Florida, among other states, is busy tackling labor shortages that have been hindering the construction industry for some time now. In part one of this article, we discussed the growth of labor shortages and the reasons for the shortage. In this final part, we’ll talk about the impact shortages have had on the construction industry, and the ways companies can fight these shortages to position themselves for greater stability and success.
The Effects of a Labor Shortage
A shortage of labor can have a major impact on the economy and as concerned Sarasota construction attorneys, we know that a shortage of workers can lead to legal issues down the line if not handled correctly. One of the reasons is related to the size of the crews on projects. Due to a smaller crew, an increase in overtime is usually the remedy. Although some workers may welcome the increase, some may not. It’s important that there be a balance. Contrary to popular belief, increasing work time may help initially, but typically leads to a decrease in production and performance. Secondly, with a labor shortage, projects will simply take longer to complete which leads to increased costs outside of the planned budget.
Ask the Right Questions
Combating labor shortages begins with asking the right questions. In response, construction companies are having to change some of their practices. Once you get workers, you have to find innovative ways to retain them. Find out what motivates them to do their job. Do they have a young family and desire work-life balance? Are they seeking a challenge and want more advancement? These are just a few questions employers should be asking to understand what makes employees tick.
Ways to Combat Shortages
Companies can fight labor shortages by increasing compensation. Construction companies can increase pay (hourly and salary) to attract and retain workers. Businesses can also provide more competitive benefits and incentives. Keeping workers doesn’t stop at increasing pay. In any field, employees want competitive benefits and incentives. If not, they’ll find the next best employer.
To learn about more ways to combat labor shortages, read part three of our article.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.