Increase in labor force in Brazilian construction industry has broken the record in 2011. And many of the constructions for the 2014 World Cup have not started yet. Industry forecasts that constructions for the World Cup will start in 2012.

Expenses with labor grew 10.22% from January to August. It is the first time since 2008 — when the calculation of the indicator was changed — that the growth percentage of national average labor costs reaches two digits.

“This is, by far, the indicator that has led the increase in global costs of construction in the past months. The issue has become the sector’s main concern,” says CBIC (Brazilian Construction Industry Board) economist Luís Fernando Mendes.

The reason is simple. The industry demobilized labor in the long period of scarce projects. Now many fronts demand workers.

The increase in families’ income stimulated small constructions, the so-called “puxadinhos” (small homes).

Credit offer made home construction surge again, boosted by Minha Casa, Minha Vida program. Infrastructure constructions listed in PAC got off the ground. Stadiums, sanitary infrastructure and urban transportation for the World Cup are also in line to begin.

Civil construction employs 2.5 million formal workers today. Estimates show that there are 1.5 million informal workers.

Today the medium wage of civil construction workers in Brazil is R$ 1,398.80, according to the IBGE. In São Paulo city, the minimum salary for non-qualified workers is R$ 910.80 and R$ 1,086.80 for those qualified.

But income is already higher. Director of Economy of SindusCon-SP Eduardo Zaidan says there are master builders earning between R$ 12,000 and R$ 18,000 in São Paulo, and bricklayers making between R$ 4,000 and R$ 5,000 a month.


A research disclosed yesterday by CBIC and CNI (Confederação Nacional da Indústria) [National Confederation of Industry] shows that shortage and costs of labor are bottlenecks that can impair World Cup constructions.

“The industry is training a lot of people, but we stayed in the same place for ten years. The sector is experiencing a new cycle now, that will probably last ten years,” says CNI Executive-Manager Renato Fonseca.

In face of the situation, delays in World Cup constructions “came in handy.” Mendes, of CBIC, says the construction industry would not be able to meet the demand. 

Source: Folha

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