Recruiting, retention and training in construction

Carlos Maldonado tried to get OSHA training and certification for years.

Born in Puerto Rico and raised in Brooklyn, New York, from the age of 5, Maldonado said he had recently worked in delivery and factory work and was unemployed for a year before that. He said he had long sought a career in the construction trades, but couldn’t pay for the classes needed for certification.

All that changed when Maldonado, 40, found the Andromeda Community Initiative,  a local nonprofit providing free professional development to underserved and underemployed populations in an effort to connect them with careers in the construction trades. Now he works for Brooklyn-based exterior renovation firm Skyline Restoration, where he said he’s making $25 an hour, $30 on the weekends, considerably better than his previous jobs.

ACI helped him to get the necessary training — and later the job. He graduated from the ACI program in February.

“Once I got all my certifications, I went and spoke to [ACI and they said], ‘Listen, come in Monday you got an interview. Tuesday, you got an interview,’” Maldonado told Construction Dive. “So it was like for the better. Period.”

ACI background

Launched in 2018 in partnership with several building restoration contractors, Long Island City, New York-based ACI has trained over 700 people in workforce and trades skills and is on track to serve another 200 in 2024. The nonprofit claims it graduates 85% of enrollees and places about four in five into jobs within nine months of program completion.

The majority of participants are people of color, according to the nonprofit, and are often individuals trying to overcome homelessness, criminal justice reentry or dependence on welfare. Maldonado, for example, said he discovered ACI from a welfare program connection.

The nonprofit offers a multitude of training opportunities, even transforming a warehouse to a practice jobsite, full of scaffolding and power tools.

Attendees get certifications in suspended and supporting scaffolding, site safety, silica awareness, DOT flagging and more, according to Sophia Oliveira, the organization’s director of development and fundraising.

The primary offering, however, is a five-week cohort in masonry and general construction, Oliveira said, but ACI also launched last year an eight-week cohort that tacks on “an additional three weeks that really hone in on green construction and energy-efficiency skills,” Oliveira said. 

After that, the company helps with both new job placement and re-placement after furloughs, said David Nidus, executive director. Even beyond that, Nidus said, ACI will help enrollees to advance in their careers in ways such as through securing supervisor certifications.

Barriers to entry

From transportation to childcare or reentering the workforce from incarceration, ACI helps individuals who often face obstacles to long-term employment, especially when they need training.

Sometimes, those barriers come from unrealistic expectations from the industry.

“I think one of the things we hear from employers sometimes is, ‘That's great. Your program sounds interesting, but we want people with two years experience,’” said Nidus. “And one wonders how anyone ever gets a job in the field because everyone needed two years experience.”

Nidus said he sympathizes with that mindset, as contractors often have to focus on delivering projects rather than training employees. 

“The idea of that, maybe, that you’re going to have 20 people on a jobsite and they’re all relatively green, that’s not maybe the way you want to set up your jobsite, I get that,” he said. “But what I do realize is that there should also be a mix of people. You should always be thinking about who’s going to be staying with your company over the long term.” 

One method ACI has adopted for getting workers experience without putting too much risk on employers is providing supportive internships, Oliveira said, encouraging employers to test out newly trained ACI grads for $18 to $20 an hour.

“We’ll cover their salary and insurance for a 200-hour period,” Oliveira told Construction Dive. “We’ve had quite a few employers actually hire full-time from that intern pool. So, again, it’s really about bridging the gaps to employment, offsetting wages and meeting graduates where they’re at in their journeys.”

Post-graduation

Speaking to Construction Dive as he took the train and walked home on a Friday evening, Maldonado said he had made new connections through ACI, both within the organization and at his new employer. 

He also has connected other people to the nonprofit, including a friend who seeks to reenter the workforce after 10 years of incarceration. He said he knows the opportunity the trades present, but also encourages those he’s introduced to ACI to work hard — in part to not make him look bad for recommending them, he joked.

“I owe these people a lot. Like my life has not only changed for the better,” Maldonado said. “I'm able to take care of my daughter better. I'm able to take care of myself better.”

Correction: This article has been updated with the correct spelling of Sophia Oliveira’s name.

The Biden-Harris administration is expanding the Registered Apprenticeship program in certain U.S. industries and investing in workforce development to provide job access to women, people of color, veterans and other historically marginalized workers, according to a July 11 announcement from the White House.

As part of the administration’s broader Investing in America plan, the investments are intended to create training pipelines for in-demand jobs, regardless of college degree.

