A trade organization forecasts less work in northern Ontario for the construction industry in 2024.
An outlook from BuildForce Canada says residential construction will continue to decline for another year before picking up in 2025.
The number of new homes has declined since hitting its peak in 2021.
BuildForce Canada says the decline in housing construction is impacted by weaker job and income growth in the region.
The decline in new housing mirrors expectations for other parts of the province despite the government’s housing push.
Non-housing activity is also forecast to slow down with the completion of several major electric transmission projects last year.
Several mining projects could be in the final stages of starting construction, which could stem the slowdown.
BuildForce says building activity in northern Ontario will increase between 2025 and 2027 with the start of work on key projects such as the Thunder Bay Correctional Complex and the Weeneebayko Hospital in Moose Factory.
The organization does expect construction employment to rise during the same period.
“Its challenge will be recruiting workers to address the demands created by such growth. With both the residential and non-residential sectors poised to grow well into the late 2020s and many workers exiting the industry due to retirement, many trades and occupations could experience strained conditions,” says Bill Ferreira, Executive Director of BuildForce Canada.
Construction activity on non-housing projects will be busier in southern Ontario, where a long list of projects are underway or about to be started.
This includes subway and light rapid transit construction and nuclear refurbishments in the Greater Toronto Area, light rail in the eastern and central regions, and electric vehicle manufacturing and automotive retooling projects in the southwest.
