Finding and keeping skilled, reliable workers is an important focus point — but also a significant challenge. Turnover rates remain high, job seekers have increased expectations, labor shortages persist, and employers feel the pressure to meet project deadlines with a weakened workforce.
During CONEXPO-CON/AGG in 2023, Dr. Larry Kokkelenberg shared strategies to attract top talent and build a resilient workforce. Those insights are now available in a free, downloadable e-book, “Hiring and Retaining Good Employees,” from CONEXPO-CON/AGG.
With over 40 years of experience coordinating workforce efforts with employers, Kokkelenberg has trained more than 200,000 leaders, authored two books, and witnessed firsthand the costly consequences of hiring mistakes.
Recruiting the wrong person for a skilled construction role can bring long-term challenges, including high turnover, increased training costs, and project delays. According to Kokkelenberg, effective hiring starts with identifying the traits and habits of successful employees to create a framework for interviewing and selecting ideal candidates.
This backward approach to recruitment helps companies attract individuals with the right technical skills, safety competencies, and mindset for teamwork, Kokkelenberg said. When companies hire the right people, they not only reduce turnover, but also foster programs where existing employees recommend candidates from their networks.
Your local Doosan Infracore Construction Equip dealer |
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Equipment East |
“When employees communicate to their friends and family about good pay, great management, and growth opportunities, they help develop referral programs,” Kokkelenberg said. “This method of getting the word out to local candidates is particularly useful and fills open employment opportunities with quality candidates.”
Kokkelenberg stressed the importance of proactive outreach to find qualified talent. Initiatives such as summer internships, partnerships with community colleges, soliciting the Department of Labor, and working with the Department of Defense SkillBridge Program for transitioning service members help employers build pipelines of skilled workers. Digital platforms, local job fairs, and community partnerships also play a role.
However, the construction industry saw extraordinary labor shortages throughout 2024. According to the U.S. Bureau of Labor Statistics, in September 2024 the unemployment rate was 3.7 percent and the construction industry had 288,000 open positions.
In the 2024 Workforce Survey by the Associated General Contractors of America and Arcoro, 94 percent of respondents reported having openings for skilled labor positions, a 9 percent increase from 2023.
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WI Clark |
United Construction & Forestry |
“It’s hard to get the exact experience you want today,” Kokkelenberg said. “More organizations will need to invest in training once they hire the right person.”
In fact, in the 2024 Workforce Survey, 42 percent of respondents said they increased spending on training and development while 61 percent reported increased pay rates for hourly skilled labor within the last year.
Once the right people are hired, retention becomes a shared responsibility. Kokkelenberg argued that salaries, work-life balance, job security, and leadership opportunities are critical to keeping employees engaged.
“If employees see no growth opportunities or feel undervalued, they’ll look elsewhere,” he said.
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Tyler Equipment |
Retention also requires investment in training that goes beyond basic requirements. Employees who feel valued and see that their employer is invested in their development are more likely to stay.
“Training should show employees they are part of the company’s future,” Kokkelenberg added. “It’s not just about compliance; it’s about demonstrating their worth.”
Even if all positions are filled, Kokkelenberg advised companies to maintain an ongoing recruitment strategy to prepare for unexpected turnover.
“You are hiring and looking for good people all year long,” he said. “Even when all your crews are together, you’re still looking for good people.”
Your local Bobcat dealer |
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Bobcat of Boston |
Employers must also address internal factors — such as pay scales, work environments, and opportunities for advancement — to minimize turnover and build a stable workforce.
The construction industry’s labor shortage remains a pressing issue, but the right strategies can make all the difference. From effective interviewing practices to strong onboarding programs, employers can create a workforce that not only meets today’s demands but drives long-term success.
Download the free “Hiring and Retaining Good Employees” e-book at conexpoconagg.com.