biannual topic hiri survey · 2020-04-09 · the home improvement research institute wanted to...

Biannual Topic HIRI Survey: Labor Shortage in the Construction Industry

Spring 2020

Table of Contents

2

PROJECT TEAM:

Grant Farnsworth

Account Manager

Kimber Kreilein

Project Manager

Page

PROJECT OBJECTIVES AND METHODOLOGY 3

RESPONDENT BREAKOUT 4

KEY TAKEAWAYS 5 - 10

SKILLED LABOR SHORTAGE PERCEPTIONS 11 - 27

DEMOGRAPHICS 28 - 30

APPENDIX 31 - 55

April 2020Biannual Topic HIRI Survey

© Home Improvement Research Institute

Objectives and Methodology

3

Project Methodology

▪ The online survey was administered from March 20th to March 30th.

▪ The sample for the study included 509 respondents across various construction and remodeling trades within the five industry segments.

▪ The sample was from a The Farnsworth Group vendor partner. This is a different panel than in previous studies where it was fielded

through HomeAdvisor subscribers.

▪ Respondents must have been at least 21 years old.

▪ Each respondent must have done at least 50% of their work on residential projects.

▪ Remodelers and general contractors had to do a majority of their work in the remodeling space (at least 51%).

Project Objectives

▪ The Home Improvement Research Institute wanted to better understand data across various topics of the home improvement

market.

▪ HIRI was interested in perceived skilled labor shortages, how contractors are attracting and training new workers, perception

of the overall skilled labor market.



Respondent Breakout

4

201

51

89

105

63

Remodeler Group Exterior Group Mechanical Group Finish Group Landscape Group



Key Takeaways

5

6

Labor Shortage in the Construction Industry

6

Drop-in

Almost 3/4ths of Pros felt there is

an industry labor shortage.

6

Drop-in

Yes, there is a skilled labor shortage in the

construction industry

Don

’t k

no

wNo

72% 24%

5% 7.52

6.95

6.54 6.52

Lack of skilled

labor

Lack of benefits Lack of interest Large increase in

project demand

The top factor impacting the labor

shortage is lack of skilled labor.

10.00

0.00

April 2020

Less than half felt there is a skilled

labor shortage in their company.

If “Yes” to

either

question

The shortage of skilled labor was believed to impact

the timeliness of projects for 2/3rds of pros.

Yes, there is a shortage

of labor in my companyNo

57% 42%

66%57% 51% 50%

Extending timeliness

of projects

Increased overtime for

employees

Turned down potential

projects

Forced delays in

completing a project

Biannual Topic HIRI Survey© Home Improvement Research Institute

7

Labor Shortage in the Construction Industry

7

Drop-in Clamp-on

Thread-on

7

Drop-in Clamp-on

Thread-on

Half of pros stated that they have

projects delayed due to skilled labor

shortage.

Of those with delayed projects, an

average of 22% are delayed.

They are delayed an average of 4

weeks.

April 2020

38% - Using more time-saving products to speed up the process

37% - Specializing in a smaller range of projects

34% - Narrowing the geographic area you take jobs

53% - Taking fewer total projects

35% - Only taking higher-paying projects

33% - Added a training/apprenticeship program


The top tactic used to combat a company labor

shortage is to take fewer projects.

88

Drop-in Clamp-on

Thread-on

Almost 2/3rds of the companies

are looking to increase its

jobsite labor force.

8

Drop-in Clamp-on

Thread-on

Do

n’t

kn

ow

61% 33%

6%

Referral is the top technique to find new jobsite

workers, while websites are also popular.

Do

n’t k

no

w

Employment, Payment, and Training of Jobsite Workers

NoYes, we are searching to increase

jobsite labor

23%

31%

40%

67%

Certification classes

Apprenticeships

Trade specific training

General jobsite training

Increased starting wages, promise of future wage

increases, and flexible schedules are the top

methods of attracting or keeping skilled laborers.

59%

41%

April 2020

49%

General jobsite training is the training

program most often offered new workers.

Company

websiteReferrals

Job search

website

50% 41%

46%

Increased

starting

wages

Increased

future

wages

Flexible

schedule


99

Drop-in Clamp-on

Thread-on

Community outreach is the top

method of recruiting young talent.

9

Drop-in Clamp-on

Thread-on

Only a quarter of pros have heard

of Generation T movement.

Do

n’t k

no

w

Employment, Payment, and Training of Jobsite Workers

Most think there are the same number of trade

professional employees in past 2 years.

April 2020

56%

When employees leave their company for another,

they are split almost equally between staying and

not staying in the construction industry.

38%31% 30%

Community outreach High school outreach Career fairs

25%

68%

7%


No

Yes

Not sure

Same 16%

28% Increase

Decrease

51%49%

Stay in

industry

Leave

industry

36%

36%

28%

1010

Drop-in Clamp-on

Thread-on

Over a quarter of pros feel the skilled

labor situation will be worse in the next 2

years.

