Construction EMPLOYMENT Landscape · Page 3 Source: ONS –CIBT –Glenigan –Barbour –Savills -...
Transcript of Construction EMPLOYMENT Landscape · Page 3 Source: ONS –CIBT –Glenigan –Barbour –Savills -...
BUILDING CAREER POTENTIAL
Construction
EMPLOYMENT
Landscape
March 2018
Edition 1
Content Page
1. Introduction 3
2. Regional employment levels 4
3. Employment by industry sector 5
4. Employment by occupation 6
5. Employment forecast 7
6. January project activity 8 -10
7. Future reports 11
8. Occupation classifications 12
New houses built
217,350
2017The construction sector faced a range of challenges and uncertainties in 2017 but whilst
the economic political landscape is currently uncertain with lingering concerns around
Brexit, as well as business and consumer confidence, the future construction forecast
remains positive which should sustain workforce and employment levels.
The search for skilled experienced professionals continues within the industry. This has
been fuelled by the full pipelines of planned work seen across the UK and within a
number of sectors, such as residential development and infrastructure.
This employment insight segments the construction workforce by, region, sector and
occupation and helps to pinpoint immediate and future hot spots for employment growth
and subsequent skill shortages..
31,600 Construction Jobs Created
During 2018 UK
Housing Output to grow
2.8%During 2018
New Construction Jobs London
2,010During 2018
2,140New Technical Jobs Created
During 2018 UK
158,000 New Recruits Needed
Over 5 Years
Introduction to the UK’s
Construction Employment
15%Up from 2016 new houses built .
Source: ONS – CIBT – Glenigan – Barbour – Savills - National Housing Federation – Chartered Institute of Personal DevelopmentPage 3
Construction Employment
2,331,600
20180.5%Up from Employment in 2017 .
As expected, a large proportion of construction-specific employment is
concentrated in London and the South East, whereas employment levels in more dispersed regions such as the North East and Wales remain relatively lower.
The largest contributions to construction employment growth came from London
and the South East, which together make up 29% of construction employment in
2017. Elsewhere, the most notable increase in 2017 came from Yorkshire and The
Humber, which grew by 18.6% compared with 2016. Scotland also grew at an
increasing rate, rising 13,500 in 2017 and now equates to 10% of all construction
employment in Great Britain.
Strong national activity, which is widespread across the UK, has kept the
construction sector buoyant despite concerns about the future. Recent analysis
indicates a 2.7% national salary increase across the sector, which reflects a
healthy demand for professionals, some regions are now rivalling London for
salary rises.
After four months of declining growth,
residential bounced back with £1.9 billion
worth of construction contracts in
January 2018.
42.4%London tops theregions in January for new contracts.
Regional Construction
Employment Structure 2018
Source: ONS – CIBT – Glenigan – Barbour – Savills - National Housing Federation – Chartered Institute of Personal DevelopmentPage 4
Based on a 4 week rolling period.
Retail construction: Retail construction continues to be impacted, largely negatively, by
the changing shopping habits of British consumers, leaving only leisure construction of
the big three components of the commercial sector showing growth in the short term.
Education and health construction: With the focus on the residential and infrastructure
sectors, public expenditure on education and health construction is projected to fall,
only in part mitigated by an increase in defence work as part of the Army Basing Plan,
although this will complete in 2019.
Private Housing remains the largest
employment sector within the built environment, a trend which is set to continue with the Governments’
commitment of 300,000 new homes to be built.
Infrastructure: Infrastructure is expected to be the strongest sector in output terms,
driven by a small number of huge projects, such as High Speed 2 (HS2), and new
nuclear build at Hinkley Point and Wylfa. Annual average growth of 3.1% over the
five years to 2022 is likely to peak in 2019.
Residential/Housing : Housing output, both public and private, is expected to grow by
2.8% and 2.2% respectively, which will considerably reduce the dependence on
infrastructure to buoy up the sector.
Commercial construction: Office space was the sector identified as the most
vulnerable to a more cautious attitude by investors and developers to bringing new
projects forward due to Brexit uncertainties. This is proving to be the case with new
orders for office construction on a downward trend and output growth weakening
significantly.
Repair and maintenance (R&M): Growth across all the new work sectors is projected
to average 1.5% a year over the 2018 to 2022 period, with the repair and
maintenance sector seeing slightly slower expansion of 1.1% per annum. The
prognosis for housing R&M is for significantly stronger than long-term trend growth
(1.2%) largely due to the potential rework across the public high rise.
