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| Frequently Asked Questions |
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| MATERIALS
PROCUREMENT: Each subcontractor bears the responsibility of
procuring, storing & delivering their materials to the job
site. WORKFORCE: Each subcontractor is responsible for providing the skilled labor necessary to perform the task to which it has been assigned. Subcontractors meet with the general contractor periodically to discuss scheduling and to resolve any problems or conflicts which invevitably occur throughout the course of the project. 3. How are building construction contracts awarded? Generally contracts are awarded to those who submit the lowest bid. Qualifying general contractors are allowed to examine the project's plans and specifications. Their engineers and estimators spend many hours examining these plans, and perform many calculations in order to come up with what they hope will be a competitive bid. Their bid must be low enough to beat out their competition, but yet high enough to turn over a reasonable profit for the company. All bids are sealed and kept confidential between the developer and the contractor. This prevents a bidding war between contractors, which could result in unrealistically low bids. 4. How stable is the building construction industry? The building construction industry is one of the most volatile in our nation's economy. It is usually one of the first industries to suffer as a result of economic downturns and one of the last to recover when the economy improves. Some factors which may affect the building construction industry are: SUPPLY AND DEMAND: If there is already a high vacancy rate in commercial real estate, there is no incentive for developers to build. INTEREST RATES: High interest rates on construction financing greatly discourage real estate development. WEATHER CONDITIONS: In many parts of the nation, harsh winters or other adverse weather conditions may temporarily halt current and future construction projects. 5. Is Construction work hazardous? Yes, a construction site is often a whirlwind of activity. There are many different tasks being performed in a confined area, so the potential for accidents is great. However, proper training, common sense and experience go a long way in reducing the frequency of serious accidents. It's a fact that most accidents can be avoided when precautionary measures are taken. 6. Are there many women employed in the building construction industry? No. But this is changing fast. More and more women are being attracted to the building trades as a career. The unions, for the most part, have been receptive to the idea of women entering what was strictly a male domain. Women and other minorities are encouraged to apply. |
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