{"id":40444,"date":"2025-02-25T16:45:57","date_gmt":"2025-02-25T21:45:57","guid":{"rendered":"https:\/\/www.saratoga.com\/saratogabusinessjournal\/?p=40444"},"modified":"2025-02-25T16:45:57","modified_gmt":"2025-02-25T21:45:57","slug":"construction-leaders-address-industry-growth-labor-shortages-and-future-challenges","status":"publish","type":"post","link":"https:\/\/www.saratoga.com\/saratogabusinessjournal\/2025\/02\/construction-leaders-address-industry-growth-labor-shortages-and-future-challenges\/","title":{"rendered":"Construction Leaders Address Industry Growth, Labor Shortages, And Future Challenges"},"content":{"rendered":"
\"\"
James Dawsey of MLB Construction Services, Michael Munter of Munter Enterprises, Kylie Holland of Curtis Lumber Co. and Dave Collins of D.A. Collins participate in “Outlook for Construction 2025.”
Courtesy Paul Post<\/figcaption><\/figure>\n

By Paul Post<\/p>\n

Construction officials are optimistic about their industry\u2019s prospects, while voicing concerns about ongoing labor shortages and the potential impact of Trump Administration tariffs on material and supplies pricing.<\/p>\n

Several dozen business leaders turned out recently for an \u201cOutlook for Construction 2025\u201d panel discussion at SUNY Adirondack\u2019s Wilton campus, hosted by Saratoga County Chamber of Commerce and Saratoga Economic Development Corp.<\/p>\n

\u201cComing off a couple of roller coaster-type years, 2024 kind of evened things out,\u201d said Kylie Holland, Curtis Lumber Company executive vice president. \u201cIt allowed us to step back, take a deep breath and plan for uncertainty of the future. The cost of everything is up; the cost of doing business, labor, everything is still running at inflationary levels. Tariffs could potentially trickle down to our level in 2025.\u201d<\/p>\n

But a 25 percent tariff doesn\u2019t mean there will be a 25 increase percent locally, she said.<\/p>\n

\u201cWe have an incredible purchasing department that studies our lumber market,\u201d Holland said. \u201cWe\u2019ve been through this before. We\u2019re always trying to get ahead of the game, be proactive.\u201d<\/p>\n

<\/span><\/span><\/b><\/span><\/span>\u201cUncertainty is a word that gets thrown around pretty heavily in our industry,\u201d said David Collins, D.A. Collins Companies president. \u201c2024 was a good year for our company overall. We had a lot of good strong backlog work. The predictability for 2025 is a little off; trying to do more with less with regard to availability of people. We aren\u2019t seeing a lot of talent in the market. That has been our biggest restrictor of growth.\u201d<\/p>\n

The Wilton-based firm does a great deal of state and federally-funded highway jobs such as its current involvement in a $2 billion, Interstate-81 project in Syracuse. But it\u2019s also shifting gears to more privately-financed jobs. In part, this is because many state Department of Transportation employees, who started out during a 1993 hiring binge, are now retiring and being replaced by less experienced people, he said.<\/p>\n

\u201cThere\u2019s a massive gap in talent,\u201d Collins said. \u201cIf you walk through the halls of DOT there are so many retirement cakes being delivered, it\u2019s crazy. The mass exodus of talent within departments is concerning.\u201d<\/p>\n

Similarly, there\u2019s a shortage of skilled trades people in the industry, he said.<\/p>\n

\u201cIf there was a better pipeline of quality, qualified people to build New York and Vermont we would probably would have gotten more work and gotten more opportunities,\u201d Collins said. \u201cBut we\u2019re being very selective in what we go after now. We used to jump on bids. Now it\u2019s, what resources do we have that we can bid it and bid it responsibly?\u201d<\/p>\n

\u201cHistorically in our industry you recruited farm kids,\u201d he said. \u201cThey know how to fix and operate equipment, they know how to work long hard hours. Now those farms aren\u2019t around like they used to be. It\u2019s difficult recruiting people. Now someone who was a line cook at Chili\u2019s yesterday wants to be a carpenter tomorrow. That\u2019s great, we like the attitude, but there\u2019s risk and liability with someone who isn\u2019t familiar with the work. A lot of danger goes with it. It takes training and safety to get people ready for jobs in our industry. It\u2019s a challenge.\u201d<\/p>\n

Also, as minimum wage goes up, the difference between a fast-food worker\u2019s pay and a construction laborer\u2019s salary isn\u2019t as much, which makes it hard to attract people who would rather flip burgers than hammer nails on a cold, winter day.<\/p>\n

James Dawsey, president of Malta-based MLB Construction Services, said he\u2019s \u201cvery optimistic\u201d about the year ahead with a $100 million backlog of projects to work on.<\/p>\n

\u201cWe\u2019ve had a fairly good five- to 10-percent growth rate over the past several years,\u201d he said. \u201cWe\u2019ve done some incredible projects.\u201d<\/p>\n

