State of Construction in British Columbia
Guest: Chris Gardner, CEO of ICBA
On this edition of Journal, we ask the question: Why, in a recent front page story, was one expert quoted as saying he was not too concerned about reported job losses in the construction sector?
Meanwhile, another in the same article says the current situation in terms of residential construction is the worst he has seen in decades.
So, where does that leave us? To worry or not to worry?
We do know layoffs overall in the construction sector are happening in numbers not seen since the 1990s. In British Columbia: 6,900 job losses in February alone.
In some ways, it doesn’t make sense. We have a federal government, a provincial government, and a municipal government all tripping over themselves making big housing announcements – big dollars, big numbers.
Prime Minister Carney, early in his mandate, promised 500,000 residential units to be built annually. This was “passing strange” since Canada has only managed to build an average of half of that in previous years. As well, major infrastructure projects are touted and fast-tracked – all good for the construction industry, right?
But despite this political zeal to “build, build, build,” a number of developers are just walking away from projects that have already been approved and many real estate companies have announced major layoffs.
In addition, there are now thousands of already completed condos sitting empty and unsold in Metro Vancouver.
What is going on?
To help us understand the whole picture, we are joined by Chris Gardner, President and CEO of ICBA (Independent Contractors and Business Associations). His members are on the front lines during this challenging time for the construction industry.
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