Contractors Are Addressing Safety and Health Issues, But They Can Do More

The latest safety management study reveals an increase in the implementation of safety and health strategies, but those measures could have greater adoption across the industry.

HAMILTON, NJ – October 26, 2023 – Research findings released today indicate construction contractors continue to make progress responding to issues affecting worker safety and health, such as heat and mental health, but many areas for improvement remain.

The new study, Safety Management in the Construction Industry 2023 SmartMarket Report, examines occupational safety and health challenges across the industry and shines a light where more effort is needed. It was conducted by Dodge Construction Network (DCN), the industry-leading source of construction data and insight, and CPWR, a nonprofit dedicated to reducing occupational injuries, illnesses and fatalities in construction.

HEAT

Working in extreme heat is increasingly common in construction, posing significant safety and health risks to workers. To combat this problem:

  • 52% of contractors in the study report making changes at their company in the last three years to prevent heat-related illnesses onsite.
  • 66% of contractors implemented a heat-safety policy at their company.

The most common practices to address heat-related issues are providing water, rest and shade and worker training. Less common practices are monitoring the environment for heat hazards and administrative controls such as pausing work in the hottest parts of the day.

But while the data indicate progress, there are large disparities by company size.  Only 21% of employers with less than 20 employees made changes to address heat in the last three years, and another 21% of the small contractors do not consider heat stress an issue at all.

“Employers need to provide workplaces that control recognized hazards, including heat,” said Chris Trahan Cain, CPWR’s executive director. “Many firms are showing that protecting their workers from excessive heat is good for safety and good for business, but this report shows many still are not.”

MENTAL HEALTH, SUICIDE, AND OPIOID USE

When asked about topics about which they want additional training and information, such as through webinars, factsheets, infographics, and toolbox talks, the study revealed a high level of interest on worker wellbeing. Fifty-two percent of contractors wanted more resources for managing mental health, suicide, and opioid use.

The next most frequently cited topic was lifting or ergonomics, safety at 34%. This is a striking finding considering that the rest of the list consists of well-known hazards that still plague the industry.

Contractors were asked whether their company provides a program for substance use or mental health, such as access to professional services. There were major differences depending on company size:

  • 80% of large contractors (100 or more employees) offer programs for substance use or mental health.
  • Only 29% of small companies (fewer than 20 employees) offer these programs.

Strategies like having a peer network to address substance use or mental health are relatively uncommon, but more frequent among large contractors and those that employ union craftworkers.

PRE-PROJECT AND PRE-TASK ENGAGEMENT

The study also examines the use and subsequent advantages of other good safety practices on the jobsite, including during pre-construction and pre-task planning. Both strategies show the clear benefits of engaging multiple viewpoints in these processes:

  • 94% of contractors who engaged in most (7 or more) of these activities reported an increase in worker engagement with safety measures.
  • 84% of those contractors reported a reduction in recordable injury rates.
  • 60% of those contractors saw an improvement in productivity.

The study also examined other good safety practices, including the use of right-sized PPE, online training, and the use of technology. It found that one of the biggest opportunities for contractors to improve safety is to use data gathered on their projects more effectively: nearly one-quarter of the contractors who collect project safety data said they do not analyze it.

IMPLEMENTATION ACROSS COMPANIES

The study also dives into the effective implementation of safety practices among firms of different sizes, as well as ways to improve. For example, the study highlights safety measures that smaller firms could use that larger firms have already adopted. These methods include getting workers more engaged in pre-task planning and using free online tools to promote worker well-being.

“Many small companies don’t have dedicated safety managers like you would see at a larger company, so data like this is particularly valuable to help provide education about how the industry is improving worker safety, health and well-being,” says Donna Laquidara-Carr, industry insights research director at Dodge Construction Network.

Since 2012, DCN and CPWR have partnered to deliver studies on construction safety management. Previous reports examined commonly used safety practices and the corresponding benefits contractors experience from investments in safety. The Safety Management in the Construction Industry 2023 SmartMarket Report contains more detailed findings and analysis on each of these topics including feature articles and case studies illuminating how these insights can be more widely implemented across the industry. The report can be downloaded here.

 

About CPWR: CPWR – The Center for Construction Research and Training is a 501(c)(3) not-for-profit created by North America’s Building Trades Unions (NABTU). Its mission is to reduce occupational injuries, illnesses and fatalities in the construction industry through research, training, and service programs. CPWR is uniquely situated to serve U.S. construction workers, contractors and the research community, having partnered with the National Institute for Occupational Safety and Health (NIOSH) in NIOSH’s construction safety and health research initiative for three decades.

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Construction Starts Drop 6% as Fewer Megaprojects Move Forward

All three major sectors declined in September with residential leading the tumble

HAMILTON, NJ —October 18, 2023 — Total construction starts fell 6% in September to a seasonally adjusted annual rate of $1.2 trillion, according to Dodge Construction Network. Nonresidential starts lost 4%, residential starts declined 6%, and nonbuilding starts fell 9%.

Year-to-date through September 2023, total construction starts were 3% below that of 2022. Residential and nonresidential starts were down 17% and 7%, respectively; however, nonbuilding starts were up 25% on a year-to-date basis. For the 12 months ending September 2023, total construction starts were unchanged. Nonbuilding starts were 22% higher, and nonresidential building starts gained 3%. Conversely, on a 12-month rolling basis, residential starts posted a 16% decline.

