Posted February 24, 2019 11:13:30When Acme Capital Construction Supply decided to build a new house, it had to make a few sacrifices.
First, it’d need to pay the construction company a little more than $2 million.
That would put a lot of strain on a company that’s already struggling with rising labor costs and a growing workforce.
But the company also had to keep the new house from going to auction, since its current price tag was $1.5 million.
The house will go on the market in the fall.
The second concession is that Acme is going to have to pay for a new, higher-paying job.
That’s because the construction industry is booming.
The U.S. economy has grown by more than 5 percent in the past five years, and its unemployment rate is at a record low of 5.5 percent.
In 2020, about a third of U. S. workers are expected to be out of the labor force.
But with the housing market heating up, some economists say the need for a higher wage will only increase.
The U.K. has the highest per capita income in Europe, and that’s largely due to its high-skilled labor market.
So the housing industry in the U.k. is also booming.
But while it’s possible that AcME will make a profit by selling the house, there’s little doubt the construction work will take a hit.
Acme said in a statement it’s looking to reduce its labor costs while building the new home.
That includes hiring additional workers to fill construction jobs and lowering its payroll.
AcME said it is working to find ways to reduce labor costs as the industry matures and construction grows.
In 2019, Acme reported a profit of $1,829 per employee.