10

Drop-in Clamp-on

Thread-on

Skilled Labor Viewpoint

April 2020

Better

Stay the same

Worse

12%

12%

16%

More jobs available

More people entering

trades

How it's trending

9%

29%

Lack of interest

How it's trending

10%

21%

41%

Coronavirus crisis

People are lazy

Lack of interest


Skilled Labor Shortage Perceptions

11

12

?

Belief in a Construction Industry Labor Shortage

Do you feel there is a shortage of labor in the construction industry overall? (n=209)

April 2020

62%

23%

15%

65%

23%

12%

72%

24%

5%

Yes No Don't know

Q4 2017 Q1 2019 Q1 2020

More professionals now believe there is a labor shortage in the construction

industry.

The increase comes from those who were unsure a year or two

ago.


13

?

Belief in a Labor Shortage in Your Company

Do you feel there is a shortage of skilled labor within your company? (n=509)

April 2020

42%

57%

2%

Yes No Don't know


Impacts on Construction Labor Shortages

14

(If feel there is a labor shortage) What type of impact do you feel the below factors have on construction labor shortages? (n=378)

?

April 2020

0 1 2 3 4 5 6 7 8 9 10Very low impact Very high impact

Mean Summaries

*Not asked in 2017.

While still the most influential factor,

Lack of skilled labor has steadily become less impactful over the past 2 years.


5.51

6.37

6.52

6.54

6.95

7.52

5.31

5.54

6.65

6.68

6.46

8.02

6.05

5.84

6.62

7.09

0.00

8.39

Immigration policies

Low wages being

offered

Large increase in

project demand

Lack of interest

Lack of benefits*

Lack of skilled labor

Q4 2017

Q1 2019

Q1 2020

50% 51%

57%

66%

48%45%

39%

30%

2% 4% 4% 3%

Forced delays in completing a project Turned down potential projects Increased overtime for existing

employees

Extending timeliness of projects

Yes No Unsure/ don't know

15

Effects of Skilled Labor Shortage

(If feel there is a labor shortage) Has the shortage of skilled labor had any of the following effects on your business? (n=378)

?



16

Percentage of Projects Delayed by Skilled Labor Shortage

?(If feel there is a labor shortage) What percentage of your company’s projects are delayed due to skilled labor shortages? (n=378)

April 2020

11%

6%

11%

17%

24%

14%

17%

26%

5%

22%

12%

22%

7%

6%

21%

8%

15%

17%

17%

14%

7%

Don't know/Not sure

More than 50%

31-50%

21-30%

11-20%

6-10%

0-5%

Q4 2017

Q1 2019

Q1 2020


17

Number of Weeks Projects are Delayed by Skilled Labor Shortage

?(If company has projects delayed due to labor shortage) On average, how many weeks are those projects delayed? (n=296)

April 2020

3%

35%

41%

22%

21%

35%

27%

17%

18%

41%

28%

13%

Don't know/Not sure

3 or more weeks

2 weeks

1 week

Q4 2017

Q1 2019

Q1 2020


18

Tactics to Combat Labor Shortage

(If feel there is a labor shortage within their company) Which, if any, tactics has your company been using to combat a labor shortage within your company? (Aided) (n=213)

?

Top responses only.

3%

7%

33%

34%

35%

37%

38%

53%

Other

None of these

Added a training/apprenticeship program

Narrowing the geographic area you take jobs

Only taking higher-paying projects

Specializing in a smaller range of projects

Using more time-saving products to speed up the process

Taking fewer total projects

April 2020

Over half of pros that feel there is a labor

shortage in their company are taking

fewer projects because of the shortage.


19

?

Company Seeking to Increase Jobsite Labor Force

Is your company actively searching to increase its jobsitelabor force? (n=509)

!Caution, small sample size.April 2020

41%

52%

8%

37%

53%

10%

61%

33%

6%

Yes No Don't know

Q4 2017 Q1 2019 Q1 2020

In a significant change from last

year, almost a third of employers

are looking to increase their

jobsite labor force.


20

How Company is Finding New Jobsite Workers (Aided)

?(If company is actively searching to increase jobsite labor force) What is your company doing to find new jobsiteworkers? (Aided) (n=309)

April 2020* Totals may exceed 100% due to multiple responses.

16%

30%

31%

35%

38%

41%

50%

59%

8%

9%

17%

14%

13%

32%

34%

77%

12%

9%

18%

10%

14%

30%

30%

79%

School career offices

Work with recruiter

Career/job fairs

LinkedIn

Printed materials (newspapers/magazines)

National/local job websites

Company website

Referrals from friends/ relatives

Q4 2017

Q1 2019

Q1 2020

While referrals are still the top way to find new

workers, additional methods are being used more frequently than in

previous years.


38%

30%26%

16%

9%

37%

49%46%

41% 40%

27% 26% 24%

14%

Increased starting

wages^

Promise

increased wages

going forward^

Flexible

schedules

Provide free

training

Loyalty bonuses Paid days off Improved medical

benefits

Nothing

Q1 2019

Q1 2020

21

How Companies are Attracting or Keeping Skilled Laborers (Aided)

What are you doing to attract new skilled workers to your company or keep current ones? (n=509)

?

