Compagnie de Saint-Gobain S.A.

Holcim CEO Miljan Gutovic has warned that labor shortages could complicate Europe's construction recovery, even as signs of a rebound begin to emerge. Gutovic said worker bottlenecks are affecting the industry broadly, with pressure especially visible in Europe and Australia. Saint-Gobain CEO Benoit Bazin echoed that view, noting that the staffing constraints already slowing data center construction in North America are now moving into Europe. The issue could become more important as the region still needs around 10 million new homes, while builders struggle to find enough workers willing to handle physically demanding outdoor jobs. Gutovic said some markets may increasingly depend on labor from South-East Asia because local hiring is becoming difficult, and the shortage is also opening the door for Chinese contractors, which are winning major industrial projects by offering both equipment supply and on-site installation in one package. Holcim has already hired a Chinese contractor for the overhaul of its Obourg cement plant in Belgium, which is being modernized into one of Europe's first near-zero emissions cement facilities. Gutovic still sees a possible residential construction recovery in Europe as soon as the second half of this year, helped by rising building permits in Germany, while Saint-Gobain also pointed to improvement in France. Holcim's Xella acquisition, modular walling systems, and AI platform could help reduce on-site labor needs, predict failures, improve operations, and lower logistics costs.