The Present and the Expected State of Construction Industry Post COVID-19


The outbreak of COVID-19 has spread so rapidly across the global borders. Just like a forest fire, anything which has come into its way has been halted either it is the day to day life or the entire construction industry.

Bringing a large number of residential, non-residential, and other construction projects to shut down, the immediate outcome of the pandemic was feeling of terror amongst all. However, the regular information and insights from healthcare agencies like CDC and WHO have helped to find a better way to deal with the things.

Talking about the new normal of the construction industry, it is mainly based on the present situation of safety practices. With the orders of State and Federal authorities to continue some construction projects, the active sites are aiming to adhere to the safety and health guidelines for workers and other staff, while some are looking forward to their construction accounting software solutions for extended support.

However, the existing situation has also led to a foundation of a safer and informed construction industry, an industry which will have more centralized policies on health, safety, and maintenance of data.

Though safety is being the primary concern, the need for data and documents to deal with any unexpected claims has also come under the spotlight. For this reason, many construction firms are quickly switching for tools like ProjectPro that can help them keep track of finances, contract data, taxes, and more.

But still, there are so many essential aspects of the construction world related to payroll, finances, taxes, health, that need to be discussed in detail. Also, working on these aspects will not just help pass the present situation but also prepare for the future i.e. post COVID-19 situations.

A Quick Check to the New Normal (Existing Scenario)

The present situation of the construction industry involves work with safety compliances. Apart from safety, some other factors which are in consideration involve crisis management, workforce challenges, operations, supply chain, cash flow, and taxes.

However, the need to avoid economic loss and prevent contagion has led to a change in circumstances. To improve the condition of the construction industry, the Local, State, and Federal authorities have started planning on stimulated actions to provide support which include tax benefits, cash disbursals, etc Apart from these, we have a list of points that can help define the present situation of the construction industry in bit more detail:

  • The industry is preparing itself for the potential struggle in the subcontractor middle market and finds a way to proceed with smaller crews and staggered shifts.
  • Most construction firms are working to implement contingent and emergency safety practices by filtering tasks for the site and remote management, even through outsource functions.
  • Vendors are facing financial struggles and the industry is looking for ways to manage supply issues either by finding alternatives sources of supply or replacement material.
  • Most of the construction firms are working on transparency goals to avoid any issues with financial disclosure. For this, all the data related to finances i.e. payroll, taxes, expenses on material, are being tracked using various tools and construction accounting software.
  • Last but not least, the construction industry is preparing for the workforce mobility and supply chain implications as a part of the prevention process to potential claims that they may have to face from project owners, stakeholders, or contractors. For this, construction accounting software like ProjectPro for Material Planning could help in making things work better.

The Construction Industry: Post COVID-19 Scenario

Though the present situation in the construction world is not in harmony with the goals, construction firms are putting every effort to sustain the continuity aligning to the orders of government. Apart from planning and implementing strategies to deal with the projects, another area of concern on which most construction experts are working is measuring situations after COVID-19 ends.

Moreover, the possible conditions or expected effects of COVID-19 on the construction world have also turned out to be an important question. But still, the post COVID-19 situations are likely to bring a combination of opportunities and challenges for the construction firms.



  • Valid & Invalid claims: The primary challenge which most construction firms have to face after COVID-19 ends will be dealing with plenty of claims. These may include claims from the contractors or the owners. But still, having all the essential documents and data related to costs, taxes, and work progress can help save any unwanted paybacks.
  • Managing safety: Once done with the claims, the next big task which needs to be worked will be managing safety at the workplace. Even if the situation of the shutdown is called off by the authorities, the practices related to preventing contagion and work safety will still be a concern.

Learn how construction companies could keep their site and workers safe amidst COVID-19. Read blog.

  • Supply issues: With construction firms returning to the action, one major challenge would be dealing with supplies. This is because of the restrictions or prohibitions related to the import of the material which means the need to find alternatives for maintaining the supply chain.

Another big challenge that giant construction firms may have to face is continuing with global projects due to restrictions on travel and migration.



  • Need for the Construction: With the end of lockdown situations, the construction industry is likely to have a plethora of opportunities. For firms that will successfully pass through the situation of tightened cash flow and heightened claims, the revival of the construction projects and the need for infrastructure will lead to a massive jump of the revenues. Moreover, taking advantage of right technology at right place like different ProjectPro Capabilities could be of huge help in maintaining continuity.
  • Chance to Build Cash Flow: The end of COVID-19 is very likely to improve the situation of cash flow. The need for residential, nonresidential, and hospitality related structures along with the support of Government on disbursals and claims will help the construction firms stand tall against the loss of liquidity.

Last but not the least, the end of COVID-19 and shutdowns will lead to the return of consumers. The need for flats, apartments, or condominiums will pull the construction industry forward leading to improved circumstances and pulling together the finances.

Good Luck!

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