Written evidence submitted by Mark Stride, Subashini Suresh and Suresh Renukappa

(University of Wolverhampton) (COV0118)

The impact of Covid-19 on the UK construction industry

Mr Mark Stride, Dr Subashini Suresh, and Dr Suresh Renukappa

Faculty of Science and Engineering
University of Wolverhampton
United Kingdom

Executive summary:

 This written evidence provides a richer insight into the understanding and awareness
of the impact of Covid-19 and the changes that the UK construction industry has had
to undertake in order to adhere to the lockdown rules while being productive. This
written evidence contributes towards informing policymakers on some lessons
learned from the management of the Covid-19 from the construction industry
perspective.
 In total, 13 semi-structured interviews from 10 construction organisations were
conducted to collect evidence, which was then analysed for conclusion and
recommendations.
 Five C’s (i.e. create culture, control systems, courageous decisions, and combat
mental health and care for employees) are recommended that have been recognised
and should be implemented to help employers and employees safely adapt to
workplace during and post-Covid-19 outbreak.

Brief introduction and reasons for submitting evidence:

This research team from University of Wolverhampton is currently exploring the

impact of Covid-19 outbreak on managing talent in the construction industry. During
these uncertain times, there are fears that key skills are lost, new recession might
happen, and the economic growth would slow down. Therefore, we see it as a
responsibility to help the sector move forward during and post-Covid-19 outbreak.

Written Evidence
1. Covid-19 has brought immediate unprecedented change to many construction
companies and their workplaces. The pandemic has drastically changed the way we
work, communicate and socialise leaving us with significant daily changes that would
need to be measured on an extraordinary scale. Some companies are more adept
than others continuing to work effectively but are still hampered by other
 organisations that delay their free-flowing motivation removing efficiency,
productivity and value for money whilst inevitably increasing the skills shortage. The
UK Governments’ ‘Construction 2025’ report noted that two-thirds of construction
contracting firms are not innovative and subsequently halting technological progress
within the sector. This is now prevalent, having a negative impact, as many site
products could have been prefabricated and installed onsite in accordance with
social distancing measures. Industry 4.0 is set to move forward rapidly. Industry 4.0
has been introduced in the UK as a term which describes the construction industry
moving onto a digital and automated environment. This article explores impact of
Covid-19 and the changes that the construction sector has had to undertake in order
to adhere to the lockdown rules while being productive.

2. Semi-structured interviews were carried out with 13 construction professionals from

10 companies. A range of both men and women who are employed in varied
positions including tradesmen, marketing managers, site/project managers, a
director and construction recruitment agents ensuring a full scope of opinions were
incorporated within this study to firstly understand what their experiences of Covid-
19 are, how companies are adapting, what organisations are planning for the future
and key learning points that could be adopted UK wide.

3. Overwhelmingly, all the interviewees explained that their companies had been
affected by the Covid-19 pandemic. Of the interviewees, 46% now temporarily work
remotely, 15% are still site based, 23% have been furloughed and 16% had lost their
job. However, 100% of the interviewees admitted their employers now have to deal
with significant cash flow issues and site delays. 77% of interviewees explained that
many of the delays were due to other parties including contractors, materials and
clients. An example was a company who had submitted three planning applications
to three different planning authorities. Two applications were granted, however, the
other was delayed by three months as the planning authority did not have the ability
to work remotely. Further to this, a site manger explained that there is a shortage of
materials meaning that there are significant lead times and therefore, has had to
leave site on multiple occasions to collect ‘essential’ building products to enable
works to continue, however, this has meant sites are then left unsupervised
increasing potential health and safety risks.

4. One of the interviewees admitted that 75% of their recruited staff has been laid off
by employers and warned of an increased skills shortage issues in the workplace, in
addition to this ‘The Princes Trust’ publicised that 43% of 16-25 year olds feel ‘it will
be harder than ever to get a job’ and three interviewees who work in new build
housing warned that they are expecting inevitable complaints from vendors who
have purchased properties but are delayed and will inevitably be further delayed as
re-employing skilled labour to sites will be difficult.
5. All the interviewees who were employed or furloughed agreed that their companies
had been exceptionally supportive during the lockdown period, offered reduced
hours when necessary, time off for family bereavements, reducing sales targets and
ensuring staff have relevant technology including laptops and mobiles whilst working
at home and further to this two companies have sent out Display Screen Equipment
(DSE) self-assessment forms. One of the interviewees, a director, explained that
there are processes that cover disasters in the current workplace and previous
organisations such as: IT breaches; exceptional financial issues; and major sickness
and therefore it enables companies to support their staff.

