Overcoming People Challenges in the Construction Industry

An extra 225,000 construction workers may be needed by 2027, according to the latest Construction Skills Network (CSN) report, which provides insights into the UK construction economy and its future labour needs.  In fact, an increase of just under 45,000 per year is needed over the next five years to meet expected output. Recruiting and developing the workforce for the future remains vital to ensure the industry can contribute to growth, but this is a long-term investment that requires putting HR initiatives at the forefront of the organisation. Ian Barrow, Senior Employee Experience Consultant from WorkBuzz, discusses the industry’s people challenges and how the simple act of listening should be the first step towards nurturing an engaged and motivated workforce.

The construction industry has demonstrated remarkable resilience both during and since the pandemic, but continues to face ongoing people challenges – such as how to attract talent, make hybrid working work, reduce staff turnover, improve the quality of leadership, and support employees’ wellbeing.

The UK is experiencing a difficult employment market and there are challenges to attracting talent to the construction industry. However, this is imperative for meeting future demands against a backdrop of a skill shortages and an ageing workforce. So, how can organisations entice the younger generation, as well as under-represented groups, into the industry?

Creating enough flexibility in where and when employees can work can help encourage younger workers into the workforce. However, the construction industry also has its limits when it comes to being able to offer hybrid and remote working conditions. A building can hardly be built remotely, for example – but understanding what is possible in order to offer a better work-life balance is important.

An additional consideration is how to maintain a thriving culture in a flexible world, as well as how to effectively manage a workforce when some may, at times, be working remotely.  In fact, when a workforce is predominantly ‘deskless’, keeping everyone informed, engaged and motivated can prove an ongoing issue. It’s not unusual for some construction organisations to still rely on paper-based communications to get the word out, but this is hugely restrictive. Understanding the best communication channels, and how to get deskless employees engaged with the organisation and its goals, can be a struggle for many leaders.

When it comes to retaining talent, this isn’t just a construction industry problem. But, if the industry is to grow at the anticipated rate, ensuring talent sticks around is key. Important considerations include re-looking at the onboarding process to ensure commitments to employees are being kept, reviewing whether they’re being given the resources and support needed, and ensuring they’re being recognised and rewarded. Providing career pathways, and real visibility of the growth and development options available to people, will also improve the organisation’s ‘stickiness’.

Quality of leadership can have a huge impact on whether employees stay. If leaders micromanage, are authoritarian and give little praise, an engaged and thriving team is unlikely. Looking at ways to improve leadership with training programmes is one way in which to reduce absence, increase performance and reduce staff turnover – but knowing where the gaps are and then effectively addressing them can often be the hardest part.

Plus, the financial crisis and pandemic have undoubtedly impacted employee wellbeing, and have also reset what employees consider to be important in life. They are looking for employers who care for them as individuals and have more of a compassionate approach.  Employers that don’t address this will struggle to compete moving forward.

With such an array of people challenges to overcome, how can construction companies best address them so that they are a magnet for new talent, and their people are increasingly engaged and motivated?

To bring about positive change, companies must champion an ‘active listening’ or ‘feedback’ culture in which employees are asked what they think, to better understand the employee experience. The most insightful, inclusive and efficient way is through surveys. Not an annual 100-page survey rolled-out every year and the results then shelved and forgotten about, but frequent, online (and mobile-enabled) surveys that are purposeful, to the point, and may only be a few questions long.

These bespoke and ‘pulse’ surveys could explore a number of different topics, from hybrid working and wellbeing through to health and safety. And they must form part of an ongoing listening strategy in which employees are regularly asked for their honest feedback. Leaders can then analyse the feedback and formulate an action plan to improve employees’ everyday working lives.

Pulse surveys can also cover specific moments in the employee lifecycle, such as onboarding and exit, helping organisations to better understand how recruits are being onboarded into the company, and their reasons for leaving. The responses will highlight the elements the business does well and should be replicated, and those that need attention or may even need scrapping altogether.

Using the employee voice to make changes is crucial for prioritising an organisation’s people challenges. The very act of asking employee what they think and then demonstrating that their responses have a very real impact on the direction of the business, also shows to the workforce that their opinions truly count. This in itself will improve employee engagement.

But of course, this active listening approach will only ever be effective if it’s taken seriously by everyone – from the top of the business down. Leaders mustn’t simply view it as a ‘HR thing’, but an important business initiative – giving it the time and resources needed to deliver impactful results.