Author, Casey Craig, Account Executive, Rancho Mesa Insurance Services, Inc.

With unemployment rates settling near 4%, it is becoming increasingly difficult to find the right employees to help grow your construction company. With most able-bodied workers having secure employment, this leads to having either apprentice-type employees that come with unique challenges or pulling from an aging workforce that can bring cumulative injuries and risks. Navigating these issues can be complex and there is not a perfect solution, but employer’s hiring practices need to change in order to keep up with the current state of the industry.

When hiring new employees, consider:

• Pre-hire drug testing

• Pre-hire physicals

• Targeted job postings with accurate description of daily work

• Multiple levels of interviews

• Simulating work at your office that potential new hires would be performing in the field

The US saw a unique shift in the workplace as a result of COVID-19 where employees felt their value skyrocket as fewer people were willing to work in-person. Employers were forced to increase wages to get bodies on jobsites. In prior years, it may have been enough to just rely on word of mouth and referrals to get new hires. Too often now, we are seeing new hires suffer “ghost injuries” that are quickly followed with letters of representation.  These and similar types of cumulative trauma claims can have long term impacts on your experience rating (EMR). While these situations are difficult to prevent, using best practices and conducting thorough interviews with your prospective employees will allow you to make educated decisions which typically lead to better hires.

Taking advantage of the best practices listed above can help insulate your company from poor hiring decisions. Obviously, we would love for new hires to turn into long term employees, as onboarding and proper training can be a costly expense in both other employee’s time and payroll. In a recent survey conducted by Traveler’s Insurance, it was shown that 34% of workplace injuries occurred during the worker’s first year on the job. This can be from a combination of inexperience, overexertion, and/or lack of safety knowledge.

Consider these hiring and onboarding processes to assist in mitigating the glaring number of claims that are emanating from newer employees or employees that have limited experience on jobsites. The financial impact they can have on your company will impact your balance sheet for years and can be potentially avoided with implementing some of our recommended techniques

To learn more about improving your hiring practices or how Rancho Mesa can help to improve your process, reach out at (619) 438-6900 or ccraig@ranchomesa.com.