Over the past decade, India has witnessed a massive construction boom—from metro lines to residential high-rises. Every business needs infrastructure to plan, create, or store. But lately, a trend has emerged: major companies are stopping the hiring of Project Managers and Site Engineers. Instead, they are floating tenders for Labor Contractors.
Why is the industry shifting away from hiring Engineers and towards outsourcing to Contractors? The answer lies in the "Business of Construction."
As a Diploma Civil Engineer, I have worked on both sides—as a direct employee and with contractors. The difference is clear: Contractors know how to run construction as a business, while many engineers only focus on the technical work. Even government projects are now executed by giants like L&T because they offer what every client wants: Reliability, Speed, and Fixed Costs.
21 Jan 2026
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