VOICEThe Issue 4, 2023 The official magazine of The Construction Users Roundtable Safety Above All Else Register for CURT’s 2024 National Conference! https://www.curtnc.comThe Construction Users Roundtable 3 IN DEPTH WORDS OF WISDOM 5 This Issue’s Experts 7 A Message from Jim Ellis, CURT Chairman of the Board THE COVER 12 Empowering Our People: When we Empower the People who Build our Projects, we Make the Construction Industry Stronger 16 Safety Starts with Strong Leadership: The Path to Achieving Safe Outcomes on Every Project 18 This One’s for the Gals: Creating Awareness and Opportunity are Two of the Goals of This Nonprofit Organization 20 In Her Own Words: What Did More Than 750 Women Answer When Asked About the Obstacles They Face Working in Construction? 23 Understanding Presenteeism: What’s the Link Between Employee Health and Productivity? 26 INDEX TO ADVERTISERS LEADERSHIP Workforce Challenges and Solutions The construction sector is competing with itself and with other industries for top talent. Familiarizing yourself with hiring trends, and ensuring those you do hire are well-trained and safe, will help retain your new recruits. 8 VOICE The Issue 4, 2023 The official magazine of The Construction Users Roundtable ;INM\a )JW^M)TT-T[M :M OQ[\MZNWZ+=: <¼ [ 6I\QWVIT+WVNMZMVKM P\\X["___ K]Z\VKKWU Your Subscription Your Way! Scan this QR code or email distribution@matrixgroupinc.net to subscribe or update your existing subscription information. Note, The VOICE is free for representatives of CURT member companies. FEATURESThe Construction Users Roundtable 5 Thank you to this issue’s experts for sharing their knowledge. THIS ISSUE’S EXPERTS Jim Ellis, Chairman of CURT’s Board, is a Senior Executive with 40+ years of global leadership experience in business, operations, manufacturing, technology, engineering, project management, and supply chain. Jim has a demonstrated track record of delivering sustainable shareholder value while building strong sustainable internal and external stakeholder relations across the globe. Cal Beyer, CWP, is a human capital risk management and well-being consultant. He has been a contributor to The VOICE since March 2020. He serves on the Executive Committee for the National Action Alliance for Suicide Prevention and the Advisory Groups for Goldfinch Health, MindWise Innovations, Youturn Health, and the Suicide Prevention Resource Center. C.J. Beysselance is the Vice President of Operations for HazTek Inc., an award-winning safety management company with national and international reach. C.J. has over 30 years of contractor safety management experience, including nine years with HazTek. He also has international experience in over a dozen countries and has worked in various industries, including petrochemical, pharmaceutical, data centers, refineries, and more. Daniel Groves, CEO of Construction Industry Resources (CIR) and workforce consultant for the Construction Users Roundtable (CURT), brings over 25 years of experience in strategic planning, entrepreneurship, finance, and construction labor risk analysis, including a decade of experience in sophisticated technology development and implementation. For the past decade, CIR has been providing market intelligence and project risk mitigation solutions for owners and labor providers; including the Construction Labor Market Analyzer (CLMA), the Contractor’s Workforce Development Assessment (CWDA), the Labor Risk Index (LRI) and the Labor Risk Management program (LRM). Stephanie Hajducek is a Territory Sales Manager for SAMSON Controls, a market leader in control valves for industrial processes. In January 2022, Stephanie started a 501c3 nonprofit organization called This One’s for the Gals that helps girls with career exploration and workforce development. Focusing their efforts on the construction, energy, and manufacturing industries, This One’s for the Gals likes to say that they talk to girls about career pathways that not a lot of people talk to girls about. Dan Johnson is the Chief Executive Officer of Mortenson, a top construction company in the United States. Dan is Chair of the 2024 Construction Safety Week, an event which provides an opportunity for people, companies, and the entire industry to join together, celebrate, and recommit to doing whatever it takes to send everyone home safely every day. Dr. Joseph Leutzinger, PhD, is Vice President-Development for headversity. He served as Director-Health Promotion at Union Pacific Railroad for 16 years. He was the founder/ principal of Health Improvement Solutions for 19 years working with employers in the United States and internationally. Health Improvement Solutions was sold to headversity in 2022 where he is now VP of Development working on sales and product integration. Nathaniel Sizemore, JD, serves as Division President of Premier Resources Group (PRG), an award-winning staffing and advisory services company. Under Nathaniel’s leadership, PRG grew to national prominence, developed a national and international client base, and maintains a reputation as an elite staffing and advisory services firm. Before joining PRG, Nathaniel served as a construction attorney with a large law firm in the Washington, D.C. metro area. Nathaniel holds a B.A. from Furman University and earned a law degree from Vanderbilt University Law School. Tim Taylor, P.E., PhD, returned October 2023 to the University of Kentucky College of Engineering as a full-time professor after almost two years as Director of Research for the National Center for Construction Education and Research (NCCER). Prior to NCCER, he was the University of Kentucky Terrell -McDowell Chair of Construction Engineering and Project Management, Director of Graduate Studies, Civil Engineering. Share Your Expertise! Representatives of CURT's member companies and industry partners are invited to submit article proposals. Please send your author information and a 