THE RELATIONSHIP OF SKILLED LABOUR SHORTAGES AND PROJECT PERFORMANCE IN CONSTRUCTION INDUSTRY: A CONCEPTUAL FRAMEWORK

Abstract

The construction industry is recognised as one of the major economic sectors that significantly contribute to socio-economic development. However, the skilled labour shortage is one factor that affects the success of projects in the construction industry. Therefore, this paper aims to study the effects of skilled labour shortages on construction project performance. A questionnaire survey was conducted with 42 construction practitioners. The hypotheses were tested by using a Partial Least Square (PLS) method. The results indicate that project-related factors and human capital factors affecting skilled labour shortages in construction projects and skilled labour shortages have affected construction projects’ performance. This finding’s implication is useful for construction industry players by better understanding successfully managing construction projects.