It’s official. President Trump has won the inaugural election. Many citizens will hold their breath in anticipation of what’s to come. Especially for those in the realm of architecture and construction much will change with his major stimulus package proposal.
President Trump has revealed a $1 trillion infrastructure plan with a 10-year program for implementation. While both Trump and Clinton agreed that America’s roads and bridges need improvement, President Trump plans to invest at least twice as much into the project.
There’s a running debate on the surety of Trump’s infrastructure actions. Will it become actual policy or has it merely been part of his campaign strategy? We’ll find out.
GRAND SCALE INFRASTRUCTURE PLAN
Aside from the difference in dollar value, President Trump wants those dollars to come from the private sector instead of raising taxes. Realizing the extensive need for rebuilding, he got creative in building his budget numbers. It’s like a bond system for investors.
The plan is almost entirely funded by the private sector and could seriously benefit the American public. The plan would include repairing roads, bridges, highways, airports, waterways and more. Despite the national improvements, many fear the repercussions of placing so much power into private hands.
Since it’s a bond system and not a clean cut donation, the investors expect to be repaid. The ways this happens is with tolls on highways and bridges. This is where people get squeamish. But then, no one is excited about paying more to drive.
If all goes as planned, the huge investment will provide an abundance of jobs. Industry leaders hope it will be a smooth process for the infrastructure bill and help compensate for the deportation plan.
THE SKILLED WORKER GAP
Though the infrastructure plan promises abundant work opportunities, President Trump’s stance on illegal immigrants has caused many to worry. He has vowed to round up the illegal workers and ship them back across the border. According to government statistics, there are 11 million immigrants and about 6.8 million are illegally employed.
The American Action Forum analyzed how a sudden subtraction of 7 million workers would shock businesses. Millions of jobs will be unfilled. They predict a GDP collapse ranging from $400 to $600 billion in production.
The costs of construction have already been increasing due to a lack of skilled trade workers. The social pressure to earn a four-year degree combined with the negative stigmas of the blue collar worker have created a void. It has resulted in a phenomenon commonly referred to as the “Skills Gap.”
This gap and need for skilled workers puts employers in the drivers’ seat. It’s important to search for solutions before the labor lack grows. The UK Commission for Employment and Skills conducted a recent study, “Growth Through People.” They made several growth suggestions for cultivating more high-performance workers. Within their comprehensive review of the labor market, the evidence and analysis supports the usefulness of the following ideas:
- More vocational pathways to work
- Employers should lead in improving skill levels
- Establish more apprenticeships
- Integrate work experience further in education
- Make hands-on experience a priority
BRACING FOR NATIONAL IMPACT
For now, it’s important to thoroughly understand Trump’s deportation plan. Knowledge is power, and planning ahead is key. Armed with the knowledge of what may be, business owners can make clear decisions to brace themselves for the economic impact.