Report: 91% of B.C. builders impacted by late payment

Key Takeaways:

• According to the BCCA survey, 91% of construction employers in B.C. reported being paid late for completed work in the past year, and 69% reported not being paid at least once during the same period.
• The BCCA attributes these issues to the provincial government’s failure to implement Prompt Payment Legislation, which the association says is contributing to increased financial risk on construction projects.
• Payment uncertainty is a primary concern for those in the construction sector, followed by labour shortages and economic instability. These concerns have intensified in early 2025 due to factors such as international tariffs and broader economic conditions.

The Whole Story:

The BC Construction Association (BCCA) is raising red flags regarding new data on payment certainty. BCCA’s newly released spring Stat Pack and Annual BC Construction Industry Survey report found the issue is a top concern, with 91% of employer respondents reporting being paid late at one time this past year for completed work and 69% having not being paid at least once at all for work completed in the past year.

The association stated that B.C. government’s failure to pass Prompt Payment Legislation means critical construction projects carry additional risk and payments are not being made for completed work.

“From tariffs and lack of prompt payment to labour shortages and faltering public sector standards on permits, contracts, and procurement, hard-working British Columbians are struggling with excessive and unnecessary uncertainty,” said Chris Atchison, BCCA President. “The provincial government must deliver on strategies and initiatives that better support construction in BC.”

The group explained that from small to large companies to individual employees, everyone is burdened by this unnecessary uncertainty. They noted that overwhelmingly, people working in construction reported that the lack of payment certainty keeps them up at night, followed by concerns with workforce shortages and economic turbulence. The association added that anxieties have sharpened since the beginning of 2025, as Canada grapples with the Trump administration’s threats and tariffs. B.C. construction is not immune, given 35% of the province’s international imports come from the U.S.

“At a time when supporting domestic and local industries to strengthen our province and economy is more important than ever, payment certainty is absolutely critical,” added Atchison. “Fixing the prompt payment problem will improve cash flow for British Columbians and support contractors in managing their staff, evolving supply chains, and onerous regulatory regimes without taking on extra debt and financial expenses amidst an ongoing cost-of-living crisis. The B.C. Government has the tools to solve this challenge but chooses not to.”

According to the BCCA, construction contributes 10% of B.C.’s GDP annually and will deliver $331 billion in value via major projects to the province over the next few years. They argued that the  industry is one of B.C.’s greatest assets in driving economic growth through a trade war scenario.

Key stats from the latest BCCA Stat Pack:

• Construction is the No. 1 employer in BC’s goods sector.
• BC’s construction industry accounts for 10% of the province’s GDP. A 12% increase over the past 5 years.
• 251,000 people rely directly on BC’s construction industry for a paycheque.
• Number of workers in trades jobs: 191,200
• The number of women in construction trades is 10,133 (5.3%), an increase of over 2,750 over the past year.
• Number of construction companies in BC: 28,096, an increase of over 200 companies over the past year.
• The average yearly wage of BC construction employees is $81,555 an increase of 13% over the past year and 38% over the past 5 years.
• Value of proposed construction projects in BC: $172.5 billion, an increase of 4% since fall 2024.
• The estimated value of current major construction projects underway in BC: $158 billion, a decrease of 7% since fall 2024, and a 41% increase over the past 5 years
• Current job vacancies in BC construction is 11,555
• Number of projected construction jobs in BC that will be unfilled due to labour shortages by 2034: 14,100
• Multi-unit residential construction starts (6 month rolling average): 35,346
• Number of tower cranes currently erected in BC: 400