^Asked differently in 2019. Salary was included in the question and

therefore not a possible response.Top responses only.

April 2020

*Not asked in 2017.


22

Training Offered New Workers

? What, if any, training or apprenticeship programs does your company offer for new jobsite workers? (Aided) (n=509)

April 2020* Totals may exceed 100% due to multiple responses.

Top responses only.

11%

1%

0%

23%

31%

40%

67%

22%

6%

2%

14%

15%

20%

62%

9%

31%

2%

8%

14%

16%

47%

Don't know/Not sure

None/Nothing

Company/on the job training

Certification classes

Apprenticeships

Trade specific training

General jobsite training

Q4 2017

Q1 2019

Q1 2020


23

Efforts to Recruit Young Talent

What, if any, effort is your company undertaking to help recruit young talent into the construction trades? (Aided) (n=509)?

Top responses only.

32%

3%

2%

1%

1%

30%

30%

38%

Don’t know/Not sure

None/Nothing

Other

Not hiring/looking

Word of mouth

Career fairs

High school outreach programs

Community outreach



24

?

Generation T Awareness

Have you heard of Generation T movement to promote an increase in new skilled trade workers? (n=509)

April 2020

25%

68%

7%

Yes No Don’t know/Not sure

Over a third of pros have not heard of Generation

T movement.


25

?

Change in Number of Professional Employees

How has the number of professional trade employees changed within your company in the last two years? (n=509)

April 2020

28%

56%

16%

Increased Stayed the same Decreased


Reason for Employee Departure

26

?When an employee leaves your company, what is typically the reason for the employee leaving? (Aided)(n=509)

Those leaving the company stay

within the construction

industry as often as they leave it.

April 2020

11%

15%

36%

38%

Other

Retiring

Moving to another company NOT in the

construction industry

Moving to another company within the construction

industry

Top responses only.Biannual Topic HIRI Survey


27

36%

16%

36%

55%

28%

29%

Q1 2020

Q1 2019

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Better Stay the same Worse?

^Question was asked differently in 2019. “How do you feel the labor situation will be in the next two years?”

Future Labor Situation Beliefs

How do you feel the overall skilled labor situation will be in the next two years? (n=509)

April 2020

*Not asked in 2017.

? Why do you feel that way? (Unaided)

7%

8%

12%

12%

16%

Economy

More qualified employees

More jobs available

More people entering trades

How it's trending

Better(n=182)

6%

7%

7%

9%

29%

Economy

Gut feeling/just do

Coronavirus crisis

Lack of interest

How it's trending

Stay the same(n=184)

7%

8%

10%

21%

41%

People aren't trained enough

People want better pay

Coronavirus crisis

People are lazy

Lack of interest

Worse(n=143)


Demographics

28

Demographics

29

78%

22%

Male

Female

Gender

Age

16%

34%

22%

24%

4%

21 to 29

30 to 39

40 to 49

50 to 65

Over 65

What is your company’s annual revenue?

29%

21%

18%20%

11%

Less than

$250,000

$250,000 to

$499,999

$500,000 to

$999,999

$1 Million to

$1,999,999

$2 Million or

More



Demographics

30

11%

23% 24%21% 20%

1 2-4 5-10 11-20 21+

Including yourself, how many full-timeemployees does your company have on staff?

43%

32%

16%9%

1-10 years 11-20 years 21-30 years More than 30

years

How many years have you been in your current trade?

81%

19%

Residential Non-Residential

What percent of your work is residential vs. non-residential?

46%

27%

27%

Remodel

New Construction

Repair/Maintenance

What percent of your work is remodel/repair/new construction?

April 2020

Average15 years


Appendix

31

32

?

Total(n=509)

Type of Work Region

Remodel (n=274)

New Construction

(n=235)

Northeast(n=76)

South(n=224)

Midwest(n=121)

West(n=88)

Yes 71.5% 71.9% 71.1% 71.1% 69.6% 76.9% 69.3%

No 24.0% 23.4% 24.7% 25.0% 25.9% 19.8% 23.9%

Don’t know/Not sure 4.5% 4.7% 4.3% 3.9% 4.5% 3.3% 6.8%

Under the “Type of Work” heading, to be classified as “New Construction,” respondent must have stated 25% or more under “New Construction” in Q6.

April 2020

Do you feel there is a shortage of skilled labor in the construction industry overall?


33

?


April 2020

Do you feel there is a shortage of skilled labor within your company?

Total(n=509)

Type of Work Region

Remodel (n=274)

New Construction

(n=235)

Northeast(n=76)

South(n=224)

Midwest(n=121)

West(n=88)

Yes 41.8% 39.4% 44.7% 46.1% 42.0% 39.7% 40.9%

No 56.6% 58.8% 54.0% 52.6% 56.3% 58.7% 58.0%



34

?