The list includes Skidmore College\u2019s Center for Integrated Sciences, a 10-story building at the Navy\u2019s West Milton nuclear submarine training site, and a new Jim Dandy bar at the lower clubhouse of Saratoga Race Course. The firm is also working on a major project at Albany International Airport that will continue till spring 2026, and it got the job to upgrade Lake Placid\u2019s Olympic bobsled run.<\/p>\n

\u201cBut we are a union contractor,\u201d Dawsey said. \u201cA lot of union negotiations are coming up this year. Laborers are making more than carpenters. I\u2019m worried about wage rates. Carpenters will want more. We have an aging workforce and we aren\u2019t getting the same caliber of people we did 10 to 20 years ago.\u201d<\/p>\n

In addition, Project Labor Agreements that mandate union workers are \u201celiminating a lot of great (non-union) sub-contractors \u2026 diluting the base of what you need to get work done,\u201d he said.<\/p>\n

Large-scale projects such as Champlain Hudson Power Express that will deliver Canadian hydropower to New York City, and GlobalFoundries\u2019 proposed new facility also strain an already thin workforce. GlobalFoundries announced plans last month to create a new center for advanced packaging and testing of U.S.-made essential chips within its Malta plant at Luther Forest Technology Campus.<\/p>\n

Chamber President Todd Shimkus said that while Saratoga County\u2019s overall population is growing, a survey of all local school districts revealed a 10 percent decline in student numbers, from kindergarten through 12th grade, during the past decade.<\/p>\n

\u201cThat funnel is not headed in the right direction in terms of employment (future employees),\u201d he said.<\/p>\n

But Michael Munter, vice president of Greenfield-based Munter Enterprises, Inc., said efforts to attract more young people to construction trades are starting to pay off.<\/p>\n

\u201cBOCES is stepping up and getting more involved,\u201d he said. \u201cThe CTE (career and technical education) pipeline is showing young adults there is a world out there other than going to a university or two-year school. It\u2019s the best we\u2019ve seen in a long time. Labor has always been a challenge for the construction industry.\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 <\/span>We\u2019re finally bringing some new light into our world.\u201d<\/p>\n

Curtis Lumber executive Doug Ford is founder and president of the Northeast Construction Trades Workforce Coalition, which has undertaken numerous steps to expose and attract young people of all ages, starting at the elementary school level, to good-paying and rewarding construction industry careers.<\/p>\n

\u201cA lot of kids in school don\u2019t know about the trades, counselors don\u2019t know how to talk to kids about trades,\u201d he said. \u201cGetting into grammar schools is making a huge difference. Our industry is at fault. We haven\u2019t coordinated with schools. College and military recruiters, other businesses are in there. We need to be, too.\u201d<\/p>\n

Curtis Lumber has nearly two dozen stores in northern New York and Vermont.<\/p>\n

Holland said construction firms could benefit by welcoming more women to their payrolls and helping young people see there are other jobs available, such as design and accounting, in addition to trades.<\/p>\n

\u201cWe\u2019re not the most progressive industry in the world,\u201d she said. \u201cWe\u2019ve done things the same way for a very long period of time. There\u2019s nothing wrong with that when it works, but there\u2019s so much change happening in the world that we need to step up to the plate and offer a different culture, attract different people into our industry and provide different products and services to customers to better support our communities.\u201d<\/p>\n

\u201cWe\u2019re putting a lot of effort into recruiting,\u201d Holland said. \u201cRecruiting is going to be really heavy this year.\u201d<\/p>\n

\u201cWe need to give kids more of a view about what we actually do,\u201d Dawsey said. \u201cIn a room like this, one person does carpets, another lights, sprinklers, dry wall, acoustical panels. We need to give kids a basis for wanting to get into this business and try to excite them about its opportunities. Hopefully it will pay dividends in the future.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

By Paul Post Construction officials are optimistic about their industry\u2019s prospects, while voicing concerns about ongoing labor shortages and the potential impact of Trump Administration tariffs on material and supplies pricing. Several dozen business leaders turned out recently for an \u201cOutlook for Construction 2025\u201d panel discussion at SUNY Adirondack\u2019s Wilton campus, hosted by Saratoga County […]<\/p>\n","protected":false},"author":89,"featured_media":40445,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[],"class_list":["post-40444","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-construction-planning"],"yoast_head":"\r\nConstruction Leaders Address Industry Growth, Labor Shortages, And Future Challenges - Saratoga Business Journal<\/title>\r\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\r\n<link rel=\"canonical\" href=\"https:\/\/www.saratoga.com\/saratogabusinessjournal\/2025\/02\/construction-leaders-address-industry-growth-labor-shortages-and-future-challenges\/\" \/>\r\n<meta property=\"og:locale\" content=\"en_US\" \/>\r\n<meta property=\"og:type\" content=\"article\" \/>\r\n<meta property=\"og:title\" content=\"Construction Leaders Address Industry Growth, Labor Shortages, And Future Challenges - Saratoga Business Journal\" \/>\r\n<meta property=\"og:description\" content=\"By Paul Post Construction officials are optimistic about their industry\u2019s prospects, while voicing concerns about ongoing labor shortages and the potential impact of Trump Administration tariffs on material and supplies pricing. 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