FCLC Releases First Phase of Installation Research Findings

Chicago, Ill. -- In August 2017, the Floor Covering Leadership Council (FCLC) commissioned an independent research firm to conduct a multi-phase study to quantify the scope and severity of the lack of installation professionals on the flooring industry's sustainability and growth. Chicago-based research firm, Blackstone Group, was contracted to conduct the research which focused on businesses that purchased workers' services by engaging floor covering installers as direct employees and/or subcontractors in 2017. Over 300 responses were received covering subcontractors, installers, retailers and suppliers from forty five of the fifty states.

Businesses that perform floor covering installation use diversification as a core business strategy to manage risk. Almost all of respondents had sold floor covering products in addition to installation services and earned revenue from more than one construction sector, while two-thirds used both direct employees and subcontractors to perform installation services. While diversification was widespread, respondents did rely more on subcontractors than on direct employees. One in four used subcontractors exclusively, and the benefits of subcontracting to lower risk remain compelling enough that no greater shift to direct employees was being planned for in 2018.