Immigration policiesTotal

(n=378)

Type of Work Region

Remodel (n=203)

New Construction

(n=175)

Northeast(n=56)

South(n=163)

Midwest(n=95)

West(n=64)

10 - Very High Impact 10.8% 12.3% 9.1% 12.5% 12.3% 7.4% 10.9%

9 - 4.5% 3.9% 5.1% 3.6% 4.9% 3.2% 6.3%

8 - 12.4% 11.3% 13.7% 8.9% 17.2% 8.4% 9.4%

7 - 14.8% 9.4% 21.1% 7.1% 19.0% 14.7% 10.9%

6 - 9.3% 10.8% 7.4% 5.4% 8.6% 13.7% 7.8%

5 - Neither High nor Low Impact 20.4% 21.7% 18.9% 25.0% 12.9% 23.2% 31.3%

4 - 2.9% 2.5% 3.4% 7.1% 1.8% 3.2% 1.6%

3 - 5.6% 7.4% 3.4% 8.9% 5.5% 6.3% 1.6%

2 - 5.0% 5.4% 4.6% 12.5% 4.3% 3.2% 3.1%

1 - 3.2% 3.9% 2.3% 0.0% 1.8% 5.3% 6.3%

0 - Very Low Impact 11.1% 11.3% 10.9% 8.9% 11.7% 11.6% 10.9%

Mean 5.51 5.35 5.70 5.16 5.88 5.14 5.44


April 2020

(If feel there is a labor shortage) What type of impact do you feel immigration policies have on construction labor shortages?


35

?

Large increase in project demandTotal

(n=378)

Type of Work Region

Remodel (n=203)

New Construction

(n=175)

Northeast(n=56)

South(n=163)

Midwest(n=95)

West(n=64)

10 - Very High Impact 11.4% 11.8% 10.9% 8.9% 11.7% 13.7% 9.4%

9 - 9.5% 7.9% 11.4% 5.4% 12.9% 7.4% 7.8%

8 - 15.9% 15.3% 16.6% 8.9% 20.2% 14.7% 12.5%

7 - 13.5% 14.3% 12.6% 14.3% 11.7% 11.6% 20.3%

6 - 12.4% 13.8% 10.9% 16.1% 9.2% 16.8% 10.9%


4 - 4.8% 5.4% 4.0% 5.4% 4.3% 5.3% 4.7%

3 - 3.4% 2.0% 5.1% 7.1% 3.7% 2.1% 1.6%

2 - 2.4% 3.0% 1.7% 0.0% 3.1% 2.1% 3.1%

1 - 0.8% 1.0% 0.6% 1.8% 0.6% 1.1% 0.0%

0 - Very Low Impact 1.6% 2.0% 1.1% 0.0% 1.8% 2.1% 1.6%

Mean 6.52 6.47 6.58 6.11 6.71 6.52 6.42


April 2020

(If feel there is a labor shortage) What type of impact do you feel a large increase in project demand has on construction labor shortages?


36

?

Low wages being offeredTotal

(n=378)

Type of Work Region

Remodel (n=203)

New Construction

(n=175)

Northeast(n=56)

South(n=163)

Midwest(n=95)

West(n=64)

10 - Very High Impact 13.8% 12.3% 15.4% 8.9% 19.6% 7.4% 12.5%

9 - 7.4% 6.9% 8.0% 5.4% 6.7% 9.5% 7.8%

8 - 14.8% 13.3% 16.6% 14.3% 14.7% 13.7% 17.2%

7 - 16.1% 17.2% 14.9% 19.6% 14.1% 12.6% 23.4%

6 - 13.8% 12.8% 14.9% 14.3% 14.1% 18.9% 4.7%


4 - 4.8% 3.9% 5.7% 7.1% 3.1% 6.3% 4.7%

3 - 3.7% 3.4% 4.0% 7.1% 3.1% 3.2% 3.1%

2 - 3.2% 3.9% 2.3% 5.4% 3.7% 2.1% 1.6%

1 - 1.9% 2.5% 1.1% 0.0% 0.6% 4.2% 3.1%

0 - Very Low Impact 4.5% 6.9% 1.7% 3.6% 3.7% 5.3% 6.3%

Mean 6.37 6.09 6.70 6.07 6.71 5.98 6.38


April 2020

(If feel there is a labor shortage) What type of impact do you feel low wages being offered has on construction labor shortages?


37

?

Lack of interestTotal

(n=378)

Type of Work Region

Remodel (n=203)

New Construction

(n=175)

Northeast(n=56)

South(n=163)

Midwest(n=95)

West(n=64)

10 - Very High Impact 12.7% 12.8% 12.6% 14.3% 13.5% 10.5% 12.5%

9 - 13.5% 13.3% 13.7% 14.3% 11.0% 15.8% 15.6%

8 - 13.5% 15.3% 11.4% 12.5% 11.7% 21.1% 7.8%

7 - 15.1% 16.3% 13.7% 21.4% 19.0% 5.3% 14.1%

6 - 11.4% 10.3% 12.6% 5.4% 12.3% 15.8% 7.8%


4 - 4.8% 2.5% 7.4% 7.1% 4.3% 1.1% 9.4%

3 - 6.6% 7.4% 5.7% 7.1% 8.6% 2.1% 7.8%

2 - 4.8% 4.9% 4.6% 7.1% 4.9% 4.2% 3.1%

1 - 1.3% 2.0% 0.6% 0.0% 2.5% 1.1% 0.0%

0 - Very Low Impact 1.6% 2.0% 1.1% 1.8% 0.6% 3.2% 1.6%

Mean 6.54 6.56 6.51 6.63 6.48 6.67 6.42


April 2020

(If feel there is a labor shortage) What type of impact do you feel lack of interest has on construction labor shortages?


