Engineering, science and teaching: three industries whose vacancies recruiters find more difficult to fill than those from other sectors. They’re also industries that face serious skills gaps in years to come.
In this post, we’re going to show the true cost of skills gaps in one industry that’s already affected by recruitment problems: construction. It’s an issue that some experts believe could push some companies out of business altogether.
Fire-fighting
Building firms are so overrun with projects they only have the time and manpower to firefight, i.e. to recruit staff for their current or next immediate jobs. They’re playing catch-up to such an extent that they’re failing to put any longer-term recruitment plans in place – plans that would not just attract the workforce they need to complete their current work, but also retain them for future projects, with a pipeline of appropriate candidates ready to take the place of employees that leave.
The true cost of recruiting on a short-term basis isn’t just affecting the long-term direction and strategy of a company, it’s also having a significant financial impact on the firms concerned.
Due to a dwindling number of permanent workers and appropriate training programmes - and also because they’re forced to take on contractors at short notice – building companies are paying “excessively high day rates”, as they battle to attain the number of skilled workers needed on site.
Supply and demand
Typical of supply and demand, skills gaps increase the price of labour in any sector as the relevant talent is so sought after. Even though the construction industry is overworked already, if no talent pipelines are put in place, the problem will only get worse, and some businesses could risk going under.
Recruitment web design agencies feel the pressure in such a scenario, too. Their clients push for suitable candidates that agencies also struggle to find. According to recent figures, the hardest roles to fill in construction are those for bricklayers, with 40% of relevant businesses also citing plasterers as particularly challenging to source.
It’s difficult enough for any agency if a client asks for professionals that are notoriously thin on the ground, but when they also drop into the conversation that they’re needed for a contract job some distance away, and one that begins in three days’ time…well, it becomes a big ask. Some agencies also struggle with the reliability of some contractors; whilst the vast majority of construction workers are dependable, capable and available, absenteeism is an issue in the sector.
Candidates’ expectations vs. employers’ demands
Balancing the expectations of talent candidates against the needs of the employer is another challenge for recruiters – if a skilled labourer has a family, for example, they’re not going to be as keen on longer contracts that mean staying away for any length of time. Conversely, neither will they be looking for very short-term projects, even if they’re on their doorstep, when they know their skills are in demand and there’s regular work to be found.
If this sounds like bad news for the construction industry, there are lots of positives. The industry is enjoying a huge surge, such is our nation’s need for housing. The plethora of government grants and external funding available is probably at an all-time high. According to one expert, “Agencies, if they have the workers and can retain them, should be able to make good margins in 2017-18”. Though Brexit may have some influence on proceedings when negotiations get underway, that’s certainly a good thing to hear.
Short-term gains are exactly that, though; they don’t last forever. Recruitment agencies can play a key part in their construction-industry clients’ long-term success; their guidance and advice, with regards to ongoing training programmes and talent pipelines, will help build everyone’s future.
