Construction - May 2011

Decline in the construction output continued

In May 2011 the construction output decreased by 4.9%, year-on-year (y-o-y), in real terms. When seasonally adjusted the construction output was higher by 1.2%, month-on-month (m-o-m). The planning and building control authorities granted by 9.0% more building permits, y-o-y, and the approximate value of permitted constructions decreased by 9.8%, y-o-y. The number of started dwellings was higher by 6.4%, y-o-y, and the number of completed dwellings dropped by 18.8%, y-o-y.

In May 2011 the construction output decreased by 4.9%, y-o-y, in real terms, when working days adjusted then it dropped by 6.0%. May 2011 was by one working day longer compared to the same month of the previous year. The construction output seasonally adjusted was higher by 1.2%, m-o-m, in May 2011. The production in building construction fell by 2.5% (contribution -1.6 percentage points (p.p.)), y-o-y, and the production of civil engineering construction decreased by 9.5% (contribution
-3.3 p.p.), y-o-y.

The average registered number of employees*) in construction enterprises with 50+ employees fell by 4.1%, y-o-y, in May 2011. Their average monthly nominal wage increased by 6.7%, y-o-y, and reached CZK 28 818.

In May 2011 the number of building permits granted was up by 9.0%, y-o-y; the planning and building control authorities granted 10 568 building permits. The approximate value of the permitted constructions attained CZK 36.2 billion and dropped by 9.8% compared to the same period of 2010. This drop was in part affected by the high comparison basis of May 2010. The value of building permits granted was reduced namely by a drop in the value of building permits granted for constructions of transport infrastructure and environmental protection structures.

The number of dwellings started in May 2011 rose by 6.4%, y-o-y, and attained the number of 2 985 dwellings. The number of dwellings started in family houses increased by 10.9%, year-on-year. The number of dwellings started in multi-dwelling buildings rose by 8.1% and over a half of them were located in Prague.

The number of completed dwellings declined by 18.8%, y-o-y, in May 2011 and was 2 023 dwellings. The number of completed dwellings in family houses increased by 2.3% and the number of completed dwellings in multi-dwelling buildings plummeted by 49.2%.
According to Eurostat the WDA (working days adjusted) construction output in the EU27 decreased by 1.2%, y-o-y, in April 2011. Building construction shrunk by 2.1% and civil engineering construction increased by 1.9%. Eurostat shall release the data for May 2011 on 19 July 2011 (at 11:00 a.m.).

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Methodological Note:
Responsible head: Radek Matějka, phone: (+420) 274052 894, e-mail: radek.matejka@czso.cz
Contact person: Petra Cuřínová, phone: (+420) 274054199, e-mail: petra.curinova@czso.cz
Method of data acquisition: direct surveys Stav 1-12 and Stav 2-12 of the CZSO
End of data collection: 30 June 2011
Specific methodological notes: *)The registered number of employees indicator does not include: persons working under various contracts for work, working owners of enterprises and cooperating household members, who do not have an employment contract. Data on the registered number of employees in construction also exclude agency workers, who have an employment contract, however, in other activity than construction.
Following publications: time series in Construction /csu/czso/sta_ts , and Housing construction, Building permits, and Construction orders /csu/czso/bvz_ts
Date of the next News Release publication: 8 August 2011

Published: 08.07.2011
The data are valid as of the release date of the publication.