The construction industry cannot be ignored by emerging countries. Mexico is no exception in this call and, in the specific case of housing construction, it can be a multiplier of jobs, the organization warns. Habitat for Humanity.
“Investing in residential construction represents a potentially win-win situation in emerging markets because it creates a lot of jobs locally, helps close persistent gaps in affordable housing, and stimulates the overall economy,” says Patrick Kelley, vice president. Terwilliger Habitat Center, within the framework of the World Habitat Day.
Read: Construction requires investment to reactivate
In the world, construction accounts for more than 250 million workers, that is, 7.7% of total employment; while for every million dollars invested in construction products an average of 97 jobs are created in emerging markets, according to the report “A Ladder Up: The construction sector’s role in creating Jobs and rebuilding emerging market economies”, produced by Habitat for Humanity’s Terwilliger Center for Housing Innovation.
In Mexico, the residential segment represents more than 80% of building construction.
This sector also benefits the income of the population with basic studies. In Brazil and Mexico, the average income of construction workers is slightly above the general average and it is similar to the average income in Colombia.
The income of workers with barely a primary education earn around 40% more than the average workforce in these two countries.
Although they are not well paid, construction workers generally earn higher wages than workers with similar levels of education in other industries, according to the report presented by Habitat, focused on 9 countries: Brazil, Colombia, India, Indonesia, Mexico, Peru, the Philippines, South Africa, and Uganda, with a greater emphasis on the building construction subsector, particularly residential ones.
“These findings are of vital importance for low- and middle-income countries that are deciding which areas to prioritize as they work to rebuild their economies weakened by the Covid-19 pandemic; in particular, in a world where 1.6 billion people still lack decent housing, ”says Patrick Kelley.
However, construction, as one of the 14 economic sectors followed by the International Labor Organization (ILO), with greater imbalances in terms of participation by gender, and that is that only 7% of construction workers are women, which collaborate “low qualification positions”, such as the transport of materials.
In this sense, the study explains that there are opportunities to support organizations and training programs that can improve the position of women in the construction industry, which it is among the 10 most important economic sectors.