“Risks continue to mount for the construction sector,” said Richard Branch, chief economist for Dodge Construction Network. “Over the last 12 months, construction starts have essentially froze as rates increased and credit tightened. The industry needs further adjusting as rates are expected to stay higher for longer, along with the potential for higher energy costs and continued political uncertainty. A return to broad-based growth in construction starts is still some time away.”

Nonbuilding
Nonbuilding construction starts decreased in September, falling 9% to a seasonally adjusted annual rate of $345 billion. Highway and bridge starts lost 15% and environmental public works starts fell 29%. Not all sectors fell, however: miscellaneous nonbuilding starts rose 4%, and utility/gas plant starts gained 14%. Year-to-date through September, nonbuilding starts were up 25%. Utility/gas plants rose 58%, and miscellaneous nonbuilding starts were up 23%. Highway and bridge starts gained 13%, and environmental public works rose 16%.

For the past 12 months ending in September 2023, total nonbuilding starts were 22% higher than that of September 2022. Utility/gas plant and miscellaneous nonbuilding starts rose 35% and 22%, respectively. Highway and bridge starts, in addition to environmental public works starts, were both up 18% on a 12-month rolling sum basis.

The largest nonbuilding projects to break ground in September were the $4.5 billion Sun Zia transmission line across Arizona and New Mexico, the $525 million fourth phase of the Cedar Springs wind farm in Converse County, Wyoming, and the $485 million Prospect Lake Clear Water Center in Fort Lauderdale, Florida.

Nonresidential

Nonresidential building starts fell 4% in September to a seasonally adjusted annual rate of $459 billion. Commercial starts rose 6% due to strength in data center work (classified as an office structure in the Dodge database) and retail. Institutional starts fell 8% in September despite a healthy gain in education starts, and manufacturing starts declined 13%. On a year-to-date basis through September, total nonresidential starts were 7% lower than that of 2022. Institutional starts gained 5%, while commercial and manufacturing starts fell 6% and 31%, respectively.

For the past 12 months ending in September 2023, total nonresidential building starts were 3% higher than that ending September 2022. Manufacturing starts were 8% lower. Institutional starts improved by 8%, and commercial starts gained 4%.

The largest nonresidential building projects to break ground in September were the $2.5 billion Hyundai/SK EV battery plant in Cartersville, Georgia, a $1.1 billion prison in Elmore, Alabama, and the $1 billion Microsoft data center in Mount Pleasant, Wisconsin.

Residential

Residential building starts fell 6% in September to a seasonally adjusted annual rate of $394 billion. Single family starts gained 1%, while multifamily starts lost 17%. On a year-to-date basis through September 2023, total residential starts were down 17%. Single family starts were 19% lower, and multifamily starts were down 12%.

For the past 12 months ending in September 2023, residential starts were 16% lower than in 2022. Single family starts were 22% lower, while multifamily starts were down 5% on a rolling 12-month basis.

The largest multifamily structures to break ground in September were the $385 million first phase of the South Pier Residential Towers in Tempe, Arizona, the $275 million first phase of the Casa Bella Condominiums in Miami, Florida, and the $260 million Chapel Block mixed-use development in Philadelphia, Pennsylvania.

Regionally, total construction starts in September fell in the Northeast, Midwest, South Atlantic and West regions, but rose modestly in the South Central.

Watch Chief Economist Richard Branch discuss September Construction Starts here.

September 2023 CONSTRUCTION STARTS

Sept23 Starts Graphs1

Sept23 Starts Graphs2

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Dodge Momentum Index Rises 3% in September Following August Decline

Institutional planning drives DMI higher, while commercial planning declines

HAMILTON, N.J. – October 6, 2023 The Dodge Momentum Index (DMI), issued by Dodge Construction Network, improved 3% in September to 182.5 (2000=100) from the revised August reading of 178.0. Over the month, the commercial component of the DMI fell 1%, while the institutional component increased 9%.

“Solid demand for data centers, life science labs and hospitals supported the uptick in nonresidential planning activity last month,” said Sarah Martin, associate director of forecasting for Dodge Construction Network. “While month-to-month trends can be volatile, year-to-date trends show an overall decrease in commercial planning, offset by more institutional projects entering the queue. If financial conditions improve in early 2024, steady planning activity should follow.”

Weaker office planning drove the commercial segment of the DMI down, while the acceleration in the institutional segment was supported by stronger education, notably life science buildings, and healthcare planning activity. Year over year, the DMI was 5% lower than in September 2022. The commercial segment was 12% below year-ago levels, while the institutional segment was up 12% over the same time period.

A total of 20 projects valued at $100 million or more entered planning in September. The largest commercial projects to enter planning included the $400 million Platform 16 office development in San Jose, California and the $230 million Waterford Millstone Data Center in Waterford, Connecticut. The largest institutional projects to enter planning included the $927 million UC San Diego Research Park in San Diego, California and phases three and four of the Kilroy Oyster Point Life Sciences Complex in San Francisco, California, valued at a total of $634 million.

The DMI is a monthly measure of the initial report for nonresidential building projects in planning, shown to lead construction spending for nonresidential buildings by a full year.

Watch Associate Director of Forecasting Sarah Martin discuss September’s DMI here.

September 2023 DODGE MOMENTUM INDEX

DMIGraphs 10.5

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