Disadvantages caused by low profit margin of construction output value

The low profits of construction enterprises and low income of employees directly affect the pull of consumption and domestic demand; sixth, the project quality will be greatly reduced.

The author once participated in the Symposium of relevant departments on the tax burden of the construction industry.

Compared with the international well-known engineering contractors, the competitive strength of the construction industry is quite different.

74 enterprises will be in 2020 (the statistical data is 2019) The total international market turnover of is 120.005 billion US dollars, with an average of 1.622 billion US dollars each.

In order to meet the needs of creating high-quality projects in the contract, they passively adopt the top ten new technologies promoted by the construction industry.

According to the statistical data of 2020, by the end of 2019, the number of employees in qualified enterprises in China’s construction industry was 54.2737 million (including a large number of construction migrant workers from rural areas) , the construction industry has not only made great contributions to economic construction and improved residents’ living conditions, but also played an important role in increasing the income of migrant workers and targeted poverty alleviation.

What’s terrible is that the total international turnover of the three enterprises is US $92.752 billion, which is equivalent to more than three quarters (77.29%) of the international turnover of 74 foreign contracting enterprises in China On average, each company completed US $30.917 billion, which is 19 times the average number of China’s top 250 enterprises.

Paying attention to the economic benefits of enterprises is one of the important purposes of safety production.

Serial 2: Research on the decline of the output value profit margin of the construction industry for three consecutive years – the formulation of a reasonable profit margin of the construction industry is conducive to the healthy development of the macro economy.

He once privately told his friends that “once people come out of construction join other industries, they will not go back to construction.” Second, the relative quality of construction employees is low, and the mobility of construction migrant workers is very large.

It should be happy, but after careful analysis, they are not happy.

In 2020, 74 Chinese companies are selected.

To sum up, there are the following six aspects: first, the age structure of personnel is aging, and the construction industry will face no successors in the next decade.

The economic benefits of enterprises have been improved, which plays a great role in stabilizing the ranks of employees in the construction industry and improving the quality of personnel.

An old comrade engaged in the management of the construction industry retired early and participated in real estate development.

At the same time, the construction industry is a labor-intensive industry due to its low profit margin There are many problems in development.

In fact, not only the profitability is very different, but also the division of industry categories is not the same thing.

What’s the reason? Besides, for the needs of the construction industry, if the chairman goes to talk about business and takes an ordinary car, Party A thinks that the company has no strength, so it’s necessary to drive a good car for appearance From the view of some comrades at this symposium, the construction industry is as rich as the real estate industry.

Therefore, this forum forwards the research on the decline of the output value profit margin of the construction industry by Wang Shi and deputy director of the former Jiangsu Construction Engineering Administration Bureau, which is divided into three parts: “what is the reason for the low output value profit margin of the construction industry?”, “the disadvantages caused by the low output value profit margin of the construction industry” and “it is imperative to formulate a reasonable profit margin policy of the construction industry”.

The top three international turnover of the top 250 are foreign construction companies, of which ACS, a Spanish enterprise, ranks first with 38.95 billion US dollars, Hochtief, a German enterprise, ranks second with 29.303 billion US dollars, and vihci, France Ranked third with us $24.499 billion.

It has been learned from the information of the state authority that the output value profit margin of the construction industry has decreased for three consecutive years if 2016 is taken as the base year (3.61% in 2016, 3.50% in 2017, 3.39% in 2018 and 3.37% in 2019).

The construction industry and industry belong to the secondary industry, while real estate belongs to the tertiary industry.

In addition to the central enterprises, a large amount of project guarantee is required to develop the international project contracting market, and the capital can not pass the pass; fifth, the low profit margin of the output value of the construction industry has a direct impact National consumption and domestic demand.

More than 20 years ago, the overall collapse of Chongqing Qijiang Rainbow Bridge in 1999 caused 40 After the tragic accident in which people died, major accidents caused by project quality still met with the press, “bean curd residue project” and “slimming reinforcement” In addition to corruption and dereliction of duty, another reason that should not be ignored is that the project cost is too low, which may lead to Jerry building.

Every year, the top 250 international engineering contractors are selected worldwide.

Under the current profit level, enterprises are reluctant to invest in training staff skills, let alone vigorously cultivate compound talents; third, most construction enterprises have poor scientific and technological innovation ability and insufficient scientific and technological investment, especially a large number of central and western regions that started late compared with the eastern region Enterprises still use traditional technology and traditional building materials.

[editor’s note] safety is for production and production must be safe.

In addition to the ideological concept of enterprise operators to be improved, the key is that the enterprise has poor accumulation and no funds One belt, one road, four strength, and low international level.

From the conversation, I learned that they don’t know much about the construction industry.

A comrade said: your construction industry is still shouting that there is no money.

Safety production is closely related to the economic benefits of enterprises.

Only a few enterprises begin to set foot in assembly construction and adopt BIM Technology.

(Continued) 2、 Since the reform and opening up, the construction industry has developed rapidly.

No wonder relevant policies are often issued in the same document.

It has been four years since Wang Shihe and the formal implementation of the reform of business tax to value-added tax of the construction industry on June 1, 2016.

The construction industry has more than 50 million employees, that is, more than 50 million According to the calculation of three people in each family, it involves the life and consumption of more than 150 million people, which is unmatched by any of the 41 sectors of the national economy.

Most of China’s construction enterprises with the right to sign contracts with foreign countries are not very strong.

Taking rainbow bridge as an example, the total budget of the project is more than 5 million yuan, and the final settlement price is 3.68 million yuan The lesson of blood reminds people that if we act against the objective economic law, we will inevitably swallow the bitter fruit of “cheap goods without good goods”..

The cars issued by your construction bosses are either “Mercedes Benz” or “BMW” , why don’t you have money? A comrade retorted on the spot: do you know how many good cars are offset by the arrears of project funds? After driving for two or three years, the original price of the car is still offset against the project funds.

He expressed a lot of emotion.

If they work for 8 hours according to the provisions of the labor law, the actual situation is the income from prolonging working hours, which is still not high in terms of unit time.) , young people are not optimistic about this industry, including old workers in the construction industry, and they are not willing to let their children engage in this industry.

Taking the construction industry in Jiangsu as an example, one quarter to one third of farmers’ net income comes from the construction industry.

The reason is simple.

Fixing Socket

In the international engineering contracting market, before the construction of “one belt and one road”, most of China’s construction enterprises are mainly engaged in labor or lower level.

In order to stimulate the economy, effectively reduce the burden on enterprises and generally implement the policy of “tax reduction and fee reduction”, it seems that the construction industry has failed to enjoy the dividends of the policy, which is unfavorable to the development of the construction industry as a pillar industry of the national economy, and it is necessary to study it……..

Netizens are welcome to participate in the discussion on relevant contents and jointly discuss the healthy economic development of the construction industry.

Because the traditional construction industry is not only bitter, dirty, tired and dangerous, but also because the profit margin is low and the treatment of employees is not high (it should be noted here that the above-mentioned workers’ wages are paid for working more than 12 hours a day.


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