Attracting and Maintaining a Skilled Construction Work Force

The construction industry is losing skilled workers to the manufacturing industry due to higher wages, better benefits, and a greater sense of job security. (RS135-1, p. 2)

Thirty percent of contractor companies monitor Rate of Retention (ROR) on a company-wide basis. Of those contractors that perform company-wide monitoring, the average ROR is 70%. Successful companies with a ROR of 80% or greater utilized some retention activities to attract and retain workers while paying competitive wages and benefits, providing a safe work place and good working conditions, and creating permanent job opportunities. (RS135-1, p. 5)

Sixty percent of the surveyed companies have formal recruiting and hiring programs to find qualified workers. Most of those that do not have programs utilize union workers. Likewise, all surveyed companies felt that a formal and documented program to retain workers is important, but only about 40% actually had one. (RS135-1, p. 7)

Craft training program expenditures typically take a back seat to other costs and are usually the first to be cut in the budgeting process. Training must be given a higher priority as it is vital in upgrading skill levels of the workers and safety. Safety performance is negatively affected as most accidents involve new hires due to their unfamiliarity with site conditions; therefore, keeping turnover low can improve safety performance. (RS135-1, p. 12)

Union workers felt safety was more important than benefits. Benefits were more important to the older workers. Craft workers leave the industry for the following reasons (in order of importance): (RS135-1, p. 9)

While contractors use improved job safety to attract and retain employees, the workers themselves felt that safety, or lack of it, is one of the main reasons they leave.

In a survey of high school students for desirable career choices, construction worker was ranked 248 out of 250. Young people viewed construction trades as dangerous, dirty, non-technical, and unprofessional. Influence from their parents discouraging them because it’s not a respectful career, and guidance counselors presenting the industry in a negative light. A 1992 CII study found tradespersons typically leave craft work at age 36, creating another insufficiency as the average age of the national labor force continues to rise beyond 39 years of age. 70% of craft workers who responded to a survey said they would not encourage their children to enter a construction trade as a career. (RS135-1, p. 1)

RS135-1, Activities to Attract and Retain Construction Craft Workers

Examples of key activities to attact employees include: (RS135-1, Appendix A, p. 16)

1. Recruit at trade schools, high schools, and community colleges
2. Pursue reduction in force (RIF) employees to keep them working
3. Work with other contractors for hiring
4. Recruit outside of project locations
5. Have formal written tests and performance tests as a mechanism to hire qualified workers
    

Examples of key activities to retain workers include:

1. Conduct a needs assessment to train workers on a continuous basis
2. Conduct supervisory human relations training
3. Tie documented wage progression to skills
4. Give long-term preferential treatment to tenured employees
5. Inform employees of project progression
6. Emphasize the community side of construction

RS135-1, Contractor Field Personnel Pre-Qualification Checklist

This checklist is to be used to pre-qualify construction contracctors for stffing of projects. The objective is for owner companies to pre-qualify contractors on their abiity to retain craft workers on projects. (RS135-1, Appendix B, p. 21)

A few examples of items on the checklist include:

1. ROR for the last few projects
2. Journeymen certification and craft level assessment process
3. Activities employed in attraction and retention programs
4. Craft training programs for the specific project and history of training programs
5. Benefit programs for crafts
6. Wage survey data and basis
7. Craft worker career development process