An agreement for a land transfer from the City of Detroit to Ilitch Holdings Inc., that enabled construction of a new arena for the Detroit Red Wings requires that 51% of the project’s construction workers must come from the city. That stipulation is creating a challenge for Ilitch, the owner of the Red Wings, due to a shortage of skilled tradespeople who live in the city.
Construction firms that fall short of the hiring goal can still work on the project, but must pay a fee or offer free training and provide instructors and equipment. Many construction workers move out of the city after they acquire skills to earn a better wage. Detroit’s mayor is considering offering low-interest loans on city-owned houses to try to retain construction workers.
The arena construction will create an estimated 5,500 jobs with nearly 2,800 of those workers needing to come from Detroit. The project could become a training ground for tradespeople who will be needed on other major projects in the area including blight removal, the M-1 rail project, and the planned New International Trade Crossing bridge that will span the river between Detroit and Windsor, Ontario.
Even if the local hiring requirement weren’t in effect, the arena project would be hard pressed to find enough laborers, carpenters, electricians, pipe fitters and other trades, with the region experiencing a labor shortage due to an aging workforce.
(http://win-semich.org/challenges-loom-to-fill-2800-construction-jobs-in-detroit/)
Related Stories
Urban Planning | Jul 7, 2016
Y Combinator project would build new city using new technology, urban policies
Zoning, property rights, building codes all could be re-imagined.
Green | Jul 6, 2016
U.S. healthcare system’s GHG emissions rise 30% in past decade
If U.S. healthcare were a country, it would rank 13th in GHG emissions.
Codes and Standards | Jul 5, 2016
State legislature fails to pass law to extend design-build for New York City projects
Would have allowed five city agencies to use alternate delivery method.
Energy | Jun 30, 2016
Energy Department partnership with CoStar Group will study sustainability impact on property valuation
Database will offer rich data set on energy-efficient buildings in the U.S.
Contractors | Jun 30, 2016
Chicago contractor found guilty of fraud on city’s requirement on minority-owned businesses
Alleged to have been sham business in bid to win city public works contract.
Codes and Standards | Jun 29, 2016
OSHA starts evaluation of construction industry noise standards
New studies indicate significant number of construction workers suffer hearing loss.
Seismic Design | Jun 28, 2016
ASTM International updates seismic risk standards
Expected to improve consistency of risk evaluation on commercial real estate transactions.
Codes and Standards | Jun 17, 2016
Feds publish framework for evaluating public-private partnerships
No single factor determines whether a project yields stronger benefit as a P3.
AEC Tech | Jun 17, 2016
Driverless cars could soon start impacting commercial, retail project design
Offsite parking and more space for valet parking lines are among the foreseeable changes.
Codes and Standards | Jun 17, 2016
Bay State moves toward single BIM protocol on state projects
Massport’s guidelines a step forward for integrated BIM initiative.
