Construction, Real estate Sector: Face a Labor Shortage of 65% Above Next Decade..!


Shift from low paying construction jobs to white collar jobs in banking, telecom & IT industry..!


The construction &  real estate industry is plagued with various issues. Execution hurdles and cost inflation are the prominent ones. While it seems there is no end to these issues, labour shortage is expected to cause further headache going forward.

As per a survey, the construction industry is likely to face a labor shortage of 65 per cent over the next decade. This will be due to a shift in workforce from traditional brick and mortar industry to services sector.

Over time, more & more people are likely to shift from low paying construction jobs to white collar jobs in banking, telecom & IT industry.

This has 2 implications.

One would be from the construction industry perspective and second from the education standpoint.

Acute shortage of workforce will drive the labour cost upwards in construction sector. It will also force the industry towards mechanisation.

Secondly, labour flight towards services sector suggests that the level of education in our country is bound to increase in the next decade.

That is because services industry requires relatively skilled labour as compared to construction sector. 
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