Here are a few consequences of the COVID pandemic and associated boom on our industry: • Shortages of materials – As many manufacturing plants, including sawmills and wood preserv- ing facilities, had to shut down or reduce their capacity, many products are in short supply. • Long lead times – With much reduced production worldwide and many products coming from abroad, the time gap between ordering products and their delivery has doubled or tripled what they have been. With the unpredictability, this may result in logistical issues and project delays. • Labour shortage – On top of the already low unemployment in our region and limited supply of skilled trades, this boom has increased demand even more for carpenters, electricians, roofers, and so forth. Many workers remain on reduced hours or off completely with the Canadian Emer- gency Response Benefit (CERB) or the Canadian Recovery Benefit (CRB). CERB has been positive to start, but now is keeping many trades home rather than returning to full time or at all to the workplace. This has been a struggle for many companies as they have work lined up but may not have people to do the job. • Increase cost of materials – With high demand and limited supply of many building materials, we have seen prices for many products double or triple. This will cause the cost of a renovation or new home construction to increase drastically. These rapid changes cause problems especially with lump sump quotes signed contracts prior to the price increases. Companies can’t absorb these extra costs and, unfortunately, clients will see these increased costs passed along. • Unqualified contractors – With lots of potential work, many of the most reputable contractors are already booked months in advance. This allows for less qualified or even unqualified people to claim to be contractors. Yes, they are available to start projects sooner or even right away, but buyer be ware, you may want to question why?! Please be careful and don’t allow them to take advantage of you - be patient and wait for a professional. • Working from home – With many municipal staff working from home, it has been a challenge to get a permit in a timely manner. Additionally, many suppliers implemented restrictions on the number of people allowed in their facilities or require clients and contractors to make appoint- ments which add to the time required to complete projects. Even with all the above noted challenges, our industry is working hard to keep the economy rolling and ensuring projects are completed safely and professionally. Having so many people continue to work is extremely positive and contributes to the financial and mental well being of those workers and their families. There is comfort in being able to continue with daily tasks, make a living, and be productive. I can only hope that we continue to act responsibly and limit the impact on all industries, such that everyone can get back to a form of normality.
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SEPTEMBER 2020 • SPOTLIGHT ON BUSINESS MAGAZINE
SPOTLIGHT ON BUSINESS MAGAZINE • SEPTEMBER 2020
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