“To do that, the Administration launched nine Investing in America Workforce Hubs across the country that are bringing together unions, local governments, employers, training providers, schools, community colleges, and other stakeholders to facilitate partnerships to train and connect workers to jobs in high-demand sectors,” according to the announcement.

In 2023, the Biden administration launched five workforce hubs in Augusta, Georgia; Baltimore; Columbus, Ohio; Phoenix; and Pittsburgh, which expanded pre-apprenticeships and registered apprenticeships, trained workers and supported community college programs. This year, four new hubs will start in upstate New York, Michigan, Milwaukee and Philadelphia.

As part of the July announcement, Philadelphia launched new efforts to build workforce development pipelines to attract workers. For instance, the Geographic and Economic Hiring Preference program aims to hire 50% of apprentices and 20% of journeypersons on certain public works projects from economically disadvantaged neighborhoods across the city, ensuring 200 new apprenticeships in underserved communities. 

Nationwide, new investments in pre-apprenticeship programs aim to double the number of people moving into registered apprenticeships and increase apprentice retention rates. The funding is slated to reach communities across 32 states.

Additional funding will support the Registered Apprenticeship program, including public-private partnerships across in-demand fields, such as clean energy, advanced manufacturing, IT and cybersecurity, and K-12 education.

Although apprenticeships remain outside the mainstream in the U.S., they’ve received more attention in recent years, particularly as part of Biden administration expansions. The apprenticeship programs are intended to serve as another avenue to fill talent gaps and build pipelines, particularly in industries that don’t receive high interest from younger workers.

However, earlier in 2024, Republican lawmakers told the U.S. Department of Labor that a proposed rule about the Registered Apprenticeship program would disincentivize small businesses from participating. The lawmakers complained about administrative requirements, including mandatory disclosures and required adoption of a time-based model for apprenticeship completion.

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The construction industry is at a pivotal point, facing challenges that could significantly impact its future. Among the most pressing are the skills gap, the related need for upskilling and the attraction and retention of top talent. If left unaddressed, these issues threaten the industry's ability to deliver high-quality projects on time and within budget.

As such, construction industry businesses must innovate to address the skills gap and improve talent attraction and retention. One unique and effective solution lies in transforming the workspace. By updating physical work environments to promote upskilling, collaboration and well-being, companies can set the stage for a more skilled, satisfied and loyal workforce.

Understanding the Why: Why Your Workspace Matters

Employees connect their physical office space with how invested their employer is in their success, and construction firms have an opportunity to demonstrate their commitment to their employees' satisfaction, growth and development. Moreover, the physical workspace plays a crucial role in addressing attraction, retention and upskilling. A modern, well-designed workspace can significantly enhance the appeal of the construction industry to young professionals – a critical point as skilled laborers continue to age out and retire.

By creating a functional and aesthetically pleasing physical work environment, businesses can attract talent who value comfort, flexibility and innovation in their work settings. Additionally, a thoughtfully designed workspace can facilitate more effective upskilling initiatives. Training areas that are purposefully arranged to support in-person training programs can help businesses get the most out of their training sessions.

By investing in these spaces, businesses can enhance the efficiency and effectiveness of their training programs while demonstrating their commitment to continuous learning and professional growth. This, in turn, can boost employee morale, reduce turnover rates and enhance overall productivity.

3 Ways to Demonstrate Commitment to Employee Growth and Development in Your Workspace

To address these pain points, we propose a unique and transformative solution: updates to the workspace. The workspace is more than just a physical location — it’s a critical factor influencing job satisfaction, productivity and professional development.

1. Create collaborative work and learning environments – Designing workspaces that facilitate collaboration and continuous learning can significantly impact upskilling efforts. These spaces can host workshops, virtual reality training sessions and hands-on demonstrations, bridging the gap between theoretical knowledge and practical application. For example, a well-designed training room with visual aids and easy-to-reconfigure furniture can provide a dynamic learning environment where employees can enhance their skills in real time.
2. Make design choices with employee needs in mind – Modern workspaces should prioritize the well-being of employees. Ergonomically designed furniture, adequate lighting and climate control can make the work environment more comfortable, reducing physical strain and fatigue. Workers who feel physically comfortable are more likely to stay engaged and perform at their best. Additionally, incorporating elements such as natural light, greenery and quiet zones can contribute to a healthier and more pleasant work environment, boosting morale and productivity.
3. Tie in company branding and values – A well-designed workspace can also foster a positive organizational culture, which, in turn, is a powerful tool for both attracting new talent and retaining existing employees. By creating a space that reflects the company’s values and encourages collaboration, companies can build a sense of community and belonging among their employees.

