By Scott Greenberg, Motivational Speaker and Author of Stop The Shift Show: Turn Your Struggling Hourly Workers into a Top-Performing Team

“My workers drive me crazy!”
“We just can’t find enough people.”
“We can’t keep people.”
“They’re constantly calling out.”
“They’re so unmotivated.”

When I ask my audience members what they find most challenging about managing their teams, I consistently hear some version of the above responses. Every industry, including ones that invest heavily in corporate culture, struggles with managing its hourly workforce. With its blend of hourly and salaried workers, the construction industry is no different. Understanding these differences is crucial for effective leadership.

I spent over a decade managing my own hourly workers in my retail franchises. For the first few years, I, too, struggled with my team. What I discovered through a lot of trial and error, experiments, and extensive research into other businesses that excelled with hourly workers is that with the correct management practices, this group absolutely can be coached into high performers.

Understanding Hourly Workers vs. Salary Workers

Your workforce most likely includes both hourly and salaried employees. Hourly workers typically include laborers, tradespeople, and operators, vital for the hands-on execution of projects. Your salaried employees may include project managers, engineers, and architects, who are responsible for construction projects’ strategic and administrative aspects. Both groups share universal needs like fair compensation and respect. But salaried employees earn more of both. There’s status with not having to punch in. They’re also more likely to work full time, receive benefits, and earn a reliable income, making it easier to plan a life and access credit. They enjoy stability.

Hourly workers are more likely to be juggling multiple jobs or revolving around other family members’ schedules. They may have their hours reduced or changed. This uncertainty in both income and schedule requires them to adjust their daily lives frequently.

Hourly employees tend to have fewer growth opportunities compared to their salaried counterparts. Their work is often seasonal in construction, with fluctuating hours based on project needs, leading to income instability. They also face physical risks when working in potentially hazardous environments. Their connection to the company is often more transactional than relational. If they feel less loyalty to the organization, they’ll feel less loyal to the organization. All of this, coupled with the absence of benefits like healthcare, makes it easier for them to leave for new job opportunities.

With so many differences in their circumstances and work lives (not to mention demographics), hourly employees require more understanding and empathy. They can’t be expected to respond to the same tactics companies use to build white-collar corporate cultures.

You need to adapt. Here are a few ways to do that:

Identify and Meet Their “Soft Needs”

Most companies focus on hard needs – the tangible things people want from a job. Usually, this is money, but it could include other benefits. It’s what employees get in exchange for their work.

But money alone (which may be less available for hourly workers) isn’t enough. Employees also have emotional desires, what I call “soft needs.” These include things like recognition, personal growth, respect, safety, and a sense of belonging. Buying them lunch and gift cards is nice, but that won’t do the trick. This isn’t about kindness; it’s about meeting their specific needs, their emotional ones – needs they may not articulate but absolutely have and appreciate when met.

This is a strategic move that leads to increased productivity and retention. When these needs are met, employees are not only more likely to stay with a company but also to perform at higher levels. Organizations such as Gallup and Deloitte have reported for years on employee well-being and how it connects to productivity and engagement. This is particularly important in construction, a field that can be both physically and emotionally taxing. Meeting emotional needs creates a workforce that feels valued and understood, which in turn fosters a more dedicated and productive team.

Pay attention and get to know your workers. Besides making money, what matters to them? What do they want in a work environment? In a team? What will make their experience of work better? Don’t make assumptions, and don’t project your soft needs on them.

What you give hourly workers matters less than how you make them feel. Pay them well, but treat them really well in the ways that matter most to them. That will help you become an employer of choice.

Get Your Values Off the Poster and Onto the Ground

Abstract mission and value statements often don’t speak to the mindset of hourly workers. Are you sure your workers know what “Integrity” means? Do they recognize it when demonstrated? Make your values more tangible. For each one, develop a list of behaviors that reflect that value. For “Integrity,” you might say:

  • We always tell the truth.
  • We follow through on our commitments.
  • We admit our mistakes.
  • We treat each other fairly.
  • We comply with all laws and company policies.

These actions reflect the value but are easier to understand. They make it easier to hold employees accountable. Discuss these behaviors and reward those who consistently demonstrate them. Reprimands should also refer to these behaviors as violations of the values agreement.

Give Employees Measurable Work Objectives

Their work may be more physical or repetitive and less intellectual or creative than those on salary. Keep them motivated by establishing clear performance metrics. Then appeal to their natural human desire to beat their own score, what I call “self-competition.”

Regardless of their pay structure, workers have an innate desire for growth, challenge, and recognition. It’s intrinsically satisfying to meet or surpass benchmarks. Setting clear, measurable objectives for safety, project completion, and quality can motivate hourly workers. These metrics provide a sense of accomplishment and contribute to the overall success of construction projects. Clarify what’s expected and what success looks like.

The alternative is to just keep them busy. That’s a quick way to lose people who hunger for improvement and intellectual stimulation.

You may not believe it’s possible to build a reliable team of hourly workers. I sympathize, but I can’t ignore the results I’ve gotten or the success of the many diverse employers I’ve personally worked with and interviewed who are also thriving with the help of an outstanding hourly workforce. They’ve proven it’s possible.

You can transform your hourly team from your biggest challenge into your greatest asset. But only if you’re willing to provide them with the greatest management.

Scott Greenberg is a business speaker, writer, and coach who helps leaders and teams perform at a higher level. His new book is entitled Stop The Shift Show: Turn Your Struggling Hourly Workers into a Top-Performing Team. Scott is the go-to expert for organizations aiming to elevate their business and the people behind them. With a unique blend of strategic business acumen and human-focused leadership, Scott is the catalyst for holistic business transformation. Scott dives deep into the human elements that directly impact business performance. He equips leaders with a peak performance mindset, empowering them to lead more effectively and cultivate high-performing teams. His innovative management tool, 30-Second Leadership™, has revolutionized the way businesses enhance employee mindset, skillset, and overall performance. Learn more at https://scottgreenberg.com.