Recommendations for Labor Cost Surveys | Standardization in the Construction Industry

Hello, everyone.

This is Enta.

Quotes keep coming in one after another—it's quite a challenge, isn't it?

We've already received a quote for work next June...

Hmm... Something's off...


But that's beside the point.

The other day, I went to conduct a labor cost survey.

Just like every year, this is such a huge hassle, lol.

Labor Cost Survey 2019

At a small company like ours, the number of people is limited, so it’s over in a flash—which is nice—but it must be tough at places with a lot of staff.

I'll probably choose a job where I have to be on-site as little as possible.

That way, it'll be a little easier to prepare the documents.

 

One tip to avoid getting called out is to bring all the necessary documents with you. (That’s the bare minimum, though lol.)

Bring the documents that have already been submitted to the government office (Labor Standards Inspection Office), such as the Work Rules (Irregular Work), payroll records, and the company calendar.

Basically, it’s better if the official seal is clearly stamped on it.

If you haven't filed the required notification, you might be viewed with suspicion, and authorities may start checking that area to verify consistency.

It can take a really long time, especially if you end up with someone who isn't used to labor cost audits.

 

I suppose there’s nothing I can do about it since I can’t choose my inspector, but I once ended up with an inspector who was incredibly slow.

Since that person was conducting the labor cost audit while referring to the manual, they proceeded in the order specified in the manual.

Even after 30 minutes, I haven't even gotten halfway through.

After about 40 minutes, just as I was getting impatient, right in front of me,

The representative of the general contractor, who was completely at his wit’s end, said to the inspector next to him, “You’ve got to help out too! We’ll never finish at this rate!”

While I was still in the middle of my treatment, about five people next to me were finishing up in no time at all~

In the end, there weren't any issues with incomplete paperwork or anything—it was just that the person in charge was inexperienced.

 

Although situations like this do arise, if you simply state the current situation using the actual figures in the documents, you can complete them in about a day.

It's a hassle, but since I work for the government, it's something I have to do.

This surveyDirectly impacts future labor cost ratesI'll keep doing that.

Labor costs have been on the rise recently, but so far, this hasn't been reflected in workers' wages to any significant extent.

 

Prices have been rising steadily, but the impact on wages has been gradual so far.

I think government agencies would like to see this, too.

I hope they’ll clearly show the current situation and ensure that labor costs rise further so that workers can truly benefit from it—especially those who are capable!

People tend to think of it as an industry where salaries are low to begin with.

Up, Up!

In order to further raise wages in the construction industry, it is necessary for general contractors to work hard to turn a profit.

As subcontractors, we can only exist if the general contractor makes a profit.

And,Subcontractors must never suffer losses or operate at a deficit.(Must not be allowed)

Since subcontracting is directly linked to the workforce, I’ll go so far as to say “absolutely.”

Losses at subcontractors are immediately reflected in workers' wages. (Of course, the company probably has some leeway.)

When using subcontractors, please take these factors into consideration as well.

If general contractors think that "cheaper is better"—and I'm not referring to the recent discussion about general contractors—then sooner or later, subcontractors will disappear.

 

This might be a bit of a leap from the topic of labor cost audits, but the point is that these audits are also a forum where your company’s payroll practices are laid bare.

The annual labor cost survey is a very important event, so please be sure to participate fully.

 

It seems there are a few places here and there that just pass around postcards from the general contractor without accepting them, but you really shouldn't do that!

And since you’re going to the trouble of taking it, please make sure to prepare thoroughly so that it serves as a useful resource.

It's easy if you follow the manual. Be careful, though, because documents without a seal may be deemed invalid.

 

See you later.

↑Survey on Labor Costs in Public Works Projects↑

↑Trends in Labor Unit Rates for Public Works Design by Job Category↑

↑New Labor Rates Reach Highest Level Since Announcement! Ministry of Land, Infrastructure, Transport and Tourism↑

Leave a comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.