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This article is one in a series of conversations with women leaders in the construction industry. Click here for past discussions.

Safety Manager Carla Wynn is responsible for oversight of all of Oklahoma City-based T&T Industrial’s federal and state regulations, including touring jobsites to monitor safety compliance. She also ensures that employees of the mechanical contracting company have proper training and appropriate certification.

With nearly 30 years of experience in material handling, road building and fabrication, Wynn is a Certified Safety and Health Official and is authorized via OSHA’s Train-the-Trainer program, which equips employees to educate others. She has OSHA’s Outreach Training Program 30-hour certification, as well as CPR, first aid and first responder certifications.

At T&T, Wynn told Construction Dive that she “wears a variety of hats in my role managing all safety compliance aspects.”

Here, Wynn talks with Construction Dive about her work as an instructor for middle school girls considering a career in the industry and why she is passionate about construction and safety.

This interview has been edited for brevity and clarity. 

CONSTRUCTION DIVE: What led you to choose construction for your career?

CARLA WYNN: My older brother had a safety company and asked me to work for him. He then enticed me with a full-time position after I completed my bachelor’s degree in environmental health and safety. I did join him, but then I went to work for someone else.

What do you do in your current job?

I make sure everyone is trained correctly and ensure all employees are certified to do the jobs they are hired to do. 

I take care of all our regulations for federal and state compliance measures as well as touring all jobsites to ensure compliance for all T&T employees working on the site. 

What are a few of the projects you’ve most enjoyed working on and why? 

My favorite project so far working at T&T has been the Centrillium Protein meat processing plant in Midwest City, Oklahoma. I love working on projects that have impact in my local community.

What are the benefits of working in construction? 

Working in construction has a lot of perks. You get to work with a team, see projects come to life and have lots of opportunities to advance. The personal satisfaction of seeing your hard work come to life is unbeatable. 

Plus, with a high demand for workers, you can count on job security. And, because the industry is constantly evolving, there’s always something new to learn.

What advice would you give to young women considering construction as a career?

As an instructor at Construct My Future, an Oklahoma City summer day-camp that helps middle school students learn about the many careers and skilled trades in the construction industry, I am particularly interested in making young women aware of opportunities in construction.

Women can do anything they put their minds to. Construction is not just a man’s world anymore. More and more women are joining the industry and I am proud to be a member of that group.

Dive Brief:

• As the labor gap continues to widen, builders need to think of different, creative ways to attract new labor and bolster what they already have, according to an April report from consulting firm McKinsey.
• The picture that the firm paints is grim. In skilled trades roles such as construction laborers, welders and electricians, the firm said for every successful new hire in the industry, there will be an additional 20 job openings to fill. Illustrating how robust demand for workers is, average wages in manufacturing and construction have increased by more than 20% since the first quarter of 2020.
• To rectify these issues, McKinsey says that builders must turn to solutions that include collective action across public, private and social sectors, along with technology. The report’s authors pointed to, for example, an engineering firm on an unnamed high-profile project that secured scarce skilled workers with attractive sign-on bonuses and relocation packages.

Dive Insight:

McKinsey noted that construction laborer positions are among the hardest jobs to fill, as about 80% of all construction firms struggle to find workers. This, coupled with the flood of cash from the $1.2 trillion Infrastructure Investment and Jobs Act, which could increase the amount of needed positions by 345,000 jobs, according to the report, could potentially worsen the situation as more money disburses from the bipartisan infrastructure law.

“Persistent challenges in filling vacancies are already delaying projects, hampering quality control, and raising costs—and are likely to worsen as demand for megaprojects accelerates,” wrote the report’s authors.

McKinsey’s findings build on its oft-cited report from 2017 about the lack of productivity gains in construction. While certain industries, such as agriculture and manufacturing, have increased productivity 10 to 15 times since the 1950s, the productivity of construction has been stuck in the same place it was at 80 years ago. Worse, the firm found productivity in construction has actually been declining since the 1960s.

To combat the issue, McKinsey cited the engineering firm that enticed workers with high pay packages, as well as the use of robotics. For example, the report referenced a heavy equipment manufacturer that used what it called “cobots'' to automate repetitive tasks and free up workers, resulting in a 40% productivity gain and a 50% improvement in resource utilization. It also pointed to an electronics manufacturer that used digital twins and remote controls, which allowed employees to problem solve issues from anywhere in the world, which reduced vacancies by 25% and nearly doubled productivity.

