The \u201cregional disparity\u201d between major general contractors in the Tokyo metropolitan area and regional construction companies is widening. Furthermore, there is a marked trend toward widening \u201cdisparities between companies\u201d even within the same region. Under these circumstances, it has become clear that construction management engineers are leaving regional areas in droves to seek employment in the Greater Tokyo Area (Tokyo, Kanagawa, Saitama, and Chiba), lured by higher design labor rates.<\/p>\n
It is no exaggeration to say that securing construction management engineers is the lifeline of major general contractors\u2019 business strategies. Will regional construction companies be able to prevent the exodus and turnover of construction management engineers and ensure their survival?<\/p>\n
While the topic of restructuring among regional general contractors has recently come to the forefront, this article focuses on the \u201cregional disparities\u201d between major general contractors in the Tokyo metropolitan area and regional construction firms, and reports on the reality of construction management engineers leaving regional areas to seek employment in the Tokyo metropolitan area (Tokyo, Kanagawa, Saitama, and Chiba).<\/p>\n
According to a survey by the Japan Construction Industry Association (abbreviated as Zenken), the number of cities, towns, and villages without member companies of the association is increasing. Since member companies of the Japan Construction Industry Association serve as \u201cguardians\u201d of their communities by carrying out disaster recovery and snow removal operations, this effectively means that so-called \u201cdisaster response gaps\u201d are expanding.<\/p>\n
Of the 1,741 municipalities nationwide, 188\u2014or 10.8 percent of the total\u2014have no member companies of the Japan Construction Industry Association. Twenty-six of the 47 prefectures have municipalities with no member companies. Furthermore, the number of municipalities where there is a \u201cconcern that member companies of the Japan Construction Industry Association will no longer be present in the future\u201d amounts to 72 municipalities\u20144.1 percent of the nation\u2019s 1,741 municipalities. Given the recent increase in major disasters across Japan, the expansion of \u201careas with gaps in disaster response\u201d is an urgent and alarming situation.<\/p>\n
Now, regarding this data from the Japan Construction Industry Association, I once conducted interviews with industry insiders about \u201careas with gaps in disaster response.\u201d My initial goal was to investigate each region\u2019s \u201cdisaster response capacity,\u201d but as I listened to what the industry insiders had to say, the relationship between the salaries of construction management engineers and \u201cdisaster response capacity\u201d became increasingly clear.<\/p>\n
The following are accounts from local construction companies, specialized contractors, and municipal contracting authorities in the Hokuriku region that are members of the National Federation of Construction Contractors' Associations. For ease of reading, I have summarized them in bullet points.<\/p>\n
\u25a0With work concentrated in the Greater Tokyo Area (Tokyo, Kanagawa, Saitama, and Chiba) and disaster-stricken areas affected by the Great East Japan Earthquake (Miyagi, Fukushima, and Iwate), regional construction companies are being left behind when it comes to the benefits of Abenomics.<\/p>\n
\u25a0 Harusada Kondo, chairman of the Japan Construction Industry Association, has also said, \u201cThings are good only in Tokyo.\u201d<\/p>\n
\u25a0The wage gap with the Tokyo metropolitan area is widening, leading to an exodus of construction management engineers from regional construction firms to the Tokyo metropolitan area.<\/p>\n
\u25a0Far from being able to recruit new employees, it\u2019s even difficult to maintain the current number of construction management engineers.<\/p>\n
\u25a0Since we are heavily dependent on public investment, we hope the national and prefectural governments will award contracts for public works projects that can ensure profitability every year.<\/p>\n
\u25a0Since the Hokuriku region is prone to heavy snowfall, there is a lot of work involved in snow removal; however, because snow removal is not very profitable, many skilled workers leave for the Tokyo metropolitan area to find work during the winter. *The profitability rates for snow removal are as follows: Ministry of Land, Infrastructure, Transport and Tourism (MLIT) 49%, prefectures 43%, and municipalities 30%.<\/p>\n
\u25a0Many skilled construction workers, having learned firsthand about the wage disparities between the Greater Tokyo Area (Tokyo, Kanagawa, Saitama, and Chiba) and the areas affected by the Great East Japan Earthquake (Miyagi, Fukushima, and Iwate) while working away from home, end up settling permanently in the Greater Tokyo Area or the Tohoku region.<\/p>\n
\u25a0With fewer people leaving their hometowns to work elsewhere, the number of skilled construction workers who work on construction sites during the day and at convenience stores at night has increased.<\/p>\n
\u25a0If the disparity between regional areas and the Tokyo metropolitan area widens, the exodus of skilled workers will continue unabated.<\/p>\n
\u25a0 I want the national and prefectural governments to increase public works projects.<\/p>\n
\u25a0As a result of curbing the hiring of technical staff during the \u201cice age\u201d of public works projects, the supervisory skills of project managers were no longer passed down.<\/p>\n
\u25a0There is a strong sense of crisis that, even if public works projects increase in the future, there will be a shortage of staff capable of overseeing them.<\/p>\n
\u25a0Unless we secure staff who have obtained the Construction Management Engineer certification, our prefecture will also face difficulties.<\/p>\n
\u25a0Public works investment in this prefecture peaked in fiscal year Heisei 8. Compared to fiscal year Heisei 26, it was down 51 percent.<\/p>\n
\u25a0Local construction companies are the ones we rely on for snow removal and disaster recovery, so public works investment is necessary for that reason as well.<\/p>\n
\u25a0We are urging the national government to reach a political solution aimed at expanding funding for public works projects.<\/p>\n
In other words,<\/p>\n