Blog Layout

Skill Shortages, Overtime and High WorkLoads

October 5, 2021

$12 billion per year pricetag!

October is both National Safe Work Month and World Mental Health Month. The theme for National Safe Work Month this year is: think safe. work safe. be safe. For World Mental Health Month it is: ‘Mental health care for all: let’s make it a reality' consecutively.

For employers, a workplace health and safety management system can minimise the risk of injury and illness from workplace operations. It is one of the most effective ways to make sure health and safety is embedded across your organisation and is a part of everything you do. Getting work health and safety right can deliver many benefits to people and organisations. This includes:-

• improved health and wellbeing;
• greater productivity;
• higher performance;
• increased job satisfaction;
• good reputation within the industry;
• ability to attract and retain top talent;
• greater work participation and increased social inclusion;
• increased individual, team and organisational resilience;
• lower absenteeism rates;
• less workplace injury and workers’ compensation claims;
• faster return to work;
• lower workers’ compensation premiums.

At Construction Recruitment, we are committed to making a difference in our community and to create change in the lives of people and will focus on what is happening in the world of recruitment and construction around these current topics. The Covid-19 pandemic has had a major impact on people’s mental health, with some being particularly affected. Yet there is cause for optimism. 

We know that creating the right work environment and managing potential sources of harm, such as high work demands, low levels of control and poor support, can benefit everyone at work.

Workloads, Rising Overtime and Mental Health

One of the impacts currently being felt and discussed in the construction industry in view of the current skill shortages is that of workloads and rising overtime levels. One third of employers say overtime increased in their organisation in the last 12 months, whilst 13% managed to decrease overtime. Clearly, this not a sustainable situation, nor one that builds a safe and healthy workplace. 

22% of employers currently do not believe they have the talent required to achieve their organisation’s strategic objectives this this financial year. In the next 12 months, 67% of employers say skills shortages will impact the effective operation of their organisation or department, either in a significant or minor way.

According to the Black Dog Institute, absenteeism and low performance due to mismanaged mental health conditions cost Australian businesses up to $12 billion per year. Further a report by PwC commissioned by Beyond Blue found that for every dollar a workplace spends on creating a mentally healthy environment, an average of $2.30 is actually returned in benefits.

Project Delivery and Productivity

This is a concerning indicator for employers, who risk staff engagement, retention and mental health and wellbeing, that has the potential to hit project delivery and productivity. Employers share that the below organisational factors may be impacted by skills shortages:-

• 62% Increased workloads for existing staff
• 60% Project delivery
• 57% Productivity
• 45% Growth/expansion
• 44% New opportunities affected
• 43% Employee morale and engagement
• 40% Revenue/profit

Whilst so far employers have so far managed the shortage, they are reaching a turning point. Those organisations that are investing in projects and talent to return to, or cement their growth, are recognizing and addressing the skills shortages and stresses this is bring to their talent teams by encouraging new and existing team members to gain the qualifications and skills in demand, such as through upskilling or reskilling existing staff, offering apprenticeships, traineeships, graduate programs and entry-level roles, can help overcome the skills shortages.

Employee -v- Employee Salary / Benefit Expectations

39% of skilled professionals currently indicate they are dissatisfied with their current salary. This primarily stems from a sense that their current salary does not reflect their individual performance over the past year. 

The main reasons given are:-
• 58% It does not reflect my individual performance
• 38% It is not in line with external typical salaries
• 29% I did not receive an increase in the last year due to Covid-19
• 19% It is not in line with typical internal salaries

The challenges of the past year have prompted many skilled professionals to pause and consider what they truly value in their life and career, and benefits offered in employee packages have become increasingly important to staff attraction and retention too.

Employee expectations, when looking for a new job, prioritise these benefits as their top 5:-

1) 79% Flexible work practices
2) 52% Career progression
3) 50% Training
4) 44% Learning and Development
5) 30% More than 20 days’ annual leave

If salary expectations are not met, employees may ask for additional benefits. Whilst 39% are currently dissatisfied with their current benefits package, reviewing and offering additional benefits can help reward, retain and attract top talent. With 79% of employees asking for flexible work practices, new pandemic-induced benefits being offered by employees have been:-

• 58% Hardware to support remote working
• 53% Laptops
• 32% Home Desk and Chair
• 22% Additional days of work for wellbeing
• 21% Budget to buy own home office supplies
• 18% Contribution payment towards home WiFi
• 6% Perks (café delivery or vouchers for tea/coffee)

Career Progression – An Attraction and Retention Tool

52% of skilled professionals indicate that career progression has become an important benefit to skilled, behind flexible work practices.
We are finding that a lack of promotional opportunities or an undefined career progress pathway for employees is the number one factor driving people into the jobs market today, ahead of an uncompetitive salary. No wonder, 77% of skilled professionals either plan to look for a new job or are open to opportunities this year.

To enhance their chance of success in their job search, talent have used the last year to develop their skills to make themselves stronger candidates. This puts them in a strong position to make a transition to either a step up in their career, or if advancement isn’t offered in their current workplace, to seek opportunities elsewhere.

Progression Pathways to Overcome Skills Shortages

For employers, this makes a career progression plan essential in retaining your top talent, and also a key to attracting and securing you preferred candidates. 

The skills shortages in the industry today is an impending risk that can be effectively managed with a considered approach. Offering and promoting clear progression pathways, including upskilling your existing staff, can also help overcome these skills shortages.

Employees are walking a fine line between rewarding staff and maintaining costs. By communicating clear promotional pathways as well as the full range of meaningful benefits offered to employees, skills development and greater flexibility with open honest conversations, will help improve understand and trust and go a long way to employee wellbeing.

Continue to support mental health and wellbeing

For most leaders of organisations, supporting positive mental health practices – both personally and amongst employees is a priority. It is clear that Covid-19 has taken this importance to a whole new level. The impact of so much uncertainty, upheaval and change is clear.
Looking ahead, with work-life boundaries more blurred than ever, quality employers will keep this as a top priority.

Free Downloads

The World Health Organization has recently updated their Comprehensive Mental Health Action Plan 2013-2030 building upon its predecessor and sets out clear actions for member states, the WHO secretariat and international, regional and national partners to promote mental health and well-being for all, to prevent mental health conditions for those at-risk and to achieve universal coverage for mental health services. A free copy can be downloaded on the World Health Organisation website.

Demonstrating leadership in these areas will influence the impression people have of your organisation as an employer and promotes your organisation as a preferred place to work. These subjects are growing in importance in 2021 and will be a key to driving your ongoing success.

RELATED POSTS: 


CONNECT with us today if you are looking to recruit for or land the ideal construction job.

#constructionrecruitment #construction-recruitment #successtogether #safeworkmonth #ThinkWorkBeSafe #WorldMentalHealthDay

October 22, 2022
Employers Get Ready
October 22, 2022
The Need for Speed Secures Top Talent
October 22, 2022
Women In Construction Update
October 22, 2022
Taking Steps To A Brighter Future
September 19, 2022
Post Covid Analysis - 10 Top Reasons
September 19, 2022
Attraction and Retention on Steroids
September 19, 2022
Pre Interview and Interview Tips
September 19, 2022
> 100k construction worker shortage!
August 17, 2022
How To Respond
August 17, 2022
Mood Lifters
More Posts
Share by: