, so you can stay ahead of the curve and make fully informed real estate decisions. Host Kathy Fettke is Co-CEO of the Real Wealth Network, author of Retire Rich with Rentals and host of the Real Wealth Show on iTunes. She brings decades of media and real estate investing experience, offers her own viewpoints on particular topics, and taps into her network of real estate experts for real world news updates created just for investors like you. Get the real news on real estate on The Real Estate News For Investors Show!