The biggest construction staffing struggles for 2024

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Construction labor struggles will continue in 2024, and it’s not just because of the number of new jobs that will start. The reasons for the lack of qualified candidates this year are many.

For example, although the industry’s workforce is aging, it is failing to attract new workers to train. Hard-to-reach workplaces create challenges for workers who need transportation or child care, and some artisans fail drug tests, making them ineligible for work.

Here are some of the top obstacles to construction staffing in 2024 and what experts say needs to be done about them.

Lack of experience

One of the main problems facing hiring managers is that many candidates do not have the right skills or experience to work in the construction industry, according to a survey conducted by Associated General Contractors of America last year.

In addition, many of the industry’s experienced and trained workers will soon age. The average age of construction workers has increased, and nearly half of construction workers are over 45, according to the Bureau of Labor Statistics.

To mitigate this in the long term, industry leaders have committed to championing construction as a career alternative to university for young students.

“We need to get construction as a very good career opportunity into the minds of elementary, middle and high school-aged kids,” said George Pfeffer, CEO of DPR Construction in Redwood City, California. Pfeffer said DPR has begun visiting third-grade classrooms as studies indicate 9 and 10year olds make decisions about their future so soon.

But in the meantime, bringing workers up to speed may mean shortening training windows and focusing on technology.

“I also see some changes in training speed. That’s where I see the change happening,” said Jacob Snyder, chief operating officer of Cincinnati-based industrial contractor Enerfab. “It takes time, but we’re going to develop that workforce. It’s being able to do it where we might have had a four-year apprenticeship before figuring out how to do it in two years.”

One way to get there, Snyder believes, is to rely on digital tools for training, easier-to-read 3D models and advanced tools that can curb human error.

Transport challenges

More than a quarter of respondents to AGC’s survey said potential employees reported difficulty procuring transportation to and from work. With the nature of construction work requiring physical presence on site to deliver the final product, this poses a real problem.

Snyder said major infrastructure and manufacturing projects bolster the industry, but their location poses a major challenge.

“These jobs require lots and lots of people and we’re finding that local markets usually can’t handle it on their own. We have to bring in people from other places, and that’s not as easy as it used to be to get people who are willing to be away from home,” he said.

Some employers have tried to incentivize carpooling or provide transportation, but even then, a long commute can be a barrier to retaining workers, especially when jobs change from project to project.

In the Bay Area, it’s not uncommon for workers to commute two hours each way, Pfeffer said. However, DPR has offered fuel incentives and less strict scheduling as a means of easing the pressure to get to work.

Childcare problems

Another important factor that limits workers is the need for flexible and quality childcare. The services available do not always meet the needs of construction workers, who may have to arrive early or stay late. One in four respondents to the AGC survey reported that workers needed flexibility with their work schedules to help care for children or another family member.

Danielle Harshman, executive director of the Ironworkers Employers Association of Western Pennsylvania, said she had heard examples of large projects implementing on-site child care, but they were often a one-size-fits-all solution unique

For office workers, hybrid or remote options have grown more since the COVID-19 pandemic: Some employees see the option to work from home as more valuable than an 8% raise, but for trade workers, it is simply not an option.

drug use

As the industry continues to grapple with the opioid epidemic and construction, in particular, faces a mental health crisis where workers often turn to legal and illegal substances, finding workers who can pass the tests for drugs can also pose a challenge.

“Drug testing can be a hurdle sometimes,” Harshman said. “It’s a real thing.”

In fact, one-third of respondents to the AGC survey said their potential workers often fail drug tests.

Regulations that legalize or decriminalize marijuana use have put employers in a difficult position, Harshman said. Homeowners or contractors may require drug testing if they wish, but are not required to do so. Although federal government contractors work for $100,000 or more must have a drug-free work policywhich does not require drug testing.

And drug testing is not about controlling the activity of workers in their free time, but about maintaining safety in the workplace. Until there’s a solid measure of current impairment — how high a person is at any given moment — a drug test is the only metric, so it can be a deal breaker, Harshman said.

He said it’s a security issue.

“It’s no different that you can’t drink in a workplace or use other opiates and things like that,” Harshman said. “So it’s hard when people say, ‘Well, I chose this to work.’ Sometimes I’m not sure how that mindset goes, but it’s a hurdle.”

Roadmap to success

Contractors can’t change the location of jobs, can’t monitor what workers do in their private time, and can’t instantly train new employees up to speed. So what can employers do in 2024?

The short answer is higher pay and an engaging culture, said Aaron Faulk, construction practice leader at Seattle-based accounting firm Moss Adams.

“The bottom line is you have to have a competitive fee structure,” Faulk said. “First of all, if you’re hiring in this market, you say, ‘Look, I have to be competitive just on the overall benefits package.’ And I have to be able to educate people about how my package compares to the rest of the industry.”

From there, Faulk said, employers must articulate the organization’s culture and opportunities for advancement. All sectors will have challenges to overcome when hiring, so building an organization that workers can believe in and that makes an impact will make a big difference.

Pfeffer said the DPR recently undertook a significant culture change. After COVID-19 disrupted so many aspects of his business, Pfeffer said he spent nearly four whole months in 2022 on the road talking to the office and the craftsmen employed by DPR to better understand their needs and, from ‘this year, the company renewed its advantages. package

“Turned on [Jan. 1] We revamped our entire benefits program and gave paid PTO, paid vacation time, bereavement leave, so our benefits are extremely similar whether you’re a manager or an artisan, or no matter where you are in the country.” Pfeffer said.

Asked if the shift had worked, Pfeffer said, “I’m ashamed I didn’t do it sooner.”