Will Civil Engineers Survive the Recession?

Civil engineers are among the least affected by the recession, with very few firms laying off their staff, and unemployment rates remaining low. This is because most civil engineering jobs are not as sensitive to economic conditions as other professions with defran software, since the civil engineer’s responsibilities extend beyond that of the project manager and architect.

However, there is still a possibility that some firms will lay off staff in an effort to decrease operating costs – especially those firms with a large number of employees; in these cases it is likely that architects will also be affected. A firm primarily engaged in construction activities may be forced to lay off its staff if revenues are insufficient to cover payroll expenses.

1. There are fewer jobs for civil engineers than before the recession.

Civil engineering jobs usually increase during times of economic growth, so the current downturn will likely result in a decrease in demand for civil engineers. Some firms could not complete projects with half or fewer staff because they had over-hired during the boom, and so they may be forced to lay off some of their staff.

However, there are still many projects that are currently underway and generating revenues. Civil engineers working on such projects will not be affected by the recession unless their project is canceled or delayed; this means that most civil engineers who work under contract will continue to enjoy steady employment throughout 2009.

2. Firms may have less money to pay civil engineers.

Firms that have not completed construction projects during the recession will not have much money to pay their staff; in such instances, civil engineers may be laid off. This is because contracting firms working on ongoing projects will continue to receive revenue from their contracts which they can use to pay their staff.

However, if a firm has completed projects with only half of its usual workforce and has accumulated a large amount of unused materials, it may use those materials for new contracts or new projects; this could result in an increase in construction activity.

3. Firms may lay off more staff than they originally planned to lay off.

Sometimes firms can overestimate the number of staff they will need to complete a project, and then end up with more staff than are needed. They will have to make changes to their workforce, but this may lead to a lower rate of employment.

This is because it is easier for a firm to just add more staff when it has extra money on hand than to retrench when money is tight.

4. Many civil engineers work on contracts rather than permanent jobs.

Civil engineers are employed by contracting firms that are often very large in scale; if such firms lay off employees, it will be a significant disruption because many of these civil engineers’ employees may not be able to find new jobs quickly and easily.

However, the engineering profession generally has sufficient unemployment insurance coverage to support laid-off civil engineers; this is because contracting firms’ contracts generally cover the staff they are hiring, so they will not be required to pay unemployment insurance.

5. There are still projects that are under way.

Civil engineers working on currently-underway projects may not be affected by this recession. There may be a temporary slowdown in demand for their services as contractors use postponed construction time to take advantage of price cuts when buying materials or equipment, but this slowdown will be temporary and civil engineers who work on under-way projects should eventually secure new work.

6. Civil engineers may be affected by retrenchment plans by their firms.

Contracting firms are sometimes forced to make cuts in their work force when they run out of projects; this is because they cannot continue to pay the same wages so they must cut back on the number of staff, or ask their staff to work less hours. This can mean that some employees will lose their jobs, and some will be forced to take a pay cut.

7. The civil engineering firm that postponed hiring workers will not want them hired again easily.

Contracting firms will not want to recontract with these civil engineers if they have to do so at the same wages; they will also be reluctant to hire them again because they may not be as loyal as employees who have been with the firm for a long time.

8. The civil engineering firm that postponed hiring workers will want them hired again easily if the recession ends.

Contracting firms that have delayed hiring staff during recession periods are more likely to recontract with their staff when business picks up and their cash flow increases again. This means that such firms will probably want to hire their former staff back quickly, which means that civil engineers in this situation may enjoy a steady rate of employment during 2009.

9. Civil engineers may be laid off if they are no longer needed by a contracting firm.

A contracting firm may continue to employ civil engineers who it thinks can complete projects so quickly and cheaply that they will save the firm money, but if the firm’s new project is delayed then unneeded civil engineers could be let go.

However, even in situations when a civil engineer has been indispensable to a project he or she is still likely to be laid off. It is usually not worth the country’s money to pay someone very long-term not to work – which means that in cases where employees work for many years without being employed, they can be laid off without any penalties including unemployment insurance coverage.

10. Civil engineers may be laid off if they do not have the expertise to complete a project.

This can happen if companies need to take on staff with expertise that is critical to completing the project, but their existing staff may not have this knowledge. This means that civil engineers who do not have the required skills or experience could be laid off.

Conclusion:

Civil engineers will continue to enjoy steady employment throughout 2009 under the assumption that projects are being completed as scheduled. However, this will mean lower pay for civil engineers who have been laid off, and enforced changes in their work processes.

They should also expect layoffs by large contracting firms if their work force is cut back in response to the recession. This means that civil engineers who are working on these projects should be prepared for a period of some uncertainty and change when working on contracts during the next few months.