Construction site wages were up by an average of 1.6% in Q1 2024 compared with the previous quarter, and up by 7.0% on an annual basis, the latest data from the Hays/BCIS Site Wage Cost Indices has shown.
Compared with Q4 2023, skilled building trade workers’ wages showed the strongest growth in the data published by the Building Cost Information Service (BCIS), along with skilled mechanical and electrical workers.
| Skill Level | Percentage change Q1 2024 on: | |
| Q4 2023 | Q1 2023 | |
| All-in | +1.6% | +7.0% |
| Building Trades Skilled | +4.7% | +12.5% |
| Mechanical and Electrical Trades Skilled | +3.6% | +9.0% |
| Plant Operatives | 0.0% | +5.2% |
| Unskilled and Semi-skilled | 0.0% | +6.0% |
Source: BCIS, Hays
The greatest annual growth was also seen among skilled building trade workers, whose pay was on average 12.5% higher than in Q1 2023, though wages were up in all skill categories over the 12-month period.
However, Hays also reported fewer construction job placements in Q4 2023, continuing a decrease which has been seen since Q2 2021.
BCIS solutions architect Paul Burrows, who compiles the indices for BCIS and Hays, said: “Rates for skilled trades and M&E are generally rising, suggesting that these skills are still in short supply, whereas rates for unskilled grades and plant operators remain flat.
“Construction output fell again in Q1 2024, particularly in private commercial and industrial new work, though new orders data, which is a snapshot of potential future work, showed an increase in planned work. I would expect to see more upwards pressure on wages if those orders translate into output.”
