The webinar begins with a brief review of how total construction spending and its major components-private residential, private nonresidential and public construction-fared during the industry’s long slump from 2006 to 2011, and how far each component has recovered to date.
The three key drivers and three major drags on current and near-term construction activity are explained, along with implications by region as well as sector. State-by-state construction employment change is discussed, as a lead-in to the difficulty contractors are reporting in filling numerous categories of craft and professional positions. This leads to a review of the likelihood of wage escalation and the ramifications for profitability, delays and possible cancellations of projects. The prospects for price movement of major material inputs is examined, followed by a recap of the hottest segments, recent trends and likely movements in 2015 for major categories of construction, materials prices, and labor costs and availability.
Why should you Attend:
Many investors and businesses are counting on a strong construction industry in 2015. There have been plenty of indicators that contractors’ order books will be thick. But there is also plenty of reason for concern. Too many mega-projects may reach the starting line contractors and supplier to handle, pushing up costs and delaying deliveries. A slew of potential environmental, safety, tax and other regulatory challenges could stop projects or sap profits. Perhaps hardest of all to overcome is a looming shortage of skilled manpower as the construction unemployment rate nears a record low and millions of workers near retirement. Can contractors, suppliers and owners avoid or overcome these problems?
Areas Covered in the Session:
- Construction spending and employment levels and year-over-year changes since 2006
- Major drivers and drags for construction activity now
- Forces affecting outlook for multifamily vs. single-family demand
- Trends and predictions for nonresidential segments
- Employment changes by state over past year and five years
- Growing reports of labor shortages by occupation
- Outlook for materials and labor cost escalation; comparison to prices charged
- Recap of best market segments, trends and risks
Speakers
Kenneth D. Simonson is widely recognized as one of the nation’s leading economists focusing on construction. He has been chief economist for the Associated General Contractors of America, the top national construction trade association, for 13 years. He is consulted and quoted daily by money managers, industry participants, government officials, academics and media. He served as 2012-2013 president of the National Association for Business Economics, the professional organization for people who use economic information in their work. He is a member of the Census Scientific Advisory Committee, the Bureau of Labor Statistics’ Data Users Advisory Committee, and numerous professional and business organizations.
Who Should Attend
- CEOs and CFOs of Contractors
- Construction Materials Suppliers
- Partners and executives of Financial, Architectural, Engineering, Accounting and Other firms with construction clients