38

?

Lack of skilled laborTotal

(n=378)

Type of Work Region

Remodel (n=203)

New Construction

(n=175)

Northeast(n=56)

South(n=163)

Midwest(n=95)

West(n=64)

10 - Very High Impact 20.4% 19.2% 21.7% 21.4% 23.9% 17.9% 14.1%

9 - 17.7% 16.3% 19.4% 10.7% 16.6% 23.2% 18.8%

8 - 22.0% 26.6% 16.6% 35.7% 17.8% 21.1% 21.9%

7 - 11.6% 9.9% 13.7% 10.7% 11.7% 9.5% 15.6%

6 - 9.8% 9.9% 9.7% 8.9% 8.6% 11.6% 10.9%


4 - 3.7% 2.5% 5.1% 3.6% 5.5% 1.1% 3.1%

3 - 2.9% 3.4% 2.3% 1.8% 3.7% 3.2% 1.6%

2 - 1.6% 2.0% 1.1% 1.8% 2.5% 1.1% 0.0%

1 - 0.8% 1.0% 0.6% 0.0% 0.6% 1.1% 1.6%

0 - Very Low Impact 0.5% 0.5% 0.6% 0.0% 0.6% 1.1% 0.0%

Mean 7.52 7.51 7.54 7.75 7.47 7.58 7.38


April 2020

(If feel there is a labor shortage) What type of impact do you feel lack of skilled labor has on construction labor shortages?


39

?

Lack of benefitsTotal

(n=378)

Type of Work Region

Remodel (n=203)

New Construction

(n=175)

Northeast(n=56)

South(n=163)

Midwest(n=95)

West(n=64)

10 - Very High Impact 17.5% 19.2% 15.4% 7.1% 19.6% 18.9% 18.8%

9 - 11.4% 9.9% 13.1% 8.9% 12.9% 10.5% 10.9%

8 - 14.6% 15.3% 13.7% 17.9% 17.2% 12.6% 7.8%

7 - 15.1% 14.3% 16.0% 17.9% 11.7% 16.8% 18.8%

6 - 13.0% 13.3% 12.6% 14.3% 11.7% 11.6% 17.2%


4 - 5.6% 5.4% 5.7% 7.1% 5.5% 4.2% 6.3%

3 - 1.3% 1.0% 1.7% 1.8% 1.2% 1.1% 1.6%

2 - 1.6% 1.5% 1.7% 1.8% 2.5% 1.1% 0.0%

1 - 1.6% 1.5% 1.7% 0.0% 1.2% 3.2% 1.6%

0 - Very Low Impact 1.1% 1.5% 0.6% 0.0% 0.6% 2.1% 1.6%

Mean 6.95 6.98 6.91 6.59 7.13 6.87 6.92


April 2020

(If feel there is a labor shortage) What type of impact do you feel lack of benefits has on construction labor shortages?


40

?

Forced delays in completing a project

Total(n=378)

Type of Work Region

Remodel (n=203)

New Construction

(n=175)

Northeast(n=56)

South(n=163)

Midwest(n=95)

West(n=64)

Yes 49.7% 45.8% 54.3% 42.9% 52.8% 46.3% 53.1%

No 48.4% 52.7% 43.4% 51.8% 46.0% 52.6% 45.3%

Unsure/Don’t Know 1.9% 1.5% 2.3% 5.4% 1.2% 1.1% 1.6%


April 2020

(If feel there is a labor shortage) Has the shortage of skilled labor had any of the following effects on your business?

Turned down potential projects

Yes 50.8% 49.3% 52.6% 39.3% 52.1% 52.6% 54.7%

No 45.2% 47.8% 42.3% 57.1% 44.2% 42.1% 42.2%

Unsure/Don’t Know 4.0% 3.0% 5.1% 3.6% 3.7% 5.3% 3.1%

Increased overtime for existing employees

Yes 57.4% 56.7% 58.3% 44.6% 60.1% 56.8% 62.5%

No 38.6% 40.4% 36.6% 51.8% 36.8% 40.0% 29.7%

Unsure/Don’t Know 4.0% 3.0% 5.1% 3.6% 3.1% 3.2% 7.8%

Extending timeliness of projects

Yes 66.4% 64.5% 68.6% 55.4% 66.9% 69.5% 70.3%

No 30.4% 32.5% 28.0% 42.9% 28.8% 29.5% 25.0%

Unsure/Don’t Know 3.2% 3.0% 3.4% 1.8% 4.3% 1.1% 4.7%


41

?