Industry Employment
Structure 2017
Source: ONS – CIBT – Glenigan – Barbour – Savills - National Housing Federation – Chartered Institute of Personal DevelopmentPage 5
Professional Occupations
377,790
CURRENT EMPLOYMENT
BY OCCUPATION
Professional occupationsOther construction professionals and technical staff 203,190
Civil engineers 56,820
Surveyors 74,440
Architects 43,340
Non-manual occupationsNon-construction professional, technical, IT, office-based staff 380,190
Other construction process managers 210,400
Senior, executive, and business process managers 181,340
Construction Trades Supervisors 50,240
Construction Project Managers 47,710
Non-construction operatives Manual occupations 36,330
Manual OccupationsWood trades and interior fit-out 263,850
Labourers nee* 134,070
Electrical trades and installation 197,200
Painters and decorators 113,020
Plumbing and HVAC trades 168,010
Bricklayers 71,640
Plant operatives 39,960
Logistics 23,590
Plasterers 53,270
Roofers 47,430
Scaffolders 22,480
Specialist building operatives 58,480
Building envelope specialists 108,130
Steel erectors/structural fabrication 24,550
Glaziers 30,150
Plant mechanics/fitters 42,750
Floorers 26,640
Civil engineering operatives nee* 22,150
Manual Occupations
1,447,370
Non-manual Occupations
906,210
Professions in high demand
Specialist trades to be the most in demand are
wood trades and interior fit out (3,070) within
professional occupations technical staff (2,140)
sit within the top three of high demand roles,
whilst in non-manual occupations will see a
significant rise for construction process
managers (2,770) .
Taken as a proportion of base 2018 employment
levels, the highest ARRs are for logistics
personnel (3.4%) construction trades
supervisors (3.1%) civil engineers (2.5%).
Source: ONS – CIBT – Glenigan – Barbour – Savills - National Housing Federation – Chartered Institute of Personal DevelopmentPage 6
31,600 Total number of new
recruits are needed within the
industry during 2018
The UK construction industry needs to find an extra 31,600 new recruits each year for the
next 5 years in order to meet the nations construction forecasted output, the projected
figure does not include the amount of retirements due during the coming years, in reality
the new recruit figure could be much higher.
The North West has been identified with the largest employment forecast. The North West
is estimated to have accounted for around 10% of UK construction employment in 2017,
an significant increase on previous years.
In 2017, Greater London accounted for around 15.8% of UK construction employment.
Between 2018 -2022 construction employment within the capital is likely to see only
marginal growth. Plant operatives are anticipated to see the strongest annual average
increase within the region.
However, recruitment challenges will most certainly intensify as 63% of employers expect
to hire permanent staff during 2018, and 78% of employers expect a shortage of suitable
candidates to be the primary recruitment challenge in the next year. This shortage is partly
due to the specialist skillsets often required, but also because employees are cautious
about the future and less likely to switch jobs.
UK 2018
EMPLOYMENT FORECAST
Source: ONS – CIBT – Glenigan – Barbour – Savills - National Housing Federation – Chartered Institute of Personal DevelopmentPage 7
JANUARY
PROJECT ACITIVITY
New construction contract awards increased
by 11.6% in January 2018 following downturn
in December 2017, with number of projects
increasing by 46.6%.
Types of Project
Residential projects accounted for the highest share of contract awards
values in January 2018 with a 47% share followed by infrastructure with
14% and commercial & retail with 13%.
As well as the Spire London development at India Quay, notable
residential contract awards in January included the £95 million Telford
Home project at Blackhorse Road in Walthamstow to provide 337 flats
and the £90 million Plot L development at Angel Gardens in Manchester to
provide 458 flats. The largest infrastructure contract award in January
2018 was the £200 million Midland Metro extension between Brierley Hill
and Wednesbury.
Residential
Industrial
Commercial & Retail
Hotel, Leisure & Sport
Medical & Health
Education
Industrial
Other notable infrastructure awards included the £100 million biome thane plant at Blackburn Waste Water Treatment Works, whilst one of the largest civil engineering projects was
the £15 million flood defence works on the river Medway in Rochester. Within the commercial and retail sector one of the largest contract awards was the £150 million Paris
Gardens development at Southwark to provide 60,751 square meters of space in a 26 storey structure, whilst one of the largest retail contract awards was the £20 million extension
and refurbishment of the Cheshire Oaks shopping complex at Ellesmere Port.
Top 10 biggest project by value
Source: ONS – CIBT – Glenigan – Barbour – Savills - National Housing Federation – Chartered Institute of Personal DevelopmentPage 8
JANUARY
PROJECT ACITIVITY
Change of activity by region (since January 2017) Residential contract awards in
January 2018 were dominated
by private housing which
accounted for 85% share of
contract awards.
