European funds squeeze construction companies: there are no professionals for so many reforms

European funds, the so-called manna after the pandemic, are beginning to strain planning and workforces in the construction sector.

Thomas Osborne
Thomas Osborne
01 February 2023 Wednesday 20:41
21 Reads
European funds squeeze construction companies: there are no professionals for so many reforms

European funds, the so-called manna after the pandemic, are beginning to strain planning and workforces in the construction sector. Construction companies have a hard time finding staff to take on the new projects that come in, which are expected to increase in parallel with the arrival of more European aid. The call for the rehabilitation of housing in charge of the Next Generation will open in the Valencian Community in the month of March.

"In general, the construction companies have a high demand, you ask them for a work and they give you a fairly long term, we have been living it since the end of the covid, because the post-covid was crazy in the reforms and right now the demand is quite high", he explains Mercedes Navarro, architect from the Goserde Navarro studio, one of the first two that have already applied to become collaborators for the processing of subsidies for the reform and rehabilitation of buildings and homes with Next Generation subsidies in the Valencian Community. In 2022 they already were.

Added to the avalanche of reform projects is the lack of personnel, which is very evident for the construction companies. "Between the fact that there is no staff and that not all companies know how to do comprehensive reform work to improve energy efficiency, there are still fewer options," explains Navarro.

The sector experienced a strong shock after the 2008 financial crisis, which is why now many companies have had to rebuild their workforces and it is not easy, they warn. This is also explained by the president of the Federation of Public Works Contractors of the Valencian Community (Fecoval), José Luis Santa Isabel, who warns that "there is a lack of planning to make investments ordered over time", because the deadline requirements imposed by Europe are to generate added problems: "It does not suit anyone like this," he assures La Vanguardia. The sector continuously trains workers, between 50,000-70,000 each year, he points out, but some 200,000 professionals would be needed to assume the entire workload.

For example, the Neighborhood Plan agreed between the Generalitat Valenciana and 23 municipalities, through the Second Vice Presidency and Department of Housing and Bioclimatic Architecture, will allocate 142,848,665 euros to the rehabilitation of vulnerable neighborhoods, a total of 7,158 homes.

Yesterday the Renhata 2023 Housing Interior Reform Plan was presented, which also puts a total of six million euros into circulation for this type of reform. Last year there were 2,255 applications, almost 50% more than in the 2021 financial year, explained yesterday the vice president and minister Hèctor Illueca, who estimated the aid granted since the plan was activated in 2017 at 24 million euros.

"This year we will be able to help more families who realized their housing deficiencies during the pandemic, but in this challenge we cannot leave anyone behind, so we will give priority to projects with sustainability criteria," said Illueca. The subsidized amount will also depend on the degree of dependency of the residents of the dwelling.

President Ximo Puig also participated in the presentation, who explained that the plan promotes activity in economic sectors such as construction and, in particular, in ceramics and other gas-intensive sectors that have been affected during the pandemic and the energy crisis.