Total(n=378)

Type of Work Region

Remodel (n=203)

New Construction

(n=175)

Northeast(n=56)

South(n=163)

Midwest(n=95)

West(n=64)

0-5% 16.9% 18.2% 15.4% 21.4% 12.3% 25.3% 12.5%

6-10% 13.5% 14.8% 12.0% 14.3% 14.1% 13.7% 10.9%

11-20% 24.1% 28.6% 18.9% 26.8% 25.2% 23.2% 20.3%

21-30% 17.2% 11.3% 24.0% 17.9% 19.0% 12.6% 18.8%

31-50% 10.8% 8.4% 13.7% 3.6% 13.5% 8.4% 14.1%

More than 50% 6.1% 5.9% 6.3% 3.6% 4.9% 5.3% 12.5%

Don't know/Not sure 11.4% 12.8% 9.7% 12.5% 11.0% 11.6% 10.9%


April 2020

(If feel there is a labor shortage) What percentage of your company’s projects are delayed due to skilled labor shortages?


42

?

Total(n=296)

Type of Work Region

Remodel (n=152)

New Construction

(n=144)

Northeast(n=41!)

South(n=131)

Midwest(n=73)

West(n=51)

1 week 22.0% 20.4% 23.6% 14.6% 22.9% 26.0% 19.6%

2 weeks 40.5% 41.4% 39.6% 56.1% 38.9% 41.1% 31.4%

3 or more weeks 34.8% 36.2% 33.3% 26.8% 36.6% 31.5% 41.2%

Don’t know/not sure 2.7% 2.0% 3.5% 2.4% 1.5% 1.4% 7.8%

Under the “Type of Work” heading, to be classified as “New Construction,” respondent must have stated 25% or more under “New Construction” in Q6.! Caution, small sample size

April 2020

(If company has projects delayed due to labor shortage) On average, how many weeks are those projects delayed?


43

?

Total(n=213)

Type of Work Region

Remodel (n=108)

New Construction

(n=105)

Northeast(n=35!)

South(n=94)

Midwest(n=48!)

West(n=36!)

Taking fewer total projects 53.1% 50.9% 55.2% 42.9% 61.7% 50.0% 44.4%

Using more time-saving products to speed up the process 37.6% 34.3% 41.0% 28.6% 44.7% 33.3% 33.3%

Specializing in a smaller range of projects 36.6% 40.7% 32.4% 22.9% 45.7% 35.4% 27.8%

Only taking higher-paying projects 34.7% 31.5% 38.1% 34.3% 36.2% 33.3% 33.3%

Narrowing the geographic area you take jobs 34.3% 32.4% 36.2% 37.1% 38.3% 33.3% 22.2%

Added a training/apprenticeship program 32.9% 25.9% 40.0% 48.6% 31.9% 33.3% 19.4%

Other 2.8% 2.8% 2.9% 5.7% 0.0% 6.3% 2.8%

None of these 6.6% 8.3% 4.8% 14.3% 2.1% 10.4% 5.6%

Top responses only


April 2020

(If feel there is a labor shortage within their company) Which, if any, tactics has your company been using to combat a labor shortage within your company? (Aided)


44

?

Total(n=509)

Type of Work Region

Remodel (n=274)

New Construction

(n=235)

Northeast(n=76)

South(n=224)

Midwest(n=121)

West(n=88)

Yes 60.7% 58.0% 63.8% 63.2% 65.2% 54.5% 55.7%

No 33.4% 37.2% 28.9% 31.6% 29.9% 37.2% 38.6%



April 2020

Is your company actively searching to increase its jobsitelabor force?


45

?

Total(n=309)

Type of Work Region

Remodel (n=159)

New Construction

(n=150)

Northeast(n=48!)

South(n=146)

Midwest(n=66)

West(n=49!)

Referrals from friends/relatives 58.9% 67.3% 50.0% 45.8% 60.3% 66.7% 57.1%

Company website 49.5% 47.2% 52.0% 52.1% 51.4% 48.5% 42.9%

National/local job websites 41.4% 41.5% 41.3% 47.9% 39.7% 47.0% 32.7%

Career/job fairs 37.5% 36.5% 38.7% 45.8% 37.7% 40.9% 24.5%

LinkedIn 35.3% 38.4% 32.0% 37.5% 37.7% 33.3% 28.6%

Printed materials (newspapers/magazines) 31.4% 33.3% 29.3% 45.8% 33.6% 28.8% 14.3%

Work with recruiter 30.1% 23.9% 36.7% 37.5% 29.5% 28.8% 26.5%

School career offices 15.5% 15.7% 15.3% 22.9% 11.0% 22.7% 12.2%

Craigslist 0.6% 1.3% 0.0% 0.0% 0.7% 1.5% 0.0%

Social media 0.6% 0.6% 0.7% 0.0% 0.7% 1.5% 0.0%

Other 1.6% 1.9% 1.3% 0.0% 0.7% 4.5% 2.0%

Top responses only


April 2020

(If company is actively searching to increase jobsite labor force) What is your company doing to find new jobsiteworkers? (Aided)


46

?

