April 29, 2009

Economics

Poll on non-residential contractors finds recession concerns

VINCE VERSACE

staff writer

As the recession continues to hammer the economy, about 70 per cent of contractors surveyed expect it to negatively impact their 2009 bottom line, according to a recent Ipsos Reid poll.

The survey of 1,000 non-residential contractors was conducted by Ipsos Reid on behalf of the Ontario Construction Secretariat (OCS). Only 19 per cent of those surveyed feel the recession will have no impact at all on business in 2009.

Adam Cywinski, market research analyst for OCS, said the survey sample represents a broad swath of the construction industry, from union to non-union firms and including all regions of Ontario. The survey results are drawn from 1,043 interviews conducted between Jan. 29 and Feb. 10, 2009.

“The results reflect what is happening in the industry and we are seeing how some of the labour results are lining up within the different regions,” said Cywinski.

The survey found that 30 per cent of contractors expect to employ fewer people this year than they did in 2008. Only 16 per cent of those surveyed said they expect to employ more people in 2009.

Cywinski noted that the southwestern Ontario contractors reported the weakest employment intentions, with 34 per cent of contractors expecting to employ fewer people in 2009.

Eastern Ontario registered the highest intentions to employ more workers this year with almost as many contractors intending to increase employment (23 per cent) as those intending to decrease employment (25 per cent).

Though the survey found that the overall availability of skilled trades in 2009 appeared to improve compared with 2007, with 47 per cent of contractors reporting either “somewhat good” or “very good” availability of skilled trades, these findings did range depending on both the trade and region.

Thanks to a downturn in southwestern Ontario’s industrial construction sector, the availability of skilled trades was greatest in this region, noted Cywinski. Approximately 54 per cent of contractors surveyed reported availability to be somewhat good or very good in that region.

The availability of skilled trades remained tighter in eastern and northern Ontario where the majority of contractors still reported shortages among a number of trades.

Among the trades reported by contractors in short supply across Ontario were boilermakers, roofers and shinglers, refrigeration and air conditioning mechanics, glaziers and bricklayers.

The survey also found that contractors reported a good supply of trades such as craft workers, demolition labourers, sprinkler fitters, painters and millwrights.

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