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You’ve seen the headlines across Australia, New Zealand, and the UK — and they're increasingly dire:
This isn’t media sensationalism — it’s reality. Main contractors are feeling the pain. Projects are stalled, costs are rising rapidly, and stress on workers is becoming unsustainable.
But what if technology could provide a solution?
Here’s how smarter adoption of tech can empower existing teams, ease labour constraints, and increase productivity, effectively bridging the labour shortage.
The skills gap in construction comes down to several key issues:
The construction sector faces a significant age-related crisis. RICS reports that roughly 30% of construction workers are aged 50 or over. When these experienced workers retire, the industry loses decades of invaluable practical knowledge.
Young people increasingly view construction as outdated, physically demanding, and lacking clear career paths. This outdated perception discourages new talent, worsening the existing skills gap.
The UK’s exit from the EU caused a notable reduction in overseas workers previously vital to the construction industry. Similarly, Australia is dealing with immigration challenges despite needing an estimated 500,000 additional workers by 2029 to meet current project demands.
Apprenticeships aren't attracting enough young talent, and dropout rates are high. Low pay, poor job security, inadequate mentorship, and outdated training methods fail to attract and retain apprentices.
Additionally, increasing demand for green construction practices has created a new "green skills gap" requiring extensive reskilling, even among experienced workers.
When skilled labour is scarce, the construction industry suffers on multiple fronts:
The UK aims to build 1.5 million homes by 2028, but labour shortages severely threaten this target. Australia’s ambition to construct 1.2 million homes within five years faces similar risks, projecting a shortfall of nearly 198,000 homes by 2027.
Public infrastructure projects such as the UK's HS2 and major Australian infrastructure developments similarly struggle, leading to funding complexities and significant delays.
Fewer skilled workers means housing becomes scarce, pushing home prices and rents higher. Affordability crises escalate, causing social strain and negatively impacting communities.
Under pressure, teams often rely on less-experienced workers, leading to rushed jobs, overlooked quality checks, and defects. This compromises safety, increases repair costs, and damages contractors' reputations.
Simply pushing workers harder isn't sustainable. The solution lies in smarter technology adoption, empowering smaller teams to deliver more efficiently.
Robotics and AI already enhance efficiency in construction, automating repetitive tasks such as rebar tying and modular off-site builds, drastically reducing on-site labour demands.
Advanced digital solutions allow Quantity Surveyors (QSs) and Contract Administrators (CAs) to manage tasks previously handled by larger teams. Streamlined digital workflows free workers to focus on value-added activities like risk management and strategic cost optimisation.
Procurement traditionally involves significant manual admin. ProcurePro automates tedious tasks, including contract creation, tender distribution, and procurement tracking. This significantly reduces administrative burdens, allowing skilled professionals to concentrate on strategic tasks, optimising costs, and improving project margins.
ProcurePro’s eSign feature further simplifies the procurement process, integrating signatures directly into the platform to expedite approvals and minimise delays. This not only saves time but ensures accuracy and accountability through automated audit trails.
Technology alone isn't the silver bullet — it’s a tool that maximises the potential of skilled workers. A successful future demands collaboration between contractors, training providers, technology innovators, and government bodies.
Tech-enabled teams, equipped with intuitive and powerful solutions like ProcurePro, can transform construction procurement, enhancing overall efficiency and reducing labour pressures.
It's about transitioning from outdated, manual methods (The Old Way) to efficient, tech-driven solutions (The New Way), allowing construction teams to deliver projects faster, more reliably, and with less stress.
Ready to revolutionise your construction procurement process?
Speak to a procurement expert today and take the first step towards solving your labour shortage challenges.
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