Facing Serious Labor Shortages, Construction Needs a New Approach

This blog was sponsored by Tenstreet. Tenstreet’s leading platform helps motor carriers and private fleets market, recruit, onboard, manage, and retain drivers, serving millions of drivers since 2006. Learn more at: https://www.tenstreet.com/

The construction sector is currently confronting a pivotal set of issues. As projections indicate an upsurge in construction spending, the industry grapples with multifaceted hiring challenges, including a widening skills gap, an aging workforce, and heightened turnover rates.

Research from the U.S. Bureau of Labor Statistics' Job Openings and Labor Turnover Survey (JOLTS) of November 2023, as disseminated by the Associated Builders and Contractors (ABC), reveals a year-over-year (YOY) increase of nearly 32% in unfilled job positions within the industry. This trend underscores the compounding issue of escalating demand for construction spending and the unavailability of skilled labor.

Further compounding this issue is the rising trend of employee resignations, with a YOY increase of 28%, contributing to approximately 38% of the total vacancies in the sector.

Addressing these recruitment and retention challenges requires a technological approach that transcends conventional desktop recruiting dashboards. Companies need to incorporate mobile applications designed for construction workers. These programs can streamline the job application process, allowing workers to find and apply for suitable job openings efficiently.

Several suppliers have developed mobile apps that exemplify this approach, but make sure that whatever option you choose includes a comprehensive and mutually beneficial worker/manager platform combining dashboard and mobile application functionalities. Being able to connect with workers on their mobile devices means you can stay in communication more easily while they’re on job sites. In addition, look for dynamic engagement between project management and construction crews, experience in working with the challenges of a fluid workforce, and the necessity for continuous recruitment and post-hire training and compliance management.

The best apps will go beyond recruitment. You need a mobile app that can facilitate employee referrals - a critical hiring method in the construction industry. Workers can easily recommend openings to colleagues, and project managers can reward such referrals. Additionally, these apps can be used by workers to efficiently send compliance documentation and complete electronic form submissions, streamlining the onboarding process and reducing the need for multiple site visits.

The goal of any software is to cut down the time it takes to make smart decisions. Any app that can ease the recruitment process, enhance its efficiency, engagement, and accessibility, particularly for a younger, technologically adept workforce, is a winner. And while attracting skilled workers is key, retaining them, and then making communication and post-hire interactions as easy as possible, is vital.

Tenstreet's advanced platform can help the construction sector by streamlining the hiring process. Tenstreet helps construction companies market, recruit, onboard, manage, and retain skilled workers effectively. The platform offers mobile applications that simplify job applications, facilitate employee referrals, and streamline compliance documentation submissions. This not only accelerates recruitment but also enhances worker engagement and retention by enabling seamless communication between project managers and employees. Leveraging Tenstreet's technology can help construction companies address labor shortages, improve workforce management, and maintain compliance, ultimately fostering a more efficient and connected work environment.

By prioritizing background screenings with DISA, construction companies can enhance workforce quality by investing in skills development and career progression. DISA is a trusted name in employment screening solutions, providing a range of products and services to ensure workplace safety and compliance. With decades of experience, DISA is dedicated to helping companies create secure and efficient work environments.

James Hall is responsible for the growth and performance of Tenstreet's Construction product portfolio. He drives the development, user experience, and end-to-end design of the mobile application and web-based platform to seamlessly integrate with the construction industry, and has successfully automated the implementation process for onboarding accounts. He has executed marketing programs to promote products across local, regional, and national Construction markets while also generating a market presence for Tenstreet by speaking at key industry events on integrated technology for the construction industry.