The COVID-19 pandemic appears to have made payment delays to contractors much worse, according to a report from construction software firm Levelset.
Just 9% of companies always get paid on time, a decline of 60% from last year, says Levelset’s 2021 Construction Cash Flow & Payment Report. Just one construction contractor in 10 always gets paid in full, a 75% drop from before the pandemic.
GCs typically fare better than subs. General contractors are four times more likely than subcontractors to get paid within 30 days, and 50% more likely to get paid in full. One in five subcontractors and suppliers often have to wait more than 60 days for payment.
A full 56% of subcontractors wait more than 60 days to collect retained funds, compared to just 16% of general contractors.
Related Stories
| Mar 8, 2012
New LEED-EBOM rating has requirements for specific project types
Several key changes are proposed for the LEED-EBOM Rating System in 2012.
| Mar 8, 2012
Green buildings more resilient than conventionally built structures
A new study by the U.S. Green Building Council (USGBC) and the University of Michigan’s Taubman College of Architecture and Urban Planning suggests that structures built to green standards can advance building resiliency.
| Mar 1, 2012
LEED Platinum standard likely to mean net-zero energy by 2018
As LEED standards continue to rise, the top level, LEED Platinum, will likely mean net-zero energy construction by 2018.
| Mar 1, 2012
EPA beefs up stormwater discharge rule from construction projects
The U.S. Environmental Protection Agency (EPA) has now finalized its 2012 construction general permit (CGP) that authorizes stormwater discharges from construction projects that disturb one or more acres of land in the areas where EPA is the permitting authority.
| Mar 1, 2012
Regulators investigate structural failures during construction of two Ohio casinos
Regulators with the Occupational Safety & Health Administration and the city of Cincinnati are investigatingthe collapse of the second floor of Cincinnati's Horseshoe Casino as workers were pouring concrete.
| Mar 1, 2012
Is your project too small for LEED? Consider other green standards
There are many other recognized national, state and local programs that offer a variety of best management practices and sustainable design, construction and operating strategies.
| Mar 1, 2012
California bill aims to cut costs for commercial building energy retrofits
A bill in the California Assembly would allow the state to pool together property owners’ energy-retrofit loans.
| Feb 29, 2012
Carvalho appointed Shawmut Safety Director
He has been a driving force behind multiple safety-orientated initiatives at Shawmut, including Safety Week, the creation of an online safety manual, and the implementation of a new safety reporting and tracking system.
