Profit margins continued to fall at about 60% of Hungarian construction industry companies last year, narrowing to under 2% for most, business daily Világgazdaság reported on Tuesday, citing a survey by professional association EVOSz.
About half of construction companies reduced headcount because of lack of work and unpaid receivables, and the outlook is no better for this year, the EVOSz survey shows.
Eight in ten companies have outstanding receivables.
Most managers think they can adjust to the market only by making more layoffs. At the same time they complain about a shortage of qualified labor on the market. Wages in the sector remain well under the national average.
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