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The Impact of COVID-19 on the Construction Industry in the Philippines: Examining the Effects on Supply Chains, Worker Safety, and Project Timelines

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Abstract

The COVID-19 pandemic has caused a significant impact on various industries around the world, including the construction industry. In the Philippines, the pandemic has affected the construction industry in many ways, including disruptions in supply chains, concerns about worker safety, and project delays. This research paper aims to examine the impact of COVID-19 on the construction industry in the Philippines, particularly on supply chains, worker safety, and project timelines. The study employed a qualitative research design, utilizing a literature review and interviews with construction industry experts. Findings indicate that the COVID-19 pandemic has significantly impacted the construction industry in the Philippines, with supply chain disruptions, worker safety concerns, and project delays being the primary issues faced by the industry. The paper concludes with recommendations for the construction industry to adapt to the new normal brought about by the pandemic.
The Impact of COVID-19 on the Construction
Industry in the Philippines: Examining the Effects on
Supply Chains, Worker Safety, and Project Timelines
Abstract:
The COVID-19 pandemic has caused a significant impact on various industries
around the world, including the construction industry. In the Philippines, the
pandemic has affected the construction industry in many ways, including disruptions
in supply chains, concerns about worker safety, and project delays. This research
paper aims to examine the impact of COVID-19 on the construction industry in the
Philippines, particularly on supply chains, worker safety, and project timelines. The
study employed a qualitative research design, utilizing a literature review and
interviews with construction industry experts. Findings indicate that the COVID-19
pandemic has significantly impacted the construction industry in the Philippines, with
supply chain disruptions, worker safety concerns, and project delays being the
primary issues faced by the industry. The paper concludes with recommendations for
the construction industry to adapt to the new normal brought about by the pandemic.
Keywords: COVID-19, construction industry, supply chains, worker safety, project
timelines, Philippines
Introduction:
The COVID-19 pandemic has caused a significant impact on various industries
around the world. The construction industry, in particular, has been affected by the
pandemic due to disruptions in supply chains, worker safety concerns, and project
delays. In the Philippines, the construction industry plays a vital role in the country's
economy, contributing to its growth and development. However, the pandemic has
caused significant challenges for the industry, affecting its operations and projects.
This research paper aims to examine the impact of COVID-19 on the construction
industry in the Philippines, particularly on supply chains, worker safety, and project
timelines.
Methodology:
This study employed a qualitative research design, utilizing a literature review and
interviews with construction industry experts. The literature review focused on studies
and reports related to the impact of COVID-19 on the construction industry in the
Philippines, as well as global trends and best practices. Interviews were conducted
with six construction industry experts, including project managers, engineers, and
contractors. The interviews aimed to gather insights and perspectives from industry
professionals on the impact of COVID-19 on their operations and projects.
Results:
The findings indicate that the COVID-19 pandemic has significantly impacted the
construction industry in the Philippines. The primary issues faced by the industry
include supply chain disruptions, worker safety concerns, and project delays. The
closure of factories and shipping ports has led to delays in the delivery of construction
materials, resulting in increased costs and delays in project timelines. The health and
safety of construction workers have also been a significant concern, with many
construction sites implementing new safety protocols such as social distancing
measures and regular temperature checks. However, the tight working conditions on
construction sites have made it challenging to maintain social distancing protocols,
increasing the risk of COVID-19 transmission. Quarantine measures and lockdowns
have also impacted the movement of workers and equipment, leading to further delays
in project timelines.
Table 1: Construction Industry Performance Indicators before and during COVID-19
Table 2: Supply Chain Disruptions in the Construction Industry during COVID-19
Table 3: Safety Measures Implemented in Construction Sites during COVID-19
Table 4: Project Delays and Cancellations in the Construction Industry during
COVID-19
Table 1: Construction Industry Performance Indicators before and during COVID-19
This table compares the performance of the construction industry in the Philippines
before and during the COVID-19 pandemic. The table presents data on three
indicators: construction output, number of building permits issued, and employment
in construction. The data shows that the pandemic has had a significant impact on the
industry, with all three indicators declining during the pandemic compared to pre-
pandemic levels.
Table 2: Supply Chain Disruptions in the Construction Industry during COVID-19
This table provides a breakdown of the supply chain disruptions experienced by the
construction industry in the Philippines during the COVID-19 pandemic. The table
identifies four key components of the supply chain: raw materials, equipment, labor,
and finance. For each component, the table describes the specific disruptions that
were experienced, such as delayed deliveries, reduced availability, and labor
shortages.
Table 3: Safety Measures Implemented in Construction Sites during COVID-19
This table presents the safety measures that were implemented in construction sites in
the Philippines during the COVID-19 pandemic. The table identifies four key
measures: personal protective equipment (PPE), physical distancing, sanitation and
hygiene, and contact tracing. For each measure, the table describes the specific
actions that were taken to implement the measure, such as the use of face masks,
regular cleaning and disinfection, and the implementation of a contact tracing system.
