Why Investing In People Is The Future Of Construction
Human capital refers to the value that an individual’s knowledge, skills, and experience bring to a company. It’s what transforms teams with good equipment into well-oiled machines capable of completing projects efficiently and with high-quality results. Unfortunately, the construction industry is lacking in this area.
With many construction companies struggling to acquire talent and their existing workers quickly aging towards retirement, building sites are starting to have the same faces from project to project, leading to overworked employees, a higher risk of injury, and an uncertain future for the field. When the most skilled workers retire, who will be left to replace them? The answer, of course, lies in those who will come on-site after today’s veterans hang up their hard hats.
Investing in human capital now is what will keep companies afloat in the field 20 years from now. Hiring from nontraditional pipelines, supporting the rookies, and breaking down barriers to employment responsibly—these are the solutions to the labor crisis. These strategies are how construction companies retain skilled labor long after the 2030s.
How To Start Investing In People
Hiring From Nontraditional Pipelines
While online job boards and college career fairs are useful, limiting hiring to just those traditional routes causes businesses to disregard thousands of qualified employees. Expanding the search for talent to apprenticeship programs and considering those formerly incarcerated significantly increases the candidate pool. Individuals hired through these pathways are often earnest, eager to work, and much less likely to quit.
While stigma can surround workers from these backgrounds, it's important to remember that these people are still very capable of making a positive impact on-site. They still bring:
Valuable and relevant experience
A desire to work
A strong work ethic
And a unique personality that can blend well with a team
By reducing the barriers to employment, construction companies stand to have a more diverse, stable team than if they were to stick to traditional recruitment alone.
Supporting Existing Employees
Human capital is not simply having a body to put on-site; it’s about getting the most out of somebody’s skills and experience. People need to be allowed to develop within their roles, and that means having a growth mindset companywide. Allow green workers the freedom to ask questions, practice their craft, and get a taste of what more skilled individuals are doing, and more importantly, how they’re doing it. This can:
Plant seeds for future positions to work towards
Help them gain knowledge about the construction industry
Make them more effective in the short term
And teach them about specific skills
The reason for employee stagnation is often a lack of knowledge regarding where to go next. Providing them with that information highlights paths they can go down in the future. This supports their growth and, on a macro level, helps to lessen the skills gaps many construction companies are currently facing.
Building Reputation and Community
Beyond lowering turnover, boosting ROI, and addressing skills shortages, construction companies that hire from nontraditional pipelines and support their current employees build up their reputation in-house and externally. Many people have horror stories about their workplace, especially craft workers. Showcasing a willingness to develop talent and take a chance on employees makes a business very attractive to potential candidates
In terms of community, giving a wider range of people access to careers is very beneficial to those less fortunate. The structure and purpose they offer can be vital to others, especially those looking for a second chance post-incarceration. A more lenient, merit-based hiring strategy helps both the company and the community. A true win-win for every party involved.
If you’re an individual looking for job training or a company seeking out good employees, Bridge Builders can provide both through our apprenticeship program. Our instructor, Chauncy Horton, is a licensed professional contractor in industry disciplines and an incredible teacher, capable of molding rookies into skilled workers. Contact us today if you have questions, or look into our course now!
Sources
How Recruiting Nontraditional Candidates Pays Off
Expand the pipeline! Recruiting and onboarding non-traditional candidates
https://www.firmofthefuture.com/growing-your-firm/expand-pipeline-recruit-candidates/
Responding to US Labor Shortages
https://www.conference-board.org/research/solutions-briefs/responding-to-us-labor-shortages
ABC: 2024 Construction Workforce Shortage Tops Half a Million
Investing in People for Business Growth
The Human Capital Payoff: How Investing in People Transforms Companies