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Abstract-Shortage of Skilled Labour in Construction Industry of Sri Lanka

Prasan Premathilaka
Prasan Premathilaka

The document summarizes a study on the shortage of skilled labor in the Sri Lankan construction industry. It finds that the main causes of shortage are inadequate training programs, workers seeking higher wages abroad, and lack of skills in the existing workforce. The top effects are delayed projects, poor quality work, and lower productivity. Surveys of professionals and laborers reveal that improving training, increasing wages, and developing career opportunities could help address the shortage. The study concludes that action is needed to strengthen training institutions and incentivize workers to remain in the local industry long-term.

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Shortage of Skilled Labour in Construction Industry of Sri Lanka Basnayake.L.K, Premathilake.R.P.M.M, Dr.Dissanayake.P.B.G. Keywords: skilled labour, shortage, construction industry, Sri Lanka 1. Introduction 1.1 General Background Construction industry is the fourth highest sector in Sri Lankan economy. But according to past researches there are challenges to overcome with the construction industry of Sri Lanka. The construction industry is heavily dependent on the adequate supply of a skilled labour force, and as a result the skilled Labour shortage in the Sri Lanka has received considerable attention in recent years. 1.2 Objectives To investigate extent of the skill labour shortage in Sri Lanka. To investigate causes for the shortage of skilled labour in construction industry of Sri Lanka. To find out the consequent effects due to the shortage of skilled labour. To propose suitable mitigation methods to overcome the shortage of skilled labour. 2. Literature Review Several studies have been done in Sri Lanka on Shortage of Skilled Labour in Construction Industry of Sri Lanka. Praveen et al conducted a research on Understanding and Mitigating the Effects of Shortage of Skilled Labour in the Construction Industry of Sri Lanka. According to them the most significant causal factor for skilled labour shortage is inadequate number of trained personnel and resulting effect is time over-run of construction projects. This study also revealed that Increasing the wages as the most important mitigation measure to overcome this problem. McKenzie et al. reveals that the construction industry is heavily dependent on the adequate supply of a skilled labour force. The perception of the construction industry to the skills shortage response strategies identified was investigated through a one-page postal questionnaire survey sent to 130 construction organizations. Finally it concludes that For long term training plans to be successful the industry must ensure that there is an adequate supply of people entering and encouraged to remain in the industry. 3. Methodology 3.1 Survey Method Questionnaire Survey Two types of questionnaires were prepared. First one was targeting administrative and professional level. This questionnaire was filled by them. 150 questionnaires were sent by email, post, and by hand distribution and through face to face interviews. A pilot survey was conducted before sending the final questionnaire targeting 10 key persons from the industry in order to get their feedback to fine tune the questionnaire. Both the snowball sampling and the random sampling methods were adopted in selecting the sample size. For the questionnaire survey the contact details were obtained from the IESL, Institution of Architects and Institution of Quantity Surveyors etc. The other questionnaire was prepared for targeting the laborers. This questionnaire was filled by us in most cases after conducting face to face interviews with the skilled laborers. This survey sample comprised with 55 no. of skilled laborers. In order to obtain a high response rate confidentiality was kept at its maximum and was avoided asking for personal details. 