Report Findings | Page 8

• “Smaller projects, projects postponed, projects cancelled.” • “A real slowdown in new private sector projects.” • “Reducing expenses and personnel.” • “Desire to use glass/plexiglass as safety for customers and employees.” • “We have a construction side and a service side. The service side decreased drastically, on the construction side, jobs were delayed in starting.” • “Jobs have been cancelled or postponed, new orders have dropped, and pipeline is down.” • “Margins have changed with an increased focus on future work, as available work will definitely shrink in the future.” • “We are bidding on work that we are really not accustomed to bidding or doing.” Healthcare While some sectors of the healthcare market have understandably surged during the pandemic, it’s a small number. Only 15% of healthcare industry respondents indicated experiencing a business increase, while a much larger and surprising percentage (62%) report their business has declined, with 33% indicating the drop was a steep one and nearly 5% reporting the business was forced to close. The most significant business change is delivery of services via telehealth – 75% of the respondents who report having significantly changed their business practices indicate this was the biggest change. Benefits-sector participants report that staying up-to-date with healthcare plan requirements and managing costs has been the most significant impact to their operations. 58% of respondents in this sector report securing a PPP loan, and the overall level of concern about loan repayment requirements is relatively low, at 34 on a scale of 1-100, with only 20% of respondents indicating they’re concerned about loan repayment. Morale is largely unaffected for many, with 53% of respondents indicating it’s about the same as it was prior to the pandemic, and 12% saying morale is high. On the downside, 29% report that morale is low in their organization. Revenue projections in this industry are predictably somewhat grim, as they align with the drop in business participants have experienced. 40% say they expect a steep revenue decline in the second quarter compared to the previous year, and also predict business will decline in Q3 compared to 2019. The percentage expecting a steep decline over 2019 in Q3 drops off dramatically from Q2, with only 7% indicating they expect a steep decline. The picture begins to brighten in Q4, where 40% of respondents expect an increase in revenue compared to the same period in 2019, and another 40% expecting it to be about the same as the previous year. Employee issues top the list of concerns for healthcare industry participants, with 53% reporting this as a concern. Economic recovery timing and concerns about cash flow are high on the list for 47% of