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Booming Island construction industry highlights lack of skilled labour

Mar 6, 2017 | 7:32 PM

NANAIMO — As Vancouver Island’s construction industry continues to steamroll ahead, an industry insider predicts a lack of skilled labour will remain an issue.

The Vancouver Island Construction Association (VICA) reported nearly $2 billion worth of total permit values across its regions in 2016 and the carry-over is expected to lead to a three per cent increase in construction jobs this year.

“We’re going to be looking at a trade deficit over the next couple of years,” Rory Kulmala, VICA chief executive officer, said. “A lot of our members are working on programs bringing young, energetic people into the trades. It’s a challenge, especially when we’re going at 110 per cent right now, right across the island.”

Kulmala said having people opt to stay home instead of going to Alberta’s oil patch has been an opportunity to “bolster the labour pool.”

Past VICA CEO Greg Baynton told NanaimoNewsNOW in November “members would take on more work because it’s available, but they’re having a hard time finding the skilled people they need.”

A VICA year-end report showed the Nanaimo regional district accounted for $318 million worth of permit value, mainly driven by residential activity. The 1,456 residential units in 2016 was a 33 per cent increase over the year before.

“There is a migration for people shifting from Vancouver, I think we’re seeing the influence of the Vancouver real estate market,” Kulmala said. “Vancouver people selling and moving over to the island, so I think just based on building, that’s probably what we’re seeing happening.”

While the reported referenced challenges for the construction industry moving ahead, “from higher costs and reduced affordability for first-time buyers,” Kulmala said a growing population and economy should continue to drive “heavy demand.”

-with files from Dominic Abassi

 

daryl.major@jpbg.ca