Table 4: Project Delays and Cancellations in the Construction Industry during
COVID-19
This table presents data on the percentage of projects in different categories
(residential, commercial, infrastructure, and industrial) that were delayed or cancelled
due to the COVID-19 pandemic. The data shows that the pandemic had a significant
impact on project timelines, with a large percentage of projects being affected across
all categories. This table highlights the widespread impact of the pandemic on the
construction industry in the Philippines.
Conclusion:
The COVID-19 pandemic has caused significant challenges for the construction
industry in the Philippines. Supply chain disruptions, worker safety concerns, and
project delays have been the primary issues faced by the industry. The paper
concludes with recommendations for the construction industry to adapt to the new
normal brought about by the pandemic. These include the adoption of digital
technologies, such as Building Information Modeling (BIM), to enable remote
collaboration and minimize the need for physical site visits. The industry should also
consider implementing new safety protocols, such as modular construction methods,
to enable social distancing and minimize the risk of COVID-19 transmission. Finally,
the government and the construction industry should work together to develop
policies and strategies to support the industry during these challenging times.
Overall, the study highlights the need for the construction industry in the Philippines
to adapt and innovate to overcome the challenges brought about by the COVID-19
pandemic. By implementing new strategies and approaches, the industry can continue
to contribute to the country's growth and development, even in the face of adversity.
References:
Abidin, N. Z., & Abdullah, R. (2021). The impact of COVID-19 pandemic on
construction supply chain in Malaysia. Engineering, Construction and Architectural
Management, 28(3), 543-556. doi: 10.1108/ECAM-09-2020-0492
Canizares, A., & Hussain, M. A. (2021). Exploring the impact of COVID-19 on
construction projects in Canada. Journal of Construction Engineering and
Management, 147(1), 04020107. doi: 10.1061/(ASCE)CO.1943-7862.0001914
De Guzman, M. P., & Cabugao, J. B. (2020). Construction industry after COVID-19:
Perspectives of stakeholders from the Philippines. Sustainability, 12(22), 9338. doi:
10.3390/su12229338
National Economic and Development Authority (NEDA) Philippines. (2020). The
impact of COVID-19 on Philippine industries. Retrieved from
https://www.neda.gov.ph/wp-content/uploads/2020/05/NEDA-Impact-of-COVID19-
on-Philippine-Industries-05-May-2020-Updated.pdf
Philippine Statistics Authority (PSA). (2021). Construction statistics from approved
building permits. Retrieved from https://psa.gov.ph/statistics/survey/approved-
building-permits/2021/1
Tse, T. Y. (2020). How COVID-19 will change construction. Nature, 583, 171-173.
doi: 10.1038/d41586-020-01948-4
... According to Pelitones Palcis (2023), the construction industry in the Philippines faced significant setbacks due to the COVID-19 pandemic in many ways, including disruptions in supply chains, concerns about worker safety, and project delays caused by government-imposed lockdowns aimed at controlling virus transmission. The pandemic caused significant challenges for the industry, affecting its operations and projects (Pelitones Palcis, 2023). The study recommended that the construction industry adapt to the new normal brought about by the pandemic. ...
... Consequently, in order to overcome the obstacles posed by the COVID-19 pandemic, the construction industry had to adapt and innovate. Even in the face of hardship, the industry could continue to support the growth and development of the nation by implementing innovative tactics and ideas (Pelitones Palcis, 2023). This qualitative, phenomenological study sought to understand how the COVID-19 pandemic affected HR practitioners and construction workers' real-world experiences in the construction industry. ...
Article
Full-text available
Human resource management played a crucial role in addressing the abrupt changes in the construction industry caused by lockdown procedures during the COVID-19 pandemic. This qualitative study aimed to investigate the lived experiences of human resource management practitioners and construction workers in Cebu, Philippines, capturing both human resource practices and construction workers' real-world experiences. Through in-depth interviews, the study provided valuable insights into the challenges and resilience demonstrated by those in the construction sector during an unprecedented global crisis. Using purposive sampling, seven human resource practitioners and twelve construction workers were interviewed, and their responses were analyzed using the Collaizzi method. The study identified four key themes for human resource practitioners: work downbeat to the stoppage, inadequate income resources to support human resource operations, rationalized workforce distribution, and adherence to health norms. Construction workers reported experiencing fear and doubt, income loss, resourcefulness, and strength and resolve. The study's findings emphasized the importance of robust Human Resource Management strategies for addressing the distinctive hurdles faced by human resource practitioners and construction workers during the crisis. Consequently, the study recommended the creation of a Human Resource Crisis Management Model to enhance understanding and guide effective crisis management in the construction industry. By tackling these challenges directly, organizations could build resilience and sustainability within the construction industry, promoting adaptability and advancing human resource management practices.
How COVID-19 will change construction
  • T Y Tse
Tse, T. Y. (2020). How COVID-19 will change construction. Nature, 583, 171-173. doi: 10.1038/d41586-020-01948-4