6. Three interviewees explained that there was confusion of the furlough regime
explaining that some staff were still working whilst being furloughed and four
interviewees who are working remotely and have children explained that home
schooling has been a challenge whilst trying to work, one interviewee explained that
they used to use the commute home to switch off from work. Two interviewees have
lost their jobs and therefore admitted to having personal money issues and two
interviewees explained that they think mental health issues will increase as people
are not physically contacting each other and will have an increased impact on those
who are not used to working from home. Another interviewee commented that it is
a struggle to keep in contact with the wider team, who the interviewee would see
daily, and commented that video technology could advance to have ‘coffee mornings
and drop-in sessions’ instead of constant formal meetings to allow people to catchup
in an informal manner. In conjunction to this Public Health England revealed that
84.2% of the UK public are worried about the effects of Covid-19.

7. Generally, interviewees have explained that teams have worked collaboratively to

ensure that projects are continuing albeit at a slower pace. There has been a huge
increase of video technology to communicate between teams and companies. One
of the interviewees explained that there company was using the technology to ease
mental health issues by having team meetings at the start and end of each day to
discuss any work or personal related issues, and 100% of employed interviewees
claimed that their companies were keeping in contact whilst updating all staff.
Remote working has also seen a huge saving as one company explained that an
average of 35,000 sheets of paper were printed per month, but only 1000 sheets
have been printed this month and will potentially remove a printer from the office.

8. Collaborative approach between employers, employees and contractors has meant

that companies can start planning and implementing policies to allow colleagues to
 start going back to their regular workplace. All employed interviewees claimed that
their companies were increasing social distancing within the offices by limiting staff
within communal areas, implementing one-way systems and increasing the use of
remote working. Three interviewees claimed that site managers would be checking
employees’ temperatures and further to this one interviewee have to fill out a daily
check form for each site member.

9. One interviewee, a site manager claimed that pre-fabrication is not used effectively,
and the company do not use modern methods of construction regularly, however,
through experience he claimed that it would allow sites to become more efficient,
using quicker methods, as it is easier to ensure that people are socially distancing in
the factories and on construction site.

10. In conclusion, as companies already have procedures in place for major issues that
hit the business it means that they are ready to support employees and the
workplace for the short term. However, the procedures are not bespoke and do not
cover issues including this unprecedented Covid-19 pandemic. Long term plans to
future proof the workplace and construction industry will now need to be designed
to improve the adaptation of industry 4.0, knowledge management and employee
welfare.

11. The following recommendations are drawn for the Government and the construction
industry to rethink and act on the following aspects to help employers and
employees safely adapt to workplace during and post-Covid-19 outbreak.

(i) Create culture: Companies must create safe remote working culture. 46%
of the interviewees explained that they had acceptable technology to
work remotely and there is a further 38% who will be reemployed into
the sector, but only two companies provided Display Screen Equipment
self-assessment forms. Therefore policies must change to ensure that
staff are working safely by advising employees how to sit correctly, have
appropriate chairs, the location and height of a ‘desk’ and the dangers of
trailing leads especially with children in the area.

(ii) Control systems: Access control systems are an essential method of

managing employees in an office/site. By using this management analysis
technology, companies can review how many employees are accessing
the areas and analysis can be completed to strategically plan which
essential employees are required. Construction sites can use this to deter
 the public from the sites, only let specific members on and plan which
trades need to be in specific areas of the sites.

(iii) Courageous decisions: A greater use of pre-fabrication must be used. Pre-

fabrication has many benefits, however, for this study, it allows products
to be made in safe factory conditions, transported to site, and installed
using less operatives. Site managers are leaving site to pick up materials
when their responsibility is onsite. This is a safer and more efficient
method of working, enabling workers to keep a safe distance from each
other and leaving site faster. Further to this, a materials ordering
system/software must be developed for all site materials including both
pre-fabricated and ancillary supplies to ensure that the lead times are not
extending, employees are not put at risk and can be delivered to site
more efficiently without delay. The Government need to help Micro,
Small, and Medium Enterprise’s to be more courageous and invest in
more efficient methods of working such as pre-fabrication
programming/ordering software and technology. By offering grants and
discounts to frameworks, it will give businesses more confidence to take
financial risks and become more profitable upon project completion.

(iv) Combat mental health: There has noticeably been an increase of mental
health issues as the UK Government and charities have publicised this,
however policies must be implemented to combat mental health and
wellbeing, infiltrating knowledge through employers by using E-learning
and video conferencing by participating in courses, liaising with mental
health first aiders and informally catching up with colleagues.

(v) Care for employees: One of the interviewees explained that they had
received a personal protective equipment (PPE) hamper to attend sites
and alternative offices. PPE should be the last method of protection;
however, care must be shown towards employees as they deserve
adequate safeguarding. Therefore, by delivering PPE hampers to
employees it will mean they have got it and it is ready to use when
needed and will not have to search through offices to find it.

May 2020