Total(n=509)

Type of Work Region

Remodel (n=274)

New Construction

(n=235)

Northeast(n=76)

South(n=224)

Midwest(n=121)

West(n=88)

Increased starting wages 48.9% 47.4% 50.6% 50.0% 47.3% 54.5% 44.3%

Promise increased wages going forward 46.2% 46.7% 45.5% 46.1% 49.6% 44.6% 39.8%

Flexible schedules 41.3% 39.8% 43.0% 47.4% 38.4% 45.5% 37.5%

Provide free training 39.9% 41.2% 38.3% 43.4% 41.5% 38.8% 34.1%

Loyalty bonuses 27.1% 24.1% 30.6% 25.0% 29.9% 24.8% 25.0%

Paid days off 25.5% 24.5% 26.8% 30.3% 24.6% 23.1% 27.3%

Improved medical benefits 24.0% 21.5% 26.8% 34.2% 24.1% 19.0% 21.6%

Other 0.8% 0.7% 0.9% 1.3% 0.0% 2.5% 0.0%

Nothing 14.3% 17.5% 10.6% 10.5% 12.1% 15.7% 21.6%

Top responses only


April 2020

What are you doing to attract new skilled workers to your company or keep current ones?


47

?

Total(n=509)

Type of Work Region

Remodel (n=274)

New Construction

(n=235)

Northeast(n=76)

South(n=224)

Midwest(n=121)

West(n=88)

General jobsite training 66.8% 70.1% 63.0% 69.7% 66.1% 66.9% 65.9%

Trade specific training (such as electrical, welding, plumbing, etc.) 39.9% 38.7% 41.3% 25.0% 44.6% 39.7% 40.9%

Apprenticeships 30.8% 25.2% 37.4% 31.6% 31.3% 29.8% 30.7%

Certification classes 22.6% 18.2% 27.7% 25.0% 25.4% 15.7% 22.7%

Other 0.8% 0.7% 0.9% 0.0% 0.4% 1.7% 1.1%

None/Nothing 1.2% 1.8% 0.4% 0.0% 0.0% 4.1% 1.1%


Top responses only


April 2020

What, if any, training or apprenticeship programs does your company offer for new jobsite workers? (Aided)


48

?

Total(n=509)

Type of Work Region

Remodel (n=274)

New Construction

(n=235)

Northeast(n=76)

South(n=224)

Midwest(n=121)

West(n=88)

Community outreach 38.3% 38.0% 38.7% 40.8% 42.4% 33.1% 33.0%

High school outreach programs 30.5% 28.1% 33.2% 40.8% 30.8% 33.1% 17.0%

Career fairs 29.9% 25.5% 34.9% 31.6% 31.7% 26.4% 28.4%

Word of mouth 1.0% 1.1% 0.9% 0.0% 1.3% 0.8% 1.1%

Not hiring/looking 0.6% 0.7% 0.4% 0.0% 0.9% 0.0% 1.1%

Other 2.4% 1.5% 3.4% 1.3% 1.8% 5.0% 1.1%

None/Nothing 2.6% 3.6% 1.3% 5.3% 0.0% 5.8% 2.3%


Top responses only


April 2020

What, if any, effort is your company undertaking to help recruit young talent into the construction trades? (Aided)


49

?

Total(n=509)

Type of Work Region

Remodel (n=274)

New Construction

(n=235)

Northeast(n=76)

South(n=224)

Midwest(n=121)

West(n=88)

Yes 24.8% 20.8% 29.4% 26.3% 26.8% 24.0% 19.3%

No 68.4% 72.6% 63.4% 69.7% 66.1% 67.8% 73.9%


Top responses only


April 2020

Have you heard of Generation T movement to promote an increase in new skilled trade workers?


50

?

Total(n=509)

Type of Work Region

Remodel (n=274)

New Construction

(n=235)

Northeast(n=76)

South(n=224)

Midwest(n=121)

West(n=88)

Increased 27.9% 25.9% 30.2% 34.2% 29.9% 18.2% 30.7%

Stayed the same 55.8% 57.7% 53.6% 48.7% 55.8% 59.5% 56.8%

Decreased 16.3% 16.4% 16.2% 17.1% 14.3% 22.3% 12.5%


April 2020

How has the number of professional trade employees changed within your company in the last two years?


51

?

Total(n=509)

Type of Work Region

Remodel (n=274)

New Construction

(n=235)

Northeast(n=76)

South(n=224)

Midwest(n=121)

West(n=88)

Moving to another company within the construction industry 37.9% 36.1% 40.0% 32.9% 45.1% 29.8% 35.2%

Moving to another company NOT in the construction industry 36.3% 34.7% 38.3% 36.8% 33.5% 38.0% 40.9%

Retiring 14.7% 16.1% 13.2% 14.5% 12.9% 19.0% 13.6%

Other 11.0% 13.1% 8.5% 11.8% 8.5% 13.2% 10.2%

Top responses only


April 2020

When an employee leaves your company, what is typicallythe reason for the employee leaving?


52

?

