Analysis Of The Influencing Factors Of The Labor Cost On The Construction Cost

Since 1996,the construction industry has maintained rapid development.According to the China Statistical Yearbook of 2011,the added value of construction industry in 2010 was 2671.44 billion yuan,accounting for 6.659% of GDP in that year,ranking fourth in the whole national economy.The scale of investment in fixed assets has expanded,increasing the demand for labor in the construction market,stricter engineering quality requirements,increased number of middle and senior skilled workers,increased basic living expenses of residents and rising wages have become a trend.All kinds of reasons have caused the construction industry labor costs to rise.This study finds that the macro factors such as the upward trend of national economy,high price level,improvement of social security system and increase of national demand have led to the continuous increase of labor cost in China.The characteristics of labor force in the construction industry mainly include the large age structure,low education level and large labor mobility.The labor supply and demand in the construction industry are seriously unbalanced,and the labor force is flowing from the construction industry to the tertiary industry.The increase of labor cost has a deep impact on project schedule management,cost management,quality management,safety management,risk management and enterprise competitiveness.In order to effectively cope with the increase of labor costs,we must take measures to deal with it from three aspects: government system,enterprise system and project management.The government should deepen the reform of the employment system,adjust the system of migrant workers and promote the industrialization of new buildings.Construction enterprises should strengthen labor cost control,coordinate and stabilize labor relations and improve project organization and management ability.The implementation process of project management should pay attention to the rational preparation of labor plan,training and assessment of labor force,and implementation of advanced construction technology and equipment.So as to reduce the adverse impact of labor cost growth on the development of the construction industry and ensure the sustainable and healthy development of the construction industry.