Residential contract awards in January 2018 were dominated
by private housing which accounted for 85% share of
contract awards, but this is a 6% decrease on January 2017.
The only other significant sector in January 2018 was
hostels/halls of residence/barracks with 8% share, up 3% on
January.
Types of Residential Projects
Source: ONS – CIBT – Glenigan – Barbour – Savills - National Housing Federation – Chartered Institute of Personal DevelopmentPage 9
Change of activity by sector (since January 2017)
The dominance of London this month meant that the remaining
regions had much smaller share of contract awards with the North
West the second largest region at 10.9%, followed by the South East
with 8.4% of residential contract awards.
Key residential contracts in the North West included the £90 million
Plot L Angel Gardens in Manchester which will see 458 residential
units and ground floor office space over 2 structures and 33 storeys.
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6 45
16
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3
7
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9
812
14
11
13
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1 Long Marston, Stratford-on-Avon
2 Oxfordshire Cotswold, Oxfordshire
3 Deenethorpe, Northamptonshire
Culm, Devon
5 Welborne, Hampshire
West Carclaze, Cornwall
Dunton Hills, Essex
8 Spitalgate Heath, Lincolnshire
9 Halsnead, Merseyside
10 Longcross, Runnymead and Surrey Heath
11 Bailrigg, Lancaster
12 Infinity Garden Village, Derbyshire
13 St. Cuthberts, Cumbria
14 North Cheshire, Cheshire East
14 Planned Garden Village
15 Aylesbury, Buckinghamshire
16 Taunton, Somerset
17 Harlow & Gilston, Essex and Hertfordshire
3 Planned Garden Towns
Earlier this year the Government also announced plans to deliver 14 new
villages of between 1,500 to 10,000 homes to be built outside existing
settlements. A further three towns of more than 10,000 houses each will be
built alongside Aylesbury, Taunton and Harlow and Gilston.
JANUARY
PROJECT ACITIVITY
Source: ONS – CIBT – Glenigan – Barbour – Savills - National Housing Federation – Chartered Institute of Personal DevelopmentPage 10
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FUTURE
INSIGHT REPORTS
Source: ONS – CIBT – Glenigan – Barbour – Savills - National Housing Federation – Chartered Institute of Personal DevelopmentPage 11
Occupational Employment
Forecast
Built Environment
TALENT INSIGHT
A New Reality
Attracting New Talent
Regional
EMPLOYMENT
Landscape
Technical & Design
Professionals
Salary Benchmark
Source: ONS – CIBT – Glenigan – Barbour – Savills - National Housing Federation – Chartered Institute of Personal DevelopmentPage 11
1115
1131
1132
1133
1135
1251
1136
2150
1162
1259
1139
2133
2134
3538
3545
Occupational group
Description, SOC (2010) reference.
Senior, executive, andbusiness process managers
Chief executives and senior officials
Financial managers and directors
Marketing and sales directors
Purchasing managers and directors
Human resource managers and directors
Property, housing and estate managers
Information technology and telecommunications
directors
Research and development managers
Managers and directors in storage and warehousing
Managers and proprietors in other services nee*
Functional managers and directors nee*
IT specialist managers
IT project and programme managers
Financial accounts managers
Sales accounts and business development managers
Construction project managers
Construction project managers and related
professionals
Management consultants and business analysts
Receptionists
Typists and related keyboard occupations
Business sales executives
Bookkeepers, payroll managers and wages clerks
Records clerks and assistants
Stock control clerks and assistants
Telephonists
Communication operators
Personal assistants and other secretaries
Sales and retail assistants
Telephone salespersons
Buyers and procurement officers
Human resources and industrial relations officers
Credit controllers
Company secretaries
Sales related occupations nec*
Call and contact centre occupations
Customer service occupations nec*
Elementary administration occupations nec*
Chemical scientists
Biological scientists and biochemists
2423
4216
4217
3542
4122
4131
4133
7213
7214
4215
7111
7113
3541
3562
4121
4214
7129
7211
7219
9219
2111
2112Other construction process managers Physical scientists 2113
Production managers and directors in manufacturing 1121 Laboratory technicians 3111
Production managers and directors in construction 1122 Graphic designers 3421
Managers and directors in transport and distribution 1161 Environmental health professionals 2463
Waste disposal and environmental services managers 1255
Health and safety officers 3567
IT business analysts , architects andsystems
designers 2135
Conservation and environmental associate Conservation professionals 2141
professionals 3550 Environment professionals 2142
Non-construction professional, technical, IT, and other Actuaries, economists and statisticians 2425
office-based staff (excl. managers) Business and related research professionals 2426