Total(n=509)

Type of Work Region

Remodel (n=274)

New Construction

(n=235)

Northeast(n=76)

South(n=224)

Midwest(n=121)

West(n=88)

Better 35.8% 36.1% 35.3% 38.2% 38.4% 31.4% 33.0%

Stay the same 36.1% 35.4% 37.0% 34.2% 34.4% 38.0% 39.8%

Worse 28.1% 28.5% 27.7% 27.6% 27.2% 30.6% 27.3%

Top responses only


April 2020

How do you feel the overall skilled labor situation will be in the next two years?


53

?

BetterTotal

(n=182)

Type of Work Region

Remodel (n=99)

New Construction

(n=83)

Northeast(n=29!)

South(n=86)

Midwest(n=38!)

West(n=29!)

How things have been trending/experience 15.9% 16.2% 15.7% 10.3% 17.4% 15.8% 17.2%

More people entering trades/more people interested in trades 12.1% 9.1% 15.7% 20.7% 14.0% 7.9% 3.4%

More jobs available/there is always work/greater demand for workers 11.5% 11.1% 12.0% 10.3% 9.3% 10.5% 20.7%

More qualified employees/people are getting trained 7.7% 6.1% 9.6% 6.9% 3.5% 15.8% 10.3%

Economy 6.6% 8.1% 4.8% 6.9% 4.7% 10.5% 6.9%

People are looking for jobs/there are people out there to work 5.5% 8.1% 2.4% 0.0% 5.8% 7.9% 6.9%

More emphasis on trades in school/more trade schools 4.9% 7.1% 2.4% 3.4% 7.0% 2.6% 3.4%

More benefits available in these jobs/increased pay 4.4% 5.1% 3.6% 10.3% 4.7% 0.0% 3.4%

Coronavirus crisis 3.8% 4.0% 3.6% 3.4% 5.8% 2.6% 0.0%

That's what I hope 3.3% 2.0% 4.8% 3.4% 3.5% 0.0% 6.9%

Top responses only


April 2020

Why do you feel that way?


54

?

Stay the sameTotal

(n=184)

Type of Work Region

Remodel (n=97)

New Construction

(n=87)

Northeast(n=26!)

South(n=77)

Midwest(n=46!)

West(n=35!)


Lack of interest/younger people don't want to work in trades/more

interest in tech jobs9.2% 11.3% 6.9% 15.4% 10.4% 6.5% 5.7%

Coronavirus/current crisis 6.5% 8.2% 4.6% 3.8% 6.5% 8.7% 5.7%

Gut feeling/just do 6.5% 4.1% 9.2% 0.0% 11.7% 4.3% 2.9%

Economy 6.0% 6.2% 5.7% 3.8% 3.9% 13.0% 2.9%


People aren't trained/not enough skilled labor 3.8% 3.1% 4.6% 3.8% 3.9% 4.3% 2.9%

There are enough workers already/good labor force 3.8% 4.1% 3.4% 3.8% 1.3% 4.3% 8.6%

People are lazy/don't like manual labor 2.7% 3.1% 2.3% 0.0% 2.6% 4.3% 2.9%

More qualified employees/people are getting trained 2.7% 3.1% 2.3% 3.8% 1.3% 6.5% 0.0%

Top responses only


April 2020



55

?

WorseTotal

(n=143)

Type of Work Region

Remodel (n=78)

New Construction

(n=65)

Northeast(n=21!)

South(n=61)

Midwest(n=37)

West(n=24)

Lack of interest/younger people don't want to work in trades/more

interest in tech jobs40.6% 44.9% 35.4% 52.4% 32.8% 51.4% 33.3%

People are lazy/don't like manual labor 21.0% 21.8% 20.0% 23.8% 27.9% 16.2% 8.3%

Coronavirus/current crisis 9.8% 10.3% 9.2% 9.5% 8.2% 8.1% 16.7%

People want better pay/pay is not good enough 7.7% 7.7% 7.7% 9.5% 6.6% 5.4% 12.5%

People aren't trained/not enough skilled labor 7.0% 7.7% 6.2% 4.8% 4.9% 2.7% 20.8%

Economy 5.6% 6.4% 4.6% 4.8% 4.9% 5.4% 8.3%

Older workers retiring 5.6% 7.7% 3.1% 9.5% 1.6% 8.1% 8.3%


Immigration 4.2% 2.6% 6.2% 0.0% 6.6% 0.0% 8.3%

Government/president 2.8% 2.6% 3.1% 0.0% 1.6% 0.0% 12.5%


Jobs in trades are not promised 2.8% 3.8% 1.5% 0.0% 4.9% 0.0% 4.2%

Top responses only


April 2020



You may contact HIRI for any further questions or information:

HIRI Main Phone #: 317-982-3979

HIRI Staff Contact Information:

▪ Pam Heidel: [email protected] 317-982-3976

▪ Matthew Craig: [email protected] 317-982-3977

Copyright © 2018 by Home Improvement Research InstituteAll rights reserved. No part of this publication may be reproduced, distributed, or transmitted in any form or by any means without the prior permission of HIRI, or within compliance of HIRI’s Member Publication Guidelines.

Quarterly Topic HIRI Survey© Home Improvement Research Institute 56April 2020

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