The idea that technology could fix construction’s labor woes isn’t a new one, but rapidly advancing products, like generative artificial intelligence, could help builders save time and money, according to panelists at the National Institute of Building Sciences Building Innovation Conference in Washington, D.C., on May 20.

Other tech, such as robots, are on the way, but won’t dominate the jobsite in the near future. They can move around, execute simple tasks and have even been successful operating one experimental jobsite on their own.

“In the short term, with labor increasingly scarce and expensive, productivity is the answer to prosperity,” the report’s authors write.

Dive Brief:

• Construction job openings plummeted by 71,000, or about 19% from May to June, according to the Bureau of Labor Statistics’ latest jobs report released Tuesday. The data measures positions for which employers are currently hiring.
• The 295,000 available jobs on the last day of June marked a 29% decrease from the same month in 2023. In total, 3.5% of all construction jobs went unfilled in June.
• Experts continue to ascribe recent drops in job openings to slowdowns in residential construction, saying that high interest rates have dragged down home building backlogs, while infrastructure and manufacturing spending continue to anchor commercial work.

Dive Insight:

The demand for commercial construction workers likely isn’t going to lessen.

“More new housing units were completed in June than in any month since January 2007, and high interest rates have weighed on home builders’ backlogs,” said Anirban Basu, chief economist for Associated Builders and Contractors, in a news release. “Nonresidential construction retains momentum due to strength in certain segments like manufacturing and infrastructure, and that should keep the demand for labor elevated.”

The big drop in openings suggests slowing demand, but a lower rate of layoffs suggest firms still expect they’ll need workers in the near future, Ken Simonson, chief economist for Associated General Contractors of America, told Construction Dive.

In June, 133,000 construction workers were laid off and 124,000 quit, down 11% and 34% from the month before, respectively. In addition, the unemployment rate for workers with construction experience was 3.3% in June, the lowest rate for the month in the 25-year history of the report, according to Simonson, and lower than the nationwide rate for all industries.

“That suggests experienced workers are scarce and helps explain why construction firms aren't laying off the ones they have, even if they don't have as much work for them at the moment,” Simonson said.

Simonson noted the BLS doesn’t break out residential from nonresidential in its measurements, which can make it challenging to interpret the data. That said, he also remarked on the decrease in homebuilding.

“I think there has been a big drop in office and warehouse projects, as well as residential. That should be outweighed by extremely strong growth in data centers, continuing strength in manufacturing and a pickup in renewable energy and infrastructure work,” Simonson said. “But the timing of the energy and infrastructure projects is unpredictable and may leave contractors pulling back their Help Wanted signs for the time being.”

Samantha Barnett, a student at Hardaway High School in Columbus, Georgia, was eager to learn the trades, even before she was old enough.

“I snuck into my school’s construction program my freshman year, which you’re not supposed to do,” Barnett told Construction Dive. “And I’ve loved construction work ever since.”

Now 18, Barnett will attend Columbus State University in the fall, seeking a degree in business and entrepreneurship. Her passion for carpentry has led her to take on a number of projects, such as wood carvings, decorations, photo booths and sets for school plays.

Earlier this month, Barnett competed in cabinetmaking competition at the CareerExpo event in Atlanta, run by Construction Ready, a nonprofit organization that helps train people for entry-level construction jobs. 

This year, over 7,000 students of all ages attended the expo, the largest youth workforce development event for construction in the state. 

Industry professionals from over 300 Georgia companies participated to talk about their organization’s work and career paths in the trades, while dozens of colleges and universities advertised careers in architecture, construction, government administration, public safety, transportation and more.

The expo’s competitions, like the one in which Barnett competed, were run by SkillsUSA, a career and technical student organization that enrolls members from middle, high school and trade colleges. SkillsUSA hosts contests for multiple trades, such as carpentry, welding, plumbing and masonry. At CareerExpo, visitors could see those contests on display at the Georgia World Congress Center March 9 and 10.

Barnett competed for about three and a half hours on the second day of the event against 20 other students to build the best cabinet. Barnett won her contest. As a result, she earned a box of prizes and the chance to compete at SkillsUSA’s National Championship in June.

Showing off the trades

The partnership between Construction Ready and SkillsUSA began two decades ago, Scott Shelar, Construction Ready’s president and CEO, told Construction Dive.

