Story by Gemma Beasley / June 27, 2024
If you’ve been on a construction site lately, you may have noticed the fresh-faced workers sporting toolbelts don’t come cheap. Clients are sounding the alarm over the escalating salary expectations of junior construction professionals.
However, we’re increasingly seeing this as more than a fleeting fad. It’s a fundamental shift driven by an industry perfect storm.
The Data Deficit
A striking ZipRecruiter analysis showed that online construction job applications plummeted around 40% between 2019 and 2020, with numbers staying stubbornly low since. Compound this with U.S. Bureau of Labor Statistics data showing over 40% of current tradespeople are 45 or older. With the pipeline running dry and veterans exiting, the skills shortage has left firms scrambling.
As Maria Davidson, CEO of Kojo, laments, “There are about 650,000 workers missing from the construction industry, and construction backlogs are now at a four-year high.” Delays are piling up, and earnings are being left on the table.
Attitudes Realigned
For too long, vocational paths were stigmatized and higher education held up on a pedestal as the sole route to success. But that narrative is fast being reshaped. A survey by Thumbtack reveals that an eye-opening 87% of tradespeople would enthusiastically choose their career again. With 95% feeling secure about their future and 93% optimistic on growth opportunities. For workers in construction, the outlook is sunny.
And when modern developments such as artificial intelligence are being seen as opportunities (92% hopeful about upskilling) rather than threats (95% not worried about AI), it’s clear a mindset evolution is underway. Junior hires are recognizing the skilled trades as a legitimate launchpad for enriching and sustainable careers.
New Salary Landscape
In this environment, the market has tipped in favor of workers. Construction now pays wages a whopping 80% higher than average non-farm jobs, according to Associated General Contractors of America VP Brian Turmail. With such lucrative senior compensation levels, junior salaries have been pulled upward to maintain relativities.
While sticker shock may persist for some clients, this reset represents a paradigm shift – the skilled trades are shedding outdated stereotypes and being reimagined as prosperous career paths. To secure the labor critical for project success, companies must adapt their spend. The junior hard hats calling the shots on-site may be newly minted, but their paychecks are the inevitable product of an industry rewriting its own story.
Exploring New Worlds Together
If you’ve read this far, you’re likely in a similar position to our construction industry clients – working to ensure your junior professional hiring strategies and budgets align with the realities of the energized skilled trades market.
With deep sector expertise, the team at Hudson Cooper Search can help you attract and retain the rising talent powering construction’s renaissance. Reach out for free expert advice on navigating this new terrain.
Construction recruitment agencies are common. Strong partnerships rooted in trust and good communication are rare. Learn why we’re the latter.
Learn MorePut your career in the hands of recruiters who know your worth. We focus on your long term success and strive to make your job search process feel effortless.
Learn MoreThe construction industry's grapevine is buzzing with talk of a job market on the upswing. It's got firms scrambling, and for good reason. Just the...
If you've been tracking the pulse of the construction industry lately, you've likely noticed that wage discussions are all the rage. The workforce, from fresh-faced...
If you've been on a construction site lately, you may have noticed the fresh-faced workers sporting toolbelts don't come cheap. Clients are sounding the alarm...
Even for high-profile, big-budget construction projects, recruiting qualified labor has become an immense challenge. Time and again, firms are met with rejection from experienced professionals...
Every construction leader is tasked with finding and attracting talent to support your company's growth. The trouble is, you’re supposed to do this while juggling...
The shackles are finally coming off. For millions of American workers bound by restrictive non-compete agreements, the Federal Trade Commission's groundbreaking decision to ban such...
Landing a second interview is huge, but don't think you're home free. The industry is ultra-competitive, especially when hiring at senior level. Don’t rely on...
A client recently shared a story that made me rethink some long-held beliefs around employee turnover. They told me about a superintendent named Mike, who...
PWC is a national nonprofit organization that seeks to support, advance, and connect women and promote diversity within the architecture, engineering, construction, (AEC) and related...
When Mike's daughter was born, he was anxious about balancing his construction foreman job with fatherhood. His company offered only 1 week of paid leave,...
As contractors sound alarms over skilled labor shortages, they repeatedly overlook a hidden asset – working moms. While women make up only 10% of the...
Fatigue from years of physical labor sets in. Noisy chaos frays your nerves. You’ve maxed out your pay scale. You’re struggling to see opportunities for...
Buildings account for nearly 40% of global emissions, putting immense pressure on construction firms to prioritize sustainable and net-zero practices. Cities like New York and...
Bonuses work. When done right. While variable pay plans have tremendous potential to accelerate results and incentivize top talent, without proper structuring and communication, they...
As a recruiter in the trenches, I’ve seen the construction industry’s hiring crisis up close. Project managers are slammed, desperately piecing together teams at the...
You've made it to the final round of interviews with your chosen construction firms. After months of rigorous screening, you've proven yourself again and again....
The COVID-19 pandemic brought construction sites grinding to a halt. Teams accustomed to hands-on collaboration were forced into remote work overnight. Many adapted well during...
When clouds roll in, it’s tempting to hunker down and pray for sun. But storms can also offer firms a chance to fortify foundations and...
Any construction company's reputation hinges on the caliber of its craftsmanship. This applies not only to client projects, but also to the employer brand you...
The threat of being replaced can fill even the most seasoned leaders with dread and self-doubt. As new talent arrives, it's only natural to feel...
Every time we talk to a candidate about your company, and the position you need to fill, we have to be able to articulate why...
Recruiting is a transitory process that can feel uncertain – even when the conditions that surround it are perfect. But as staffing specialists within the...
Project lists are an essential part of applying for new jobs in construction. They can make the difference between securing an interview or not and...
Robotics in construction are on the rise, and new market research shows that the sector is expected to swell in value as contractors look to...
© 2024 Hudson Cooper Search, LLC. All rights reserved.
