Nature of the Industry
Houses, apartments, factories, offices, schools, roads, and bridges are only some of the products of the construction industry. This industry’s activities include work on new structures as well as additions, alterations, and repairs to existing ones.The construction industry is divided into three major segments: General building contractors, heavy construction contractors, and special trade contractors. General building contractors build residential, industrial, commercial, and other buildings. Heavy construction contractors build sewers, roads, highways, bridges, tunnels, and other projects. Special trade contractors are engaged in specialized activities such as carpentry, painting, plumbing, and electrical work.
Construction usually is done or coordinated by general contractors, who specialize in one type of construction such as residential or commercial building. They take full responsibility for the complete job, except for specified portions of the work that may be omitted from the general contract. Although general contractors may do a portion of the work with their own crews, they often subcontract most of the work to heavy construction or special trade contractors.
Special trade contractors usually do the work of only one trade, such as painting, carpentry, or electrical work, or of two or more closely related trades, such as plumbing and heating. Beyond fitting their work to that of the other trades, special trade contractors have no responsibility for the structure as a whole. They obtain orders for their work from general contractors, architects, or property owners. Repair work is almost always done on direct order from owners, occupants, architects, or rental agents.
