The Expert Podcast

In prior videos, we've talked about the difficulties in the construction industry for building new homes, remodels, or additions, particularly due to supply chain issues and labor shortages. Many times, the question comes up regarding labor issues, specifically whether pay rates are sufficient to hire good employees. It often comes down to whether there are enough workers or if they’re just not being paid enough to do the jobs.

Let's take a look at it from another perspective— from a worker's standpoint. What is the correct amount that contractors and companies should be paying? Put your comments below on what you think a fair and appropriate labor rate should be. Consider it from a couple of different angles. First, what is your job and role in the construction industry? Are you a framer, electrician, plumber, sheetrocker, or painter? Put in the comments what your role is and what the labor rate should be to get employees.

Companies should know what they should be paying, and if you're aware of what it would take to get large numbers of employees to show up and do work, let the public know in the comments. Let potential employers know if they're underpaying and that's why they can't get help. Let them know what the rate should be in order to get quality employees that will stay in their roles, not just to get somebody to show up temporarily until they find something better. What is a good, fair, solid wage for these different roles?

Obviously, some of this will depend on geography and the skill set required. A licensed, experienced electrician is likely going to get paid more than a framer or sheetrocker, but they all have value in the construction industry. So, what is the rate that should be paid to ensure an employer can fill their payroll with quality employees?

Now, after you share your thoughts, let us know what you're seeing being offered in your area. If the employees should be paid this much but the current labor rate is lower, this will help the construction industry understand where the gap is. It will also help contractors see where their deficiency lies. As a skilled, experienced contractor or tradesperson, what would it take to get people like you to be dedicated to an employer?

Of course, the employer has to offer more than just money. It has to be a good place to work, with quality management, quality jobs, and maybe additional benefits. But for now, let's focus on pay. What is the pay rate that would make an employer competitive and able to corner the market on skilled tradespeople, ensuring they work for them rather than someone else?

Let us know what that magic number is. What do you think would be a good pay rate in your area? Some parts of the country may vary a little, but what is the rate for these different roles? We’re using this informal poll to get an idea of what is appropriate and fair to pay a quality, skilled, experienced tradesperson who will be dedicated and dependable for their employer.

If employers are having trouble retaining people, maybe it’s because they’re not paying enough. What is that magic number? Let us know in the comments—be sure to include the trade or skill you’re referring to and your geographic area so that the public and contractors can know what it will take to get very good, quality, skilled contractors to work for them.