3.2 Analytical Method Frequency Index was used to determine the frequency of occurrence of a certain event. Severity Index was used to rank the factors according to the severity. Relative Important index was used to rank the factors in ascending order. Spearman Rank Correlation was used to determine whether there is any correlation between two factors. SPSS and Microsoft Excel were used to find correlations among certain factors. 4. Results and Discussion Engineer QS TO Archetectemployment Client Consultant Contractor catogory type
Fig.01: Distribution of respondents Table 01. Results from the Professional Level Questionnaire Type of index Analyzed factor Obtained value Reasons Relative Important index Inadequate supply from training institutes 60.05 Seeking foreign employments 57.96 Inadequacy skills in the available labour force 57.66 Effects Relative Important index Delay in project duration 64.92 Poor Quality of work 58.43 Less labour productivity 56.83 Mitigation Important index Arranging seminar/training programs through ICTAD/IESL 95.38 Creating a healthy and safe working environment 91.54 Provide a proper certificate of service 89.23 Table 02. Spearman's Rank of Correlation among involved parties Type Correlation Coefficient Causes Effects Mitigation Measures Client vs consultant 0.65 0.25 0.59 Client vs contractor 0.82 0.18 0.45 Consultant vs contractor 0.67 0.51 0.31 Engineer vs Architect 0.87 0.62 0.79 Engineer vs QS 0.68 0.03 0.74 Engineer vs TO 0.54 0.18 0.55 Architect vs QS 0.85 0.41 0.80 Architect vs TO 0.73 0.30 0.53 QS vs TO 0.61 0.54 0.36 Fig. 02. Distribution of Labour Sample Table 03. Results from the Labour feedback survey Item Percentage Gender Male 100% Age Above 35 Yrs. 58% Work Experience 0-5 Years 30% 5-10 Years 42% More Than 10 Yrs. 28% Satisfaction Salary 42% Job 80% No Of Leaves 100% Work Load 92% Training Trained Before 42% Need Further Training 48% Wish To Work In Abroad 54% Wish To Continue The Same Occupation 74% 5. Conclusions According to the analysis, the lack of supply of training institutes is the main reason for the shortage of skilled labour in construction industry of Sri Lanka. Apart from that the lack of skills in the current workforce and skill drain towards foreign countries expecting higher salaries could be identified as casual factors. Due to the shortage of skilled labour, poor quality of works could be identified as the most severe effect. Other than that delay in construction and less labour productivity are identified as the adverse effects of shortage. According to the labour feedback survey seven critical issues, namely (i) Low wage relative to other countries (ii) Inadequate training (iii) skills drain (iv) less work experience (v) carrier shifting (vi) negative social attitude towards the skilled labors and (vii) wastage of female skills without contributing to the economy are influenced for the shortage of skilled Labour in construction industry of Sri Lanka. References 1. Jayawardana.A.K.W. and Gunawardana. N.D. Labour market issues of Managerial and Supervisory personnel in the construction industry -A case study in Sri Lanka. Annual Transaction of IESL 2003:24-31 2. MacKenzie.S , Kilpatrick. A. R. & Akintoye. A UK construction skills shortage response strategies and an analysis of industry perceptions 3. Praveen.R, Niththiyananthan.T, Kanarajan.S Understanding and Mitigating the Effects of Shortage of Skilled Labour in the Construction Industry of Sri Lanka Annual Transaction of IESL 2011: 239-247 Pvt. Govt. Semi Govt. company type C1 C2 C3 Others ICTAD grade Heavy Equipment Operators Masons Carpenter Bar Bender Rigger Electrician Signalman Plumbers

