Labor crisis and its impact on the construction industry

Date: 14-02-2018
Author: Dan Grigore

At the end of last year, we had the pleasure and honor to attend the "Labor Crisis Forum". Impact on Major Infrastructure Projects" organized by Intact Media Group and moderated by Alessandra Stoicescu.

We have been faced with an acute labor crisis at national level for almost a few years, with almost all sectors affected, but the construction industry is by far the hardest hit. Starting this year, the effects of the labor crisis will become even more difficult to ignore because several infrastructure projects are underway and the fear is that there will be no more to execute them. This was also the clear warning expressed by the business representatives present in the hall.


Authorities have stated that they are considering several measures to stimulate the workforce: training courses, counseling and bonuses. Employers are also encouraged to engage, especially among the disadvantaged and young graduates. Although Minister of Labor announced regret that business access very little of programs over one billion euros from European funds for hiring and training apprentices and trainees, President of the Employers' Federation Civil Engineering Companies explained the reluctance of business in that that there were problems with the money in the past and that bureaucracy is very high.

Labor shortages are caused by several factors: labor migration, shortage of skilled workers, difficult working conditions, seasonal employment, social status, and low wages in construction. One of the proposals from the business environment was the imposition of minimum pay limits. It is, therefore, imminent a rise in wages in construction, which will probably only solve a part of the problem.


However, this shortage of more than 200,000 workers estimated for 2018 means that the need to manage and control resources more efficiently will be more and more, and there can be interference with the IT solutions that offer better visibility, traceability, and profit improvement at work level.

Through the SocrateERP solution, BITSoftware provides an integrated application to construction companies and helps manage all processes in the company effectively: procurement, contract management, costs, consumption, employees, equipment and machinery, maximizing profits by efficiently executing to each project and the possibility of managing several projects with fewer resources by integrating and automating key processes.

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What benefits does SocrateERP for construction bring to the table?

  • A quantitative-value evidence of all activities, on projects, phases and subphases
  • Project cost control
  • Managing, tracking and planning the use of equipment and machinery
  • Real-time project timesheets
  • Deliver on time with the required building materials on the works
  • Real-time reports on profitability, consumption of materials, people, equipment and transport

You can read here more information about the SocrateERP for construction solution, request a personalized presentation or a meeting with one of our consultants.

 

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