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Construction wages continue to grow, drawing in younger workers

June 19, 2024 |By Katie Tabeling

Construction Site — Nationwide, students are bypassing further education to get into the skilled trades. Delaware trades are seeing wages rise at the same time. | DBT PHOTO BY KATIE TABELING

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WILMINGTON — Around 2018, Jamie Chambers would have conversations with parents of Delaware middle school students, trying to explain that the jobs in the construction were more than just digging ditches on the side of the road for $7 an hour. “It’s a generational wish parents have for their kids: they don’t want them to work hard and make no money,” said Chambers, the Delaware Contractors Association Director of Member Success. “But these days, there’s good-paying jobs that fit with anyone's interests, from flying drones to interior design to drafting.” That perception is out there, but it’s quickly changing with the rise of Generation Z (those born in 1997 and after). After years of college enrollment declines spurred by high tuition costs coupled with the years of uncertainty of in-person education on college campuses, the enrollment at public four-year institutions across the nation rose 2.4%, according to the National Student Clearinghouse. Last year, the National Student Clearinghouse found that vocational focused institutions continue to see steady increase in enrollment. This year, it’s estimated that 779,000 people have enrolled in vocational colleges, a 17% increase from last year. “We’re seeing a lot more interest, specifically from generation Z. I think someone got smart and realized that you need to start marketing this on social media, and it’s working,” M. Davis & Sons, Inc. Chief Operating Officer John Gooden said. “We’ve had three senior people retire in the last four months, and we’re seeing a lot of diversity moving up the ranks now.” At northern Delaware vocational technical schools, the number of students that were offered employment opportunities after graduation is on the rise. A survey of all four high schools in the New Castle County Vo-Tech School District found that 19% of its 1,059 students were offered jobs, though not all students filled out the survey and the student pool includes those headed into health care, cosmetology, IT and other fields. In Delaware, the salaries for construction jobs have gone up but the workforce has slightly shrunk in the past five years. In 2023, the average construction worker earned $61,318 working 40-hour weeks — a 16% increase from 2016. But the workforce shrunk by 4%. But Chambers said that major changes have made a difference with the incoming tradesmen. The Delaware Pathways program launched in 2018, exposing 23,000 students to various trades or career options that don’t require a bachelor’s degree. “Back then, we had one person coming in for every four retiring,” Chambers said. “With all the work that’s been done in the past four years, it’s created more of a pipeline to get kids involved. The pathways program has also opened doors to broader topics, like road infrastructure or electrical work. Simulators give the option to learn about operating dump trucks or other heavy machinery.” The state awarded the DCA and the Associated Builders and Contractors (ABC) of Delaware and other partnerships grant funding for apprentice programs to afford students the opportunities to earn while they learn skills with construction companies. The average age for a registered apprentice is 26, while state officials would like to see it around 18. “Certainly, there’s a place for college degrees, but for a long time the skilled trades did not have a clear path forward,” said DOL Apprenticeship and Training Manager Jazelle Plummer. “But the pathways that start around 10th grade are really designed to get our students in the headspace of what they can do for their futures, and maybe these jobs are worth a look. Employers all have their preferences, depending on whether they want someone new to start training in their processes, or more experienced.” According to the state DOL in 2023, there were 1,656 registered apprentices in training with 417 employers across 20 occupation categories. Companies range as large as Allan Myers and M. Davis to companies with as few as five employees. Participant numbers ebb and flow with enrollment and graduations between September and January, Plummer said. Historically, the program hasn’t seen an uptick depending on broader economic challenges. In fact, COVID may have had a net zero impact: much of the training work may have been restricted due to space restrictions, but Delaware was one of the few states that allowed construction work to continue. While the problem of perception of low pay and hard work is still there, Chambers added that she’s having faith that the tide is turning with more outreach to middle schoolers. “‘Earn while you learn’ is a phrase that really hits home with parents. Because a lot of kids aren’t going to college because it’s so expensive,” she said. “An apprenticeship grants the opportunity to work for five years and get your licenses. When a sixth grader goes home and shares that these jobs have health benefits, a pension and good pay, that child may not understand. But the parents will.” M. Davis traditionally hires apprentices straight out of high school, some starting as early in their senior year in a co-op program. Gooden from M. Davis said that they do see participants coming from traditional high schools. On average, the company hires 80 apprentices in a cycle that follows a school year. “It’s very different today than what it was 20 years ago,” he said. “People who were coming to train had a father, an uncle, a brother or someone working in construction trades. It’s become a different animal, and it’s moved beyond schools and into a lot of other programs.” Gooden said that marketing is key to continuing the upward trend, especially having companies do it themselves. “We’re on Instagram, but we’re also thinking outside the box,” he said. “We’ve got like 15 sophomores coming to see electrical and welding in a summer camp. Seeing that first hand and offering an opportunity to try and wire a switch are critical.”