Future of construction is clear: DEI or D-I-E

Square graphic via ChatGPT of large diverse group of construction workers standing raked in high-vis and hard hats, with faded partial duplicate panels added left and right to make image landscape.
Image created using ChatGPT generative artificial intelligence (AI)

New Writing: Last month some high-profile names distanced themselves from Diversity, Equity & Inclusion. Writing for The Hub, the award-winning content platform curated by Mitsubishi Electric, Jim McClelland explains why the doubters are wrong (especially in industries like construction), and DEI is here to stay.

In the world of human resources, regression is the new progression. That is the signal being sent down from the C-Suite of certain corporates of late. Fairness is off the agenda.

Such talk carries policy implications for recruitment and retention. So, as an organisational framework, Diversity Equity & Inclusion (DEI) has experienced a bit of a backlash.

Last month saw moves away from DEI policies announced by two famous uber-traditional US brands within just a matter of days: first came Harley-Davidson; then Jack Daniel’s.

In both cases, the finger has been pointed at hostile activist campaigning described as either ‘anti-woke’ or ‘anti-DEI’. So, is the honeymoon officially over for DEI and HR?

Interest and investment up and down

Well, yes and no: The mood is muddled and the messages are mixed.

Making predictions for 2024, leading advisory firm Forrester forecast a drop in investment in what it calls ‘employee experience’ (EX). Exemplifying this recessionary trend in EX was falling financial support for organisational DEI, down from 33% in 2022 to 20% in 2024.

By contrast, the annual Workday survey of 2,600 business leaders found DEI had bounced back following a difficult 2023. Findings revealed almost 8 out of 10 respondents (78%) felt its importance has increased over the past 12 months. An even greater number (85%) stated that they currently have budget for DEI initiatives, in a figure up 11% year-on-year.

The truth is that almost any spend allocated in support of sustainability issues is under scrutiny at present, especially as share prices come under pressure. DEI is therefore not the only aspiration feeling the pinch — belts are tightening around carbon reduction and net zero budgets, too.

Whilst the honeymoon may well be over, though, the marriage is still sound.

Role models for women in construction

Going forward, industries and companies need to double-down and find a way to help HR continue to invest (literally) in deepening its relationship to DEI.

In the case of the built environment sector, there is still a long way to go.

Take the number of women working in construction in the UK, for example. The total peaked around 341,000 in Q2 last year, representing just 15.8% of the overall workforce.

That figure has fallen lower again since, but breaking the headline total down does reveal some pockets of promise. For instance, Go Construct reports that 37% of new entrants coming into the construction industry from higher education are women.

Plus, standout examples are both emerging and enduring amongst the trades, too.

Influential role models and high-vis champions for women in construction include: former international rugby union player for Wales Philippa Tuttiett, who runs Female Builders & Interiors (FBI); plus Founder and CEO of Stopcocks, Hattie Hasan, who has even been awarded an MBE for decades of trailblazing.

Demand for different, not just more

Social justice and labour rights aside, though, one reason why construction must embrace change at scale is simple economics: The business case for DEI is undeniable given the sector’s scary skills gap.

The Construction Industry Training Board (CITB) has calculated the industry will need more than 251,500 extra workers over the next five years, with construction employment rising to 2.75M.

Moreover, the global built environment sector needs different people, not just more.

Digitalisation represents both a business opportunity and a skills challenge.

Based on a survey of over 1,300 industry professionals in 15 countries, a report by construction, FM and real estate platform PlanRadar revealed that while almost all respondents (97%) expect investment in digitalisation to increase, nearly 8 out of 10 (77%) find new technologies difficult. They need help.

So, to read more about how all this creates a pivotal socio-economic imperative for the business community in the built environment, check out the full-length article published exclusively on The Hub:

Constructions’s future is clear: DEI or D-I-E


To view a back-catalogue of articles authored by Jim McClelland for ‘The Hub’, please see archive here.



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