Engineering Inc. - September/October 2008 - (Page 8)

maRkEt watCh Aging Boomers Fuel Health Care Construction By Joe Salimando here used to be at least two sure things in life: death and taxes. Today one could also add a third: old age. Active American baby boomers, whether they realize it or not, are changing the direction of our economic and construction future. Here are a few realities to consider: n AARP claims there were 87 million Americans age 50 or over in 2007, nearly 30 percent of the popula- T tion. Statistics further show that roughly half of those who reach age 65 will go on to celebrate their 85th birthday. The U.S. Census Bureau projects that the over-65 age group will account for 36 percent of the population by 2020. n As people get older, they will demand and consume ever-increasing amounts of health care. Intuitively, that would suggest that the health care industry might not suffer as much as other business sectors from the instability in the current economy. Not the case, however. As worker shortages continue to affect many aspects of American business, health care has taken a shellacking— a shortage of nurses for years, with no relief on the horizon, as an example. One way the nation’s medical system is attempting to cope with the worker shortage is by emphasizing efficient hospital technology. That health Care Employment and Construction, 1994–2008 YEaR Health Care Employment (thousands of people) total hoSpItalS Health Care Construction (millions of dollars) total hoSpItalS mEd. bldG. 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 8,886 9,386 9,397 9,562 9,812 9,876 10,042 10,188 10,527 10,918 11,146 11,371 11,622 11,904 3,784 3,792 3,817 3,834 3,910 3,946 3,997 4,031 4,172 4,210 4,260 4,301 4,377 4,462 $15,447 $15,259 $15,420 $17,390 $17,737 $18,388 $19,455 $19,506 $22,438 $24,217 $26,272 $28,495 $32,016 $34,776 $9,891 $8,807 $8,348 $9,968 $9,469 $9,491 $10,183 $11,313 $13,925 $15,217 $16,147 $18,250 $21,914 $24,285 $3,398 $4,064 $3,728 $4,001 $4,070 $4,910 $5,066 $4,638 $4,924 $6,068 $7,615 $8,031 $7,165 $7,582 means even where new medical structures aren’t on the agenda, high-tech hospital rehabilitations are a priority. Many aging medical facilities also have altered their operational philosophies to focus on tangible benefits, such as patient comfort. Socalled “green” hospitals have reportedly been shown to facilitate healing; patients in such facilities are said to get better faster. Widespread philosophical and cultural changes in the nation’s health care system are fueling a need for engineering expertise to design the sophisticated mechanical, electrical, plumbing and structural systems—such as state-of-theart operating rooms or specimen delivery facilities—necessary to meet rapidly advancing requirements. Health Care Numbers Sources: Health Care Employment: Bureau of Labor Statistics data for January 2008. Health Care Construction: Census Bureau final report for end-of-year construction 2008. The U.S. Bureau of Labor Statistics reports that health care employment has increased nearly 38 percent from 1994 to 2007, compared with overall U.S. employment, which the Census Bureau says increased 28.2 percent in that same period. At the same time, health care construction has increased by 125 percent (and it’s up again through the first five months of 2008). Hospital construction rose 145 percent in the same timeframe. With total construction (across all market sectors) increasing 112 percent in the same period, statistics confirm that medical care construction clearly is one of the most 8 ENGINEERING INC. SEptEmbER / oCtobER 2008

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Engineering Inc. - September/October 2008 Contents From ACEC to You News & Notes Market Watch Legislative Action Decision '08 Managing Risk in a Multidiscipline World Healthy Designs Taking the Next Step Business Insights 2008 Fall Conference Primer Members in the News One On One

Engineering Inc. - September/October 2008

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