25-word abstract to editor Shannon Savory at ssavory@ matrixgroupinc.net. CURT will review and if your topic is chosen, you'll be provided with a word count and deadline. Please note that articles cannot be company or product promotional, and articles should be of interest to construction owners and high-level leaders at contracting, engineering, and architectural firms. -RLQWKHVHJUHDWFRPSDQLHVDVDVSRQVRU $FFXUDWHDWWKHWLPHRISULQWLQJ9LVLWZZZFXUWQFFRPVSRQVRUVIRULQIRUPDWLRQDERXWEHLQJDFRQIHUHQFHVSRQVRU +LOWRQ(O&RQTXLVWDGRU5HVRUW 7KH&8571DWLRQDO&RQIHUHQFHZLOOGLYHGHHSLQWRWKHFRQVWUXFWLRQLQGXVWU\¶VIXWXUHKHZLOOGLYHGHHSLQWRWKHFRQVWUXFWLRQLQGXVWU\&8571DWLRQDO&RQIHUHQFHZ EULQJLQJWRJHWKHUWKHELJJHVWFRPSDQLHVLQWKHJDPHWRSURYLGH\RXZLWKUHDO WU\ DD VIXWXUHVVU\ DODOZRUOGDQLHVLQWKHJDPHWRSURYLGH\RXZLWKUHDQJLQJWRJHWKHUWKHELJJHVWFRPSDORZZ LPSOHPHQWDWLRQWDFWLFVWRPDLQWDLQWKHKLJKHVWOHYHORISURMHFWH[FHOOHQFH :") " )RUPRUHLQIRUPDWLRQDQGWRUHJLVWHUYLVLWDWLRQDQGWRUHQIRUP ZZZFXUWQFFRP 'RQ¶W0LVVWKH&8571DWLRQDO&RQIHUHQFH $77+( *ROG 6LOYHU %URQ]HThe Construction Users Roundtable 7 WORDS OF WISDOM A Message from Jim Ellis, CURT Chairman of the Board Safeguarding Core Values is Our Utmost Responsibility W hen I think about preserving what matters most to us in our industry – certain fundamental principles naturally come to mind. First and foremost is maintaining a safe worksite and establishing a work environment where people are valued, supported, and take accountability to work safely day in and out! Of course, the fundamentals include ensuring the availability of well-maintained personal protective equipment (PPE); clearly defining, adhering to, and upholding safety protocols and safe work practices; routinely inspecting tools and equipment to ensure their reliability; and working as a team to identify and mitigate hazards and risks to enable safe work. These fundamental principles should serve as the standard on every worksite. The construction industry, collectively and particularly among CURT members, has made substantial strides over the past few decades in enhancing safety as a core value with people and workforce in focus. Nevertheless, the disheartening reality remains: our industry’s safety statistics are far from favorable. Since 2008, the construction sector has witnessed more fatalities than any other industry, and in 2021 alone, construction and extraction occupations accounted for 951 occupational deaths. We have certainly made substantial progress, but it is evident that our efforts have not been sufficient. Our industry faces the pressing need for hundreds of thousands of new workers to address retirements and meet growing demand. Labor availability is stretched, requiring each worker to take on more responsibility and work longer hours for extended periods away from home. How can we expect people who are early in their careers, military veterans, newcomers, and underrepresented populations to consider a career in our field if we cannot, at the very least, assure them that safety and well-being is paramount and a value that cannot be compromised? Present-day projects are more complex than ever before, each characterized by an increased number of variables. As construction leaders, we constantly grapple with myriad demands: build faster, build more economically, build with greater resilience, build sustainably, and the list goes on. While acknowledging these pressures, and having experienced them firsthand, it is imperative that safety remains our foremost concern. As leaders, this commitment must endure today, tomorrow, and throughout our tenure overseeing those under our employ. In addition to PPE and toolbox talks, modern safety considerations must encompass mental well-being and the provision of resources to ensure the safety of our team members both on and off the worksite. This entails access to resources and fostering an environment where seeking help is encouraged rather than met with ridicule or reprimand. Earlier, it was noted that our industry grapples with a high number of fatalities; regrettably, the construction sector ranks second (after mining and oil and gas extraction) in terms of suicides and opioid related deaths. Leadership brings with it a multitude of challenges and rewards. Perhaps the most significant reward any of us can achieve is earning the trust of our teams by ensuring a safe work environment where people can and choose to work safely day in and out! One death on the worksite is one too many. One injury is one too many. One team member taking their own life is a tragedy and cause for leadership action! We, as leaders, possess the capacity to instigate change. If we construct safe worksites that prioritize the physical and mental well-being of our employees, we will undoubtedly become the preferred industry of choice. The rest – speed and cost- efficiency – will naturally and always follow. CURT provides a multitude of resources to support your journey toward a safer environment. I encourage you to explore our Safety Benchmarking Portal and seek insights from your peers on addressing specific safety concerns through our AskCURT peer-to-peer platform, both accessible via the CURT website. I’d like to invite you to volunteer to be part of our newly launched Safety Sprint Teams that are focused on further advancing safety in our industry. Additionally, the CURT National Conference, scheduled for February 12-14, 2024, in Tucson, Arizona, will feature several distinguished speakers focusing on safety-related topics. I eagerly anticipate the opportunity to meet and engage with you there! https://injuryfacts.nsc.org/work/ industry-incidence-rates/most- dangerous-industries https://www.jacksonlewis.com/ insights/bureau-labor-statistics- releases-2021-construction- industry-fatality-injury-data https://canada.constructconnect. com/dcn/news/ohs/2022/09/ construction-workers-have-a-perfect- storm-of-suicide-risk-factors 8 Helping owners achieve the