Industry pros are pursuing solutions to offset the issue in anticipation of increasing revenue opportunities.
By NKBA Editorial Staff
Persistent labor-related challenges continue to hamper kitchen and bath firms’ growth, even as the industry appears primed to enjoy healthy increases in revenue potential this year. However, K&B professionals are tackling these problems head-on and employing a variety of solutions to overcome them.
Industry professionals surveyed in the Q4 2023 NKBA/John Burns Kitchen & Bath Market Index (KBMI) report once again cited the rising cost and limited availability of skilled labor as their most serious concern. Remodelers report that they have been delaying projects due to a lack of skilled laborers and that labor constraints could continue to hinder expansion this year.
Concerns over labor shortages are being felt across the nation, but are most severe in the Midwest, according to the survey. Firms are taking on less work until there are enough skilled workers available for renovation projects.
In response to these persistent issues, nearly half (43 percent) of surveyed K&B firms say they are actively investing in solutions to overcome labor bottlenecks, with the building and construction sector leading the way (55 percent). Many companies report that they are developing apprenticeship programs and increasing their networking efforts to directly train and develop better relationships with skilled laborers.
One positive side effect has emerged from persistent labor shortages: they have provided a shock absorber against market volatility in the form of protective backlogs, which still average two months for K&B design firms.
Read more here about how Q4 market stability and early indicators of growth are inspiring optimism about the overall K&B industry outlook for 2024.
