Expert Says Solution to Construction Labor Shortage Is to Pay Workers More

Construction workers in California are some of the best paid in the U.S., yet it's not enough to afford to live in California, and many have been forced out of the industry as a result. The labor shortage is cited as a major contributor for rising construction costs. 

David Lorber, owner of Superior Bay Builders, says, “An awful lot of guys retired from the industry, and young people aren’t interested in doing this type of work. Nobody is replacing them, and nobody cares.” The Mercury News reports that the construction labor market in California has gotten so competitive that, according to Ciarra Construction owner Walt Oxley, recruiters from Southern California are trying to poach workers right from the company's construction sites in the Bay Area.

So, what’s the solution to the shortage? Pay construction workers even more, to entice them into the jobs the industry desperately needs filled, says Gary Painter, an economics professor who specializes in housing at the University of Southern California. “It’s not so simple as to say, ‘Oh, we have a shortage of construction workers.’ We have a shortage of construction workers at the price people want to pay,” Painter said. 

Read more