most productive use of every capital dollar. The construction sector is competing with itself and with other industries for top talent. Familiarizing yourself with hiring trends, and ensuring those you do hire are well-trained and safe, will help retain your new recruits. IN DEPTH O ne of the most significant impacts to the success of a construction project is labor – or the lack thereof. This perennial challenge is growing more acute because, like many other sectors, the construction industry is dealing with a widening workforce gap for craft professionals, as well as talent for non-craft roles. This problem is well-established, and organizations like the Construction Users Roundtable (CURT) have long been sounding the alarm about the lack of available skilled workers. What is different, however, is the deficiency of workers is being combined with a growing demand for new construction projects across North America, and this has created a situation where there is a woefully inadequate supply of skilled and qualified workers to do what is being demanded of them. Many lay this problem at the feet of the COVID-19 pandemic, which resulted in bottlenecks within the global supply chain and impacted the delivery of essential components like chips and semiconductors. This has led to an outcry for domestic sources of these components to established here in North America, and companies are now scrambling to build chip facilities in various parts of the United States. However, while economic challenges like COVID-19 increased the challenge, labor issues have plagued construction for decades. “These kinds of projects need an enormous number of skilled workers, with many trades – like steel workers or pipefitters – needing to be extraordinarily well-trained and well-seasoned,” says Construction Industry Resources (CIR) CEO, Daniel Groves. “This requirement has only amplified the challenge to meet the demand for building these new facilities, something we’re seeing play out across the country.” Challenges and Solutions Workforce By Paul Adair, Staff WriterThe Construction Users Roundtable 9 Another issue boosting demand is decarbonization and the transition to a green economy. The federal government has set aggressive goals, as well as considerable financial incentives, to move the country away from carbon intensive fuels and towards more sustainable energy sources, such as solar and wind. But to receive these financial incentives, construction companies must first meet very specific conditions, as well as adhere to tightly established deadlines. “If you miss a deadline, you will miss out on an extraordinary amount of funding. You can’t miss them – that’s the bottom line,” says Groves. “But what happens when you have a deadline looming and your contractors are six months behind because there just isn’t enough labor? Today, the answer is that you increase wages and incentives. But while that might be an adequate short-term solution, it’s not a sustainable long-term strategy going forward.” There are many reasons why it has become increasingly difficult to secure enough labor to meet the talent demand. However, the single factor uniting all these reasons is that the construction industry – to date – has not been investing into the workforce at the level it has to, to ensure adequate numbers. “We tend to focus on one project at a time, saying “I just have to get through this project and then I’ll worry about the next project when we get there,’” says Groves. “But this means we are all ending up competing for the same labor through higher wages, per diems, and completion bonuses. Investment today basically boils down to paying workers enough to stop doing whatever they’re doing over there, just so they can come work over here. That’s bad policy for individual projects and – ultimately – the long-term health of the industry.” If the construction industry wants workers, we need to consistently pay them fairly, invest in their skills, and ensure career opportunities. This will start growing the workforce in a more sustainable and meaningful way. The share of construction workers aged 55 and older has reached an all-time high, so it’s no big secret that the construction industry is growing older. According to recent studies, today’s workforce primarily consists of Baby Boomers (19 percent), Gen X (35.5 percent), and Millennials (39.4 percent). However, because Baby Boomers are retiring in increasing numbers – approximately 10,000 people are reaching the age of retirement every day in the United States – the workplace is becoming even younger as Gen Z steps in; this demographic is expected to be 30 percent of the workforce by 2030. This creates a two-fold challenge for the construction industry to overcome. On one hand, it has workers who have retirement waiting for them and, on the other, it has a cadre of younger and less experienced workers entering the trades, who are also traditionally the first workers released at any sign of an economic downturn. “For every two workers who leave the industry when times get tough, we only gain one, maybe one and a half back when things improve,” says Groves. “We are losing the most highly skilled and experienced workers to retirement and then not replacing them at the other end of the pipeline, resulting in a continuous depletion of the available workforce.” Because of the ongoing workforce erosion, CIR often hears from construction owners who say that labor is their number one project planning risk; particularly for their big capital spends. “People call us for help, but they always want an immediate solution. Unfortunately, there is no silver bullet,” says Groves. “The challenges the construction industry face today have been building over a long time, and they will take time to fix. Craft professionals aren’t born – they’re recruited, trained, upskilled, and retained, and they’re given every opportunity to nd Solutions eNext >