• Skip to main content
  • Skip to primary sidebar
  • Skip to footer

Dalkita

Architecture & Construction - Distilled Spirits Plants

  • About
    • Our Portfolio
    • Our Team
    • Our Process
  • Courses
  • Distilling Craft Podcast
  • Blog
  • FAQs
  • Contact
  • Consult
  • Documents
    • Property Due Diligence Checklist 
    • Distillery Supplies
    • My Account
    • Shopping Cart
You are here: Home / News / How Oil & Gas Drive Up the Price of Construction

Oct 23 2014

How Oil & Gas Drive Up the Price of Construction

A recent survey from Associated General Contractors of America found that 83% of firms across the country are having trouble keeping/ filling positions related to construction. Dalkita can confirm this trend with first-hand knowledge. The Denver area is in full-boom with projects happening all over the metro area. Some jobs experience delays due to the lack of qualified workers available to complete the job at the sub-contractor level. An article in the Thursday, October 23, 2014 Denver Post does a great job of explaining the impact of the shortage in skilled and unskilled construction workers — both locally and along the front range of the Rocky Mountains. In order to reduce or eliminate costly delays in projects, construction companies have had to raise base wages and offer incentives, signing bonuses, job completion bonuses. These added costs will end up raising the final cost of construction regardless of which firm is selected to do the work.

The Denver Post attributes the local shortage of workers to steep competition from the oil & gas development in the United States. The boom in Natural Gas production for the U.S. (we are currently the number one producer of natural gas in the world) has depleted the already small pool of available labor for construction projects by attracting some of the best and brightest workers to the oils and gas fields across the Western United States. The worker shortage affects all levels of the construction industry – from accounting to the engineers and project managers  and from the specialized trades to the everyday general labor.

Check out the articles here:

http://www.agc.org/cs/news_media/press_room/press_release?pressrelease.id=1650

http://www.eia.gov/todayinenergy/detail.cfm?id=13251#

http://www.denverpost.com/News/ci_26779405/Colorado-construction-firms-up-the-wage-ante-to-compete-for-workers

http://www.bizjournals.com/denver/blog/real_deals/2014/07/denver-construction-costs-report-warns-booming.html?page=all

 

Share this:

  • Email
  • Facebook
  • Twitter
  • LinkedIn
  • Pocket
  • More
  • Print
  • Reddit
  • Tumblr
  • Pinterest

Written by Dalkita · Categorized: News

Reader Interactions

Leave a Reply Cancel reply

Primary Sidebar

Cart

Dalkita Blog

  • Three Types of Distillery Occupancies Explained January 10, 2023
  • Insulation Code Requirements For Metal Buildings September 20, 2022
  • Dalkita’s latest design and GC project is complete! August 18, 2022
  • FDNY Code is first to address the scale of micro-distilleries August 16, 2022
  • Is bottling required to be an H-3 occupancy? August 8, 2022
  • New Mountain Home Design May 24, 2022

Subscribe to Blog via Email

Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Footer

Dalkita Newsletter
Sign-up to receive email updates from Dalkita Architecture and Construction.

Let’s Connect

  • Facebook
  • Instagram
  • Twitter
  • Distilling Craft Podcast
  • Blog
  • Contact Us
  • My Shopping Cart Account
  • Careers

Copyright© 2023 Dalkita Construction Inc. · All Rights Reserved · Terms of Service · Privacy Policy

Powered by Accendo Digital