At a time when major hospitality companies across the States have robust planned pipelines, the labour market is struggling for qualified construction employees, threatening delays on new builds and renovations.
ASAP Business and Development Partner STR has announced that the number of hotels in construction by November is up almost 4% over the same time last year, but at the same time there are about 380,000 unfilled construction jobs in all markets, especially mechanical, electrical, plumbing, and carpentry trades. The shortage is a likely result of the 2008 recession when hotel companies pulled out of construction projects, forcing workers to find employment elsewhere including the tech sector, and also more stringent immigration rules.
Around 80% of construction firms say they are having a hard time filling hourly craft positions, and brands affected include Hyatt Hotels, while some firms are turning to solutions such as modular builds and shipping in extra workers from further afield. A further 747,000 construction workers will be needed by 2026.