PHOENIX, AZ—International property and construction consultancy firm Rider Levett Bucknall (RLB) has released its midyear Quarterly Cost Report, providing an on-the-ground picture of construction activity in 14 key North American markets and data-driven insights into the industry for the second quarter of 2022.
Like many industries right now, the construction industry is facing a significant workforce shortage that is hindering the industry’s ability to maximize the amount of construction activity that could be taking place. In the past two months, spending on nonresidential construction has declined, with many industry experts attributing this to the workforce shortage.
While facing workforce shortages is not a new challenge for our industry, the current shortage is one factor in a confluence of ongoing issues including the pandemic, supply chain challenges for raw materials and finished products, rising fuel prices, and the transportation industry’s own workforce shortage.
“The workforce shortage is pervasive through every aspect of our industry right now,” said Julian Anderson, FRICS, President of RLB North America. “While the workforce shortage is just one piece of a larger set of challenges we are facing right now, it’s important we strive to have the appropriate workforce numbers in place as we prepare for the future.”
Quarterly Cost Report notes:
- The U.S. quarterly national average increase in construction cost is approximately 2.4%, compared to 7.5% year-over-year
- The U.S. Gross Domestic Product (GDP) has decreased at an annual rate of 1.5% following an increase of 6.9% in the previous quarter
- The Architectural Billings Index (ABI) soar to 58 from the previous quarter’s 51
Read the complete QCR Q2 report here.
About Rider Levett Bucknall
Rider Levett Bucknall is an award-winning international firm known for providing project management, construction cost consulting, and related property and construction advisory services—at all stages of the design and construction process. Rider Levett Bucknall’s North American practice has offices in 21 cities across the United States and Canada, including Boston, Calgary, Chicago, Denver, Hilo, Honolulu, Las Vegas, Los Angeles, Maui, New York, Phoenix, Portland, San Francisco, San Jose, Seattle, Toronto, Tucson, Waikoloa, and Washington, D.C. With more than 4,000 employees worldwide, Rider Levett Bucknall brings unparalleled value and service to its group of prestigious clients, through its robust experience and high-level expertise. The firm enjoys a professional heritage that spans over 230 years, and it continues to be a global leader in the construction industry throughout the Americas, Africa, Asia, Europe, the Middle East, and Oceania.