Workforce

Attract, Retain and Lead a Multi-Generational Workforce

Contractors should continuously communicate and reinforce the value of working for their company. Construction companies that are known and respected for putting employees first will be more likely to attract and retain a qualified workforce.
By Donald J. Kaiser
May 25, 2019
Topics
Workforce

The shortage of qualified construction workers is taking its toll. Results for the first quarter 2019 USG Corporation and U.S. Chamber of Commerce Commercial Construction Index show that the lack of having a pool of talent to hire is making a major impact on a contractor’s ability to complete jobs on time. According to the findings, 70% of commercial contractors are missing deadlines because they do not have enough workers on the job. As a result, 40% of the companies surveyed claim that they are forced to turn down new projects because they cannot adequately staff the job.

More than 80% of the contractors surveyed are forced to asked skilled employees to work longer hours. While some employees may like the additional money, others are overwhelmed and stressed out by the lack of work/life balance. Fatigued workers are more likely to make a mistake or be involved in an accident.

Attracting and retaining a qualified workforce is important to the success of any contractor. To attract the best workers, business owners have to demonstrate the company:

  • cares about its workforce;
  • is willing to provide employees with opportunities for advancement;
  • has a corporate mission and vision that is in alignment with making a positive impact;
  • provides flexible work hours, family-friendly benefits, work/life balance, good pay and benefits; and
  • invests in the technology to get the job done.

Five Generations of Employees are Now in the Workforce

This is the first time in history that five generations are together in the workforce. Baby boomers are working next to Gen Zers (under age 21). People in their 60s and 70s are working with, or for, people who are in their early 20s.

It is no secret that younger workers are not as interested in a career in construction. Millennials and Gen Z have different expectations and values than previous generations. Both generations are more focused on working for companies that have a mission with which they can align. Both expect to have work/life balance and the opportunity to work remotely.

Gen Z is the first generation that has grown up with technology. Gen Z is expected to contribute more people into the workforce that any other generation. This cohort has a high level of self-confidence and even higher expectations. They believe that meeting the minimum job requirements qualifies them for a position—even if they have little or no experience in the field.

Employee Engagement is Critical

According to a Dale Carnegie/MSW Research study, “Emotional Drivers of Employee Engagement,” employees who have a positive relationship with their managers are 52% more engaged in their work than those employees who have a negative rapport. Engaged performance is achieved by stimulating employees’ enthusiasm for their work and directing it toward organizational success. Employees at engaged companies know that their work is valued and that they make an important contribution to the success of the organization. As a result, employees:

  • feel personally and emotionally bound to the company;
  • take pride in recommending the company as a good place to work;
  • are attached to the intrinsic rewards of working at the company instead of the compensation; and
  • feel a close attachment to the company’s purpose, mission and culture.

Leading Instead of Managing is Key

Leadership engagement drives employee engagement, which is measured by the strength of the relationship between management and staff and the extent to which employees:

  • are committed to the work that they are doing;
  • believe in the values of the company;
  • feel pride in working for the company;
  • are inspired and motivated to go the extra mile; and
  • deliver results.

Leading is very different from managing. Managing focuses on the details, controlling the progress and results, as well as keeping employees on-task. Managing encourages employees to come to the manager with problems and expects that person to provide the answer.

Leading is about empowering employees to understand the details and their relation to the bigger picture. It is about focusing on personal development and appreciating employee suggestions and motivations. Leading inspires employees to come to the leader with alternatives and recommended solutions.

Managing is about standing out in front of team members. Leading is about standing behind team members and setting them up for success.

Anabolic versus Catabolic Leaders

Energy leadership is a process that develops a leadership style that positively influences everyone in the company. Leaders acquire an awareness of how their anabolic (constructive, rejuvenating and sustainable) or catabolic (destructive and draining) behavior affects employee engagement so that they can make a conscious decision to shift to a level that serves everyone better.

Anabolic leaders recognize that they can choose how to respond to any situation and that the decision they make will either motivate and inspire employees or discourage them. Leaders with anabolic energy can shift and re-engage their teams into finding solutions and opportunities just by their reaction. Doing so in critical moments can dramatically change the culture of a team and the company. Catabolism cannot survive if stress and reactive tendencies are cut short.

The first quarter 2019 USG Corporation and U.S. Chamber of Commerce Commercial Construction Index cites several myths about working in the construction industry. These include: all construction jobs are “dirty” (61%), construction workers are required to have brute strength (55%) and working in construction is a job instead of a career (52%). Contractors should continuously communicate and reinforce the value of working for their company. Programs should be established to demonstrate the value a worker will obtain from working at the company internally and externally. Construction companies that are known and respected for putting their employees first will be more likely to attract and retain a qualified workforce.

by Donald J. Kaiser
Donald J. Kaiser, CPA, provides accounting, audit, tax and IT consulting services to McCarthy & Company, PC’s diversified base of medium-to-large construction clients. Don makes it a point to thoroughly know his clients’ business and industry so he can make recommendations that are in alignment with their goals. Construction Executive included the firm on its 2019 list of Top 50 Construction Accounting Firms.

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