Two out of three entrepreneurs suffer from staff shortage, especially in construction

Two out of three entrepreneurs suffer from staff shortage, especially in construction

Two-thirds of entrepreneurs in the Netherlands are experiencing staff shortages. They are therefore mainly focusing on automation and improvement of employment conditions. This applies in particular to entrepreneurs in the construction industry, reports statistics office CBS.

Entrepreneurs with large companies are most affected by a shortage of employees, writes the CBS. More than 72 percent of companies with 250 employees or more indicate that they are experiencing this. Of the small businesses, which have 5 to 50 employees, 61 percent indicate that they are experiencing this.

Companies are combating the staff shortage with, among other things, automation, better employment conditions and workers from abroad. They are also trying to limit or improve productivity.

The table below shows the extent to which large, medium and small companies use these measures.

Because the staff shortage remains a problem, entrepreneurs are increasingly trying to improve labor productivity. This involves producing more per employee. More than three-quarters of entrepreneurs say they are taking measures to do this, such as streamlining processes and investing in technology.

“The problems with staff shortages are still significant,” says CBS chief economist Peter Hein van Mulligen. “Although the labor market is doing slightly better, you notice that most companies cannot handle it.”

The Netherlands recently experienced the largest labor productivity decline in fifteen years, it appeared in August. The phasing out of gas extraction in Groningen, which counted towards the productivity figures, contributed to this.

In the construction industry, more than 80 percent of entrepreneurs speak of a staff shortage. The sector suffers from aging, dropout and employees who stop working early.

In the construction industry, measures are also most often taken to deal with staff shortages. “In other sectors, the proportion of entrepreneurs who mention this measure has decreased,” writes the CBS.

New construction in particular is hampered by a large number of problems, such as staff shortages, grid congestion and slow procedures. Construction productivity has also been lagging behind for years. Important causes are a lack of cooperation, data exchange and innovation, says Hibin, the advocate for supply organizations in the construction industry.

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