The large construction company Bertelsen & Garpestad AS in Rogaland with 437 employees went bankrupt on March 3, according to major media reports. no. In Trøndelag, Innherred Entreprenør with 30 employees went bankrupt last summer, according to major media.
This wave of failures highlights a severe crisis gripping the sector, with the construction of new homes now at its lowest level in 30 years, as reported by major media. The low construction activity is leading to full inventories at sawmills and deficits and risk of downsizing there, according to major media. The main committee for business and industry in Trøndelag county municipalities demands that the government intervenes in the crisis in the construction industry, according to major media.
The demand is signed by Høyre, Arbeiderpartiet, Senterpartiet, Fremskrittspartiet, and SV, according to major media. Major media reports indicate the Trøndelag construction industry has so far avoided large-scale layoffs and dismissals. High interest rates and generally high construction costs are the main causes of the problems, according to major media.
In the districts, depopulation and population decline are also being felt, according to major media. The crisis has intensified calls for immediate action to prevent further economic damage and job losses. What specific measures the government is considering or planning to address the construction crisis remains unclear, as does how many construction companies are currently at immediate risk of bankruptcy in Trøndelag and nationally.
The current unemployment rate or projected job losses in the construction industry due to the downturn has not been confirmed, nor has the timeline for when the construction market is expected to recover or hit its lowest point.