IT operations technicians 3131 Finance officers 4124
IT user support technicians 3132 Financial administrative occupations nec* 4129
Finance and investment analysts and advisers 3534 Human resources administrative occupations 4138
Taxation experts 3535 Sales administrators 4151
Financial and accounting technicians 3537 Other administrative occupations nec* 4159
Vocational and industrial trainers and instructors 3563 Office supervisors 4162
Business and related associate professionals nec* 3539 Sales supervisors 7130
Legal associate professionals 3520 Customer service managers and supervisors 7220
Inspectors of standards and regulations 3565 Office managers 4161
Programmers and software development Construction trades supervisors
professionals 2136 Skilled metal, electrical and electronic trades
Information technology and telecommunications supervisors 5250
professionals nec* 2139 Construction and building trades supervisors 5330
Estate agents and auctioneers 3544 Wood trades andinterior fit-out
Solicitors 2413 Carpenters and joiners 5315
Legal professionals nec* 2419 Paper and wood machine operatives 8121
Chartered and certified accountants 2421 Furniture makers and other craft woodworkers 5442
Business and financial project management Construction and building trades nec* (25%) 5319
professionals 2424
Bricklayers Air-conditioning and refrigeration engineers 5225
Bricklayers and masons 5312 Logistics
Building envelope specialists Large goods vehicle drivers 8211
Construction and building trades nec* (50%) 5319 Van drivers 8212
Painters and decorators Elementary storage occupations 9260
Painters and decorators 5323 Buyers and purchasing officers (50%) 3541
Construction and building trades nec* (5%) 5319 Transport and distribution clerks and assistants 4134
Plasterers
Plasterers 5321
Civil engineering operatives not elsewhere
classified (nec*)
Roofers Road construction operatives 8142
Roofers, roof tilers and slaters 5313 Rail construction and maintenance operatives 8143
Floorers
Floorers and wall tilers 5322
Quarry workers and related operatives
Non-construction operatives
8123
Glaziers Metal making and treating process operatives 8117
Glaziers, window fabricators and fitters 5316 Process operatives nec* 8119
Construction and building trades nec* (5%) 5319 Metalworking machine operatives 8125
Specialist building operatives not elsewhere Water and sewerage plant operatives 8126
classified (nec*) Assemblers (vehicles and metal goods) 8132
Construction operatives nec* (100%) 8149 Routine inspectors and testers 8133
Construction and building trades nec* (5%) 5319 Assemblers and routine operatives nec* 8139
Industrial cleaning process occupations 9132 Elementary security occupations nec* 9249
Other skilled trades nec* 5449 Cleaners and domestics* 9233
Scaffolders Street cleaners 9232
Scaffolders, stagers and riggers 8141 Gardeners and landscape gardeners 5113
Plant operatives Caretakers 6232
Crane drivers 8221 Security guards and related occupations 9241
Plant and machine operatives nec* 8129 Protective service associate professionals nec* 3319
Fork-lift truck drivers 8222 Civil engineers
Mobile machine drivers and operatives nec* 8229 Civil engineers 2121
Plant mechanics/fitters Other construction professionals and technical staff
Metalworking production and maintenance fitters 5223 Mechanical engineers 2122
Precision instrument makers and repairers 5224 Electrical engineers 2123
Vehicle technicians, mechanics and electricians 5231 Design and development engineers 2126
Elementary process plant occupations nec* 9139 Production and process engineers 2127
Tool makers, tool fitters and markers-out 5222 Quality control and planning engineers 2461
Vehicle body builders and repairers 5232 Engineering professionals nec* 2129
Steel erectors/structuralfabrication Electrical and electronics technicians 3112
Steel erectors 5311 Engineering technicians 3113
Welding trades 5215 Building and civil engineering technicians 3114
Metal plate workers and riveters 5214 Science, engineering and production technicians nec* 3119
Construction and building trades nec* (5%) 5319 Architectural and town planning technicians* 3121
Smiths and forge workers 5211 Draughtspersons 3122
Metal machining setters and setter-operators 5221 Quality assurance technicians 3115
Labourers nec* Town planning officers 2432
Elementary construction occupations (100%) 9120 Electronics engineers 2124
Electrical trades and installation Chartered architectural technologists 2435
Electricians and electrical fitters 5241 Estimators, valuers and assessors 3531
Electrical and electronic trades nec* 5249 Planning, process and production technicians 3116
Telecommunications engineers 5242 Architects
Plumbing and heating, ventilation, and air conditioning Architects 2431
trades Surveyors
Plumbers and heating and ventilating engineers 5314 Quantity surveyors 2433
Pipe fitters 5216 Chartered surveyors 2434
Construction and building trades nec* (5%) 5319 *Not elsewhere classified
45
Occupational Groups
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