MAREK 8/7/08 3:18 PM Page 58
profile m a r e k f a m i ly o f c o s .
Help Wanted
+ Critical work force shortages are leading some
contractors to look abroad for labor, but will
immigrant labor solve the work force crisis?
Labor shortages are without a doubt one, if not the top,
challenge construction firms in North America face today. No
matter what sector it specializes in, the size of the company or
the reputation it has earned, contractors across the board
are coping with a shortage of skilled labor, according to Roger
Liska, director, National Institute for the Improvement of
Construction Management and Processes, the research arm of
Clemson University's Department of Construction Science and
Management in South Carolina.
“Projects have been constant, and the [industry] needs about a
quarter-million in craft workers every year,” Liska notes. “That is
predicated on how healthy the industry is. If there is an impact in
the housing industry, that demand is going to go down, but from
what I have seen, there is still strong demand for qualified con-
struction workers.”
Liska points to five foundational challenges that employers face
in either attracting or retaining employees: competitive wages and
benefits, job security, safety, lack of effective management and
working conditions. When compared to other industries, con-
struction by nature can be a laborious profession, and one that is
often associated with high risks and safety hazards. Sometimes mon-
etary compensation and benefit packages are less than what’s
offered in an industry such as manufacturing.
Additionally, Liska says, trade workers are unable to find any real
sense of job security in the industry since work is heavily depend-
ent on the economy. Lack of effective management or integration
of new technology has also dissuaded younger generations from
the filed. All of these factors make recruiting new employees
somewhat arduous, Liska says.
A Broken System
At the center of the debate on how best to solve labor shortages in
the industry is the role and status of foreign nationals in the work
force. The construction industry is without question highly
dependent on unauthorized, mostly Hispanic workers. “If it wasn’t
for the immigrant labor, the construction contractor would be
hurting – from heavy highway from residential to commercial,”
Liska maintains.
In 2007, statistics released by the Pew Hispanic Center revealed
that total employment in the construction industry in 2006
increased by some 560,000 workers – two-thirds of which were for-
eign-born Hispanic workers. Additional data from the center shows
that of the 11.8 million workers in the construction industry, approxi-
mately 2.9 million were Hispanic. But as the number of Hispanic
58 b&c southwest fall 2008
workers grows, so does the number of unauthorized workers.
According to VISANOW CEO Robert Meltzer, “there is great
potential for there to be a work force crisis due to immigration leg-
islation that will create significant obstacles to hiring foreign work-
ers in the construction industry.” VISANOW is a Chicago-based
immigration services provider for corporations and foreign
employees.
In mid-2007, comprehensive immigration reform (CIR) fizzled
in the Senate, but hasn’t disappeared from the radar. “In previous
drafts of reform legislation that have been debated, CIR includes a
process for the legalization of the millions of undocumented immi-
grants in the United States, a temporary worker program and
improved verification processes for employers,” Meltzer explains.
Employee verification and employer sanctions are two issues
Congress is now focused on. “We finally had a glimpse of what the
future may bring following an announcement in the fall regarding
the DHS No Match program,” Meltzer explains.
Under the No Match program, a letter would be sent to employ-
ers when an inconsistency is found between a Social Security num-
ber and an employee name. If the discrepancy is not resolved with-
in 90 days, and if employment continues, U.S. Immigration and
Customs Enforcement would penalize the employer, typically in
the form of fines.
Based on strong opposition, in October
2007, a U.S. District Court Judge in Northern
California granted an injunction placing a
temporary halt on the No Match regulations.
Although placed on hold, DHS’s proposed
No Match program is a sign of increasingly
restrictive rules that could intensify the con-
struction industry’s labor issues. x Roger Liska