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Abstract-Shortage of Skilled Labour in Construction Industry of Sri Lanka

  • 1. Shortage of Skilled Labour in Construction Industry of Sri Lanka Basnayake.L.K, Premathilake.R.P.M.M, Dr.Dissanayake.P.B.G. Keywords: skilled labour, shortage, construction industry, Sri Lanka 1. Introduction 1.1 General Background Construction industry is the fourth highest sector in Sri Lankan economy. But according to past researches there are challenges to overcome with the construction industry of Sri Lanka. The construction industry is heavily dependent on the adequate supply of a skilled labour force, and as a result the skilled Labour shortage in the Sri Lanka has received considerable attention in recent years. 1.2 Objectives To investigate extent of the skill labour shortage in Sri Lanka. To investigate causes for the shortage of skilled labour in construction industry of Sri Lanka. To find out the consequent effects due to the shortage of skilled labour. To propose suitable mitigation methods to overcome the shortage of skilled labour. 2. Literature Review Several studies have been done in Sri Lanka on Shortage of Skilled Labour in Construction Industry of Sri Lanka. Praveen et al conducted a research on Understanding and Mitigating the Effects of Shortage of Skilled Labour in the Construction Industry of Sri Lanka. According to them the most significant causal factor for skilled labour shortage is inadequate number of trained personnel and resulting effect is time over-run of construction projects. This study also revealed that Increasing the wages as the most important mitigation measure to overcome this problem. McKenzie et al. reveals that the construction industry is heavily dependent on the adequate supply of a skilled labour force. The perception of the construction industry to the skills shortage response strategies identified was investigated through a one-page postal questionnaire survey sent to 130 construction organizations. Finally it concludes that For long term training plans to be successful the industry must ensure that there is an adequate supply of people entering and encouraged to remain in the industry. 3. Methodology 3.1 Survey Method Questionnaire Survey Two types of questionnaires were prepared. First one was targeting administrative and professional level. This questionnaire was filled by them. 150 questionnaires were sent by email, post, and by hand distribution and through face to face interviews. A pilot survey was conducted before sending the final questionnaire targeting 10 key persons from the industry in order to get their feedback to fine tune the questionnaire. Both the snowball sampling and the random sampling methods were adopted in selecting the sample size. For the questionnaire survey the contact details were obtained from the IESL, Institution of Architects and Institution of Quantity Surveyors etc. The other questionnaire was prepared for targeting the laborers. This questionnaire was filled by us in most cases after conducting face to face interviews with the skilled laborers. This survey sample comprised with 55 no. of skilled laborers. In order to obtain a high response rate confidentiality was kept at its maximum and was avoided asking for personal details. 3.2 Analytical Method Frequency Index was used to determine the frequency of occurrence of a certain event. Severity Index was used to rank the factors according to the severity. Relative Important index was used to rank the factors in ascending order. Spearman Rank Correlation was used to determine whether there is any correlation between two factors. SPSS and Microsoft Excel were used to find correlations among certain factors. 4. Results and Discussion Engineer QS TO Archetectemployment Client Consultant Contractor catogory type
  • 2. Fig.01: Distribution of respondents Table 01. Results from the Professional Level Questionnaire Type of index Analyzed factor Obtained value Reasons Relative Important index Inadequate supply from training institutes 60.05 Seeking foreign employments 57.96 Inadequacy skills in the available labour force 57.66 Effects Relative Important index Delay in project duration 64.92 Poor Quality of work 58.43 Less labour productivity 56.83 Mitigation Important index Arranging seminar/training programs through ICTAD/IESL 95.38 Creating a healthy and safe working environment 91.54 Provide a proper certificate of service 89.23 Table 02. Spearman's Rank of Correlation among involved parties Type Correlation Coefficient Causes Effects Mitigation Measures Client vs consultant 0.65 0.25 0.59 Client vs contractor 0.82 0.18 0.45 Consultant vs contractor 0.67 0.51 0.31 Engineer vs Architect 0.87 0.62 0.79 Engineer vs QS 0.68 0.03 0.74 Engineer vs TO 0.54 0.18 0.55 Architect vs QS 0.85 0.41 0.80 Architect vs TO 0.73 0.30 0.53 QS vs TO 0.61 0.54 0.36 Fig. 02. Distribution of Labour Sample Table 03. Results from the Labour feedback survey Item Percentage Gender Male 100% Age Above 35 Yrs. 58% Work Experience 0-5 Years 30% 5-10 Years 42% More Than 10 Yrs. 28% Satisfaction Salary 42% Job 80% No Of Leaves 100% Work Load 92% Training Trained Before 42% Need Further Training 48% Wish To Work In Abroad 54% Wish To Continue The Same Occupation 74% 5. Conclusions According to the analysis, the lack of supply of training institutes is the main reason for the shortage of skilled labour in construction industry of Sri Lanka. Apart from that the lack of skills in the current workforce and skill drain towards foreign countries expecting higher salaries could be identified as casual factors. Due to the shortage of skilled labour, poor quality of works could be identified as the most severe effect. Other than that delay in construction and less labour productivity are identified as the adverse effects of shortage. According to the labour feedback survey seven critical issues, namely (i) Low wage relative to other countries (ii) Inadequate training (iii) skills drain (iv) less work experience (v) carrier shifting (vi) negative social attitude towards the skilled labors and (vii) wastage of female skills without contributing to the economy are influenced for the shortage of skilled Labour in construction industry of Sri Lanka. References 1. Jayawardana.A.K.W. and Gunawardana. N.D. Labour market issues of Managerial and Supervisory personnel in the construction industry -A case study in Sri Lanka. Annual Transaction of IESL 2003:24-31 2. MacKenzie.S , Kilpatrick. A. R. & Akintoye. A UK construction skills shortage response strategies and an analysis of industry perceptions 3. Praveen.R, Niththiyananthan.T, Kanarajan.S Understanding and Mitigating the Effects of Shortage of Skilled Labour in the Construction Industry of Sri Lanka Annual Transaction of IESL 2011: 239-247 Pvt. Govt. Semi Govt. company type C1 C2 C3 Others ICTAD grade Heavy Equipment Operators Masons Carpenter Bar Bender Rigger Electrician Signalman Plumbers