Using Data to Attract and Retain Women in the Construction Talent Pool

The construction industry faces talent shortages that are negatively impacting productivity and pricing. At the same time, more women are moving into the industry. Learn how employers can leverage their data to attract and retain more women in construction fields.

The current state of the construction talent pool is a mixed bag.

On one hand, the industry faces a critical labor shortage, exacerbated by the lingering effects of the COVID-19 pandemic and the aging workforce. According to the Associated Builders and Contractors, the industry needs approximately 500,000 more workers in the next year, and the shortage is pushing up already-high housing costs.

On the other hand, Current Population Survey data gathered by the Bureau of Labor Statistics and reported by National Association of Home Builders shows women are increasingly entering the industry, totaling 1.3 million workers in 2022, an increase of 53 percent over the last decade. From the perspective of employers in the construction industry, investing in strategies that attract and retain women could be key to mitigating the labor shortage.

A closer look at women in construction

As of June 2024, according to BLS data, there are about 330,000 job openings in construction, higher than the average number of openings in that industry in the last seven years. Despite seeing the highest national unemployment rate since November 2021 (4.3 percent in June 2024), the construction industry continues to grapple with a talent shortage.

Slowly, but surely, women are making up a growing proportion of the construction industry.

A 2023 BLS report revealed that 10.8 percent of construction workers in the United States were women. The rate of women in construction in the United States has grown by almost 2 percentage points since 2010, when women made up only 8.9 percent of the industry labor force. Compared to the overall labor force, this represents a significant lag, as women accounted for 57.5 percent of all active workers in July 2024. But the rise of women in construction is substantial, and employers need intentional strategies for encouraging women to enter and stay in the industry.

"Construction employers need to make accommodations at the jobsite that haven't been there before," says Kit Dickinson, construction industry executive at ADP. "Gearing those accommodations to attract more women into the field by having, for example, lactation stations on the jobsite and making equipment accommodations instead of using one-size-fits-all gear. Those are things that have to evolve and be more progressive in some respects to help attract and retain those coveted workers, because they're in great demand."

How analyzing people data can help support women in construction

Leveraging data wisely is the key to building a fair and inclusive workplace where women can thrive. Using tools that analyze data about their people (also called people analytics) can help employers identify biases in hiring and advancement, reveal opportunities to expand support and measure progress toward their goals.

For construction businesses seeking to create more opportunities for women, this type of analytics can help in a wide range of areas.

Talent attraction and engagement

To attract a diverse talent pool, construction businesses will need to show they've built a welcoming company culture that emphasizes inclusion and fairness. There are data analysis tools that can help interpret candidate and new hire feedback to reveal trends that highlight opportunities for improvement in the recruiting and onboarding processes. Providing flexibility and accommodations can also help boost recruiting efforts.

Reducing turnover

Businesses in many industries are grappling with high turnover and retaining women in construction, in particular, poses additional challenges. Solutions that analyze people data not only provide objective insights into turnover rates and trends in your organization. These types of analytics can also help leaders drill down by location, manager, and demographics to uncover opportunities for action. Used over time, they can help measure and track progress toward your organization's retention goals.

Career development

Access to skill-building opportunities, training and certifications has historically been linked with higher employee retention. People analytics can help you develop career path mapping, identify candidates for skills training and monitor career advancement within your organization.

Supporting broader DE&I initiatives

Gender represents just one small piece of diversity, equity and inclusion (DE&I) considerations, but the best practices for supporting and empowering women in your workforce can simultaneously fuel your wider efforts to address inequity in your organization.

For additional guidance on how your people data can lead to new insights, consult our complimentary guide, From Analytics to Action.

Actions for construction employers to consider

Although it can be an advantageous tool, people analytics is not a quick fix to recruitment woes. Like most talent challenges, it requires ongoing effort, consistent attention and regular course adjustments. However, incorporating it into your strategy helps begin to steer the ship in the right direction.

Here are several specific examples of how construction leaders can leverage people analytics:

Conduct diversity audits for every job title.
Conduct pay equity audits.
Monitor turnover rates and look for trends.
Analyze "time to promotion" by demographic.
Benchmark your data to compare your organization to industry peers.

In all cases, use insights from people analytics to make timely, data-informed decisions about which strategies to pursue, which to retire and which to update based on your organization's progress over time. Consult our People Analytics Guidebook for more information on how data can support inclusion and fairness for all.

Strengthening the future of women with people analytics

Incorporating people analytics into construction industry practices is not only a strategic response to the current construction talent pool but also a crucial step toward fostering a more inclusive environment for women. By leveraging data to identify and eliminate biases, support career development and enhance employee experience, construction employers can create a more equitable workplace.

"It's been great to see the construction industry doing a much better, more creative job of promoting the benefits of joining the trades," Dickinson says. "For example, dispelling some of the old misconceptions that if you go into construction, you're going to be holding a shovel, holding up highway traffic or swinging the same hammer for 30 years. That's absolutely not the case."

As the construction industry continues to evolve, those who prioritize diversity and inclusion will be better positioned to attract, retain and empower the talent needed to thrive.

Want to learn more about how to improve your talent pool and retain talent? Get our guide: Empowering women in construction