Attract and retain

The top 10 companies on this year’s Largest Demolition Contractors List generated a combined total of $2.3 billion in revenue, up 92 percent since Construction & Demolition Recycling last compiled its list, and a figure certainly worth celebrating.

One issue remains a challenge for firms in the construction and demolition sectors, though—an insufficient number of workers and subcontractors.

According to the Associated General Contractors of America’s (AGC’s) 2024 outlook report, American contractors report that labor challenges are among their top three concerns, which also include high interest rates, financing costs and ongoing worries of potential economic slowdown.

A new AGC workforce survey released in August found that 94 percent of construction firms report having a hard time finding workers, while 54 percent of contractors report experiencing project delays because of workforce shortages. Another 62 percent of respondents report that available candidates are not qualified to work in the industry because they lack the required skills or certificates.

Recruiting and retaining workers was a top topic at the Washington-based National Demolition Association’s 2024 convention in San Antonio, where a panel of industry leaders discussed the challenges and opportunities facing the demolition sector.

“We are an industry where we have some amazing, talented professionals across the spectrum,” said Brian McKinney, founder and CEO of Gayanga Co., a Detroit-based construction and infrastructure improvement firm.

“As they get older, we don’t see as many young people wanting to fill those rooms. How do we engage the next generation to teach them not only to take pride in the value of our industry but [also] economic opportunities?”

Of the firms surveyed by AGC, 91 percent report they have increased base pay rates for hourly positions during the past year, and 51 percent have engaged with career-building programs like high schools or training facilities in an attempt to attract a new generation of demolition and construction industry professionals.

Across the country, AGC chapters run a host of training and recruitment programs and have partnered with local school districts to create new construction academies, preapprenticeship programs and registered apprenticeships.

However, AGC leaders are calling for increased investment in construction workforce and training programs on a federal level.

“Considering all that this industry and our association are doing to prepare, recruit and retain new workers, we are confident that better federal workforce policies will make a meaningful and lasting difference for the better when it comes to the construction workforce,” says Jeff Shoaf, the association’s CEO.

Congratulations to all the firms that made it onto our Largest Demolition Contractors List and that have continued to excel in the face of these challenges.

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September/October 2024
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