We are all aware of the shortage of skilled labor facing Australian businesses, particularly with the labor markets tightening in recent months.
New reports have found that nearly a third of all Australian industries are suffering from a severe shortage of workers and the property market is no exception.
There are many reasons for the current shortage of skilled labour, including the halting of migration and wages failing to meet the rising cost of living.
So what can be done to address the shortage of skilled workers at a time when both employees and consumers demand more flexibility and efficiency than ever before?
Modern problems require modern solutions and one such solution is PropTech.
If you’re in the real estate space, chances are you’re familiar with PropTech, a catch-all term used to describe real estate technology in the real estate space, and property-specific innovation more broadly.
PropTech provides automated solutions for outdated processes in everything from construction and purchasing to leasing and building management.
Here are seven ways PropTech can ease the skilled labor shortage.
1. Empowering employers through data
PropTech allows companies to generate relevant data, an extremely useful tool that can differentiate them from the competition.
By analyzing data such as rent collection levels, companies can predict market movements and, by extension, their own labor needs.
For example, FinTech products such as automated property management software can help customers predict when tenants are likely to default on rent or terminate their lease.
Anticipating the future allows companies to have adequate resources and improve business performance.
2. More autonomy for customers means less demand for employees
Another innovative category of PropTech is smart real estate, which includes internet-connected appliances and devices that can be managed and monitored remotely.
For example, tenant experience platforms can give tenants control over features like lighting, temperature, and security systems.
Higher levels of access and visibility for tenants allow them to be more self-reliant, in turn freeing up more time for property managers.
3. Efficient technology solutions equal less manpower and fewer errors
At a time when there simply aren’t enough skilled workers available, it’s important to reduce inefficiencies and modernize processes through PropTech.
The intersection of FinTech with PropTech is particularly relevant in this regard.
Rather than resorting to old-fashioned spreadsheets and doing everything manually, businesses should use automated accounting software for leaner, more efficient solutions.
For example, FinTech real estate software can generate invoices, send payment reminders, and automate rent payments with less room for human error.
4. Cost savings allow for extra budgets for hiring and salaries
With the cost of living rising, wages stagnating and workers in high demand, prospective employees are looking to get paid at a decent market rate.
Using PropTech can allow companies to reduce costs and reallocate budget to where it’s currently needed: recruiting and retaining great people.
5. Greater flexibility for a global workforce
During the pandemic, most businesses have been forced to migrate online and adapt to new ways of working.
PropTech software using cloud computing, such as Re-Leased, enables the industry to become much more flexible, mobile and accessible to meet this need.
Using PropTech allows companies to hire interstate or international people, as employees can do their jobs at ease from anywhere in the world.
6. The best technology attracts the best talent
In a world where the technology landscape is constantly changing, companies need to stay up to date with the latest advancements to attract and retain new talent.
The younger part of the workforce wants to work with the latest technology, not outdated processes and systems that disincentivise people from wanting to enter the industry.
Attract workers to your business by providing them with the best tools for the job.
7. Help staff feel supported
Property managers have left the industry en masse during the pandemic, reasons for which have included a lack of support, training and development pathways.
PropTech can assist in promoting best practices through system and process automation, greatly simplifying training and workload management.
There is no denying that PropTech is an underutilized asset in real estate, and increased adoption of these technologies would go a long way towards alleviating labor shortage issues.
Enabling both employers and employees to work more efficiently with real estate technology will result in better outcomes for all.