CHALLENGES FACING THE LIGHTING MAINTENANCE CONTRACTOR: WHAT TO CONSIDER L M & M / / J U LY 2 0 2 2 / / C H A L L E N G E S
By Jacob Wright
The following article is based on Graybar’s May 2022 Market Insights report. LM&M simply highlighted points most relevant to the lighting maintenance contractor. The Market Insights report can be read in full here.
The last few years have been marked by unprecedented challenges and disruptions. In 2020 and 2021, the COVID-19 pandemic was responsible for much of the struggle businesses experienced. Now in 2022, while COVID still lingers, the Russian-Ukrainian conflict is at the forefront of global supply chain disruption and uncertainty. These geopolitical challenges are exacerbated by high inflation, labor shortages, and rising commodity prices, forcing many businesses and contractors to make tough decisions. Understanding the issues facing our industry is critical in order to adapt and plan for the future in a way that sets a business up for success. Below is a detailed breakdown of the issues mentioned previously:
LABOR SHORTAGES • 650,000 more workers are needed in 2022 than 2021. • More jobs available than people to fill them. • Port closures continue to happen, furthering the backlog of containers. This is mainly due to the labor shortage, partly due to some COVID outbreaks in China leading to shutdowns. PHOTO CREDIT: ADOBE STOCK - JOY FERA
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• In 2023, it is predicted the industry will need to bring in 590,000 more workers on top of normal hiring to meet continued demand.