Back then, the contests like those at the CareerExpo were hosted in a Home Depot parking lot — the only place they could book with enough space, a far cry from the bustling conference center this month.

Since the pandemic, there hasn’t been an in-person CareerExpo, and Shelar said he was concerned people may not remember the event, nor turn out in numbers like in the past. Nonetheless, he said, the 9,300 who attended set a record for the event.

Shelar said this year’s expo included other fun learning experiences, like a CAT excavator simulator and a demonstration on running a basic electrical circuit.

From the expo floor to the jobsite

Shelar said several of the students who compete quickly find employment; this year 469 competitors entered 24 different contests. Barnett interviewed with a local cabinetmaker last week. Nonetheless, the expo is just one major step Construction Ready uses to raise awareness of the career path the trades offer.

“Remember that there’s no one thing that will convince a young person that ‘Oh this is what I need to do,’” Shelar told Construction Dive. 

As a result, he advised local contractors to get in touch with local career technical instructors, likening contractors to a college football coach.

“The best college football coaches in the country build relationships with high school football coaches. When they have a good relationship, the high school coach will call and say, ‘Hey we got a good student here,’” Shelar said. “Same goes for CTE. The only way that’s going to happen is if they know you’re out there and you build a relationship with those teachers.”

After spending four years studying at Hardaway, Barnett is now dual-enrolled; she spends her afternoons at Columbus Technical College. At the same time, her teacher Paul Grantham says she’s been more of a helper than a student, taking part in constructing any projects he has to take on for the school.

Barnett hopes her business degree will enable her to own and operate a custom furniture and woodworking business. She speaks with an eagerness and passion for her work, but knows construction and other blue collar trades are not a path that’s obvious to everyone.

“I’ve known a lot of people in this school who wanted to be in this construction program or a program like it and had never even heard about it,” she said.

Of CareerExpo, she said “it just opens doors for people,” and suggested contractors find similar events to open a booth and find passionate young people like her.

Dive Brief:

• The U.S. Department of Commerce is trying to bring more women into the construction workforce, with the help of some familiar names in the industry. Several construction companies signed the Million Women in Construction Community Pledge on Tuesday, following a round table discussion led by Commerce Secretary Gina Raimondo.
• By signing the pledge, companies are committing to improve equitable hiring practices and invest in supportive services, such as child care. 
• Through the Million Women in Construction initiative, Raimondo has set the ambitious goal of doubling the number of women in the industry in ten years. In April 2024, 14.3% of all construction workers were women, according to the Bureau of Labor Statistics. That percentage has risen and fallen marginally over the last few years, but is largely unchanged from women’s 12% share in 2013. 

Dive Insight:

Tuesday’s announcement follows another this month launching the CHIPS Women in Construction Framework, a set of five best practices for increasing the participation of women. The pledge will follow the same concepts in the framework. They are:

• Set goals and monitor progress towards increasing the participation of women on CHIPS-funded construction projects.
• Build community partnerships with community organizations with a track record of increasing women and economically disadvantaged individuals’ exposure to and recruitment into the construction industry.
• Develop training pathways such as training investments, apprentice utilization goals or apprentice readiness program partnerships that serve women and economically disadvantaged individuals.
• Provide access to supportive services such as child care or transportation that will increase retention of women and economically disadvantaged individuals in the workforce.
• Maintain healthy, safe and respectful workplaces and prevent and address harassment, discrimination, retaliation and violence through workplace training, policy and practice.

When announcing the framework, the Commerce Department said it got voluntary commitments to the best practices from Intel Corporation and Micron Technology.

Raimondo said the timing of federal funding for construction — including the CHIPS and Science Act — has led to a construction boom.

“Many of these are good-paying, quality jobs you can get without a college degree, and women deserve equal opportunity for these jobs,” said Raimondo in a release.

Companies present and signing the pledge include:

• Baker Construction.
• Gilbane Building Company. 
• McKissack & McKissack. 
• Mortenson. 
• Power Design. 
• Shawmut Design and Construction.
• Suffolk. 

Raimondo called on more companies, unions and training groups to also sign the pledge. John Fish, CEO of Suffolk and chair of Tuesday’s roundtable, highlighted the need for new faces on the jobsite.

“The construction industry continues to face significant labor challenges due to the aging workforce and dwindling number of young people entering the construction field,” Fish said. “There is a critical need to attract more talent and diversify our workforce to ensure we have the resources to build our cities and grow our economy.”