The world wants to be green.

And with buildings accounting for some 40 percent of U.S. energy use, Wisconsin’s construction industry is poised to capitalize onits greatest opportunity in decades. Green construction, retrofits and upgrades represent unlimited potential for Wisconsin builders. But one thing stands in the way of the industry’s economicprosperity: a labor shortage.

A combination of retiring baby boomers and difficulty attracting the next generation of workers to the trades could mean Wisconsin contractors will struggle to sustainthe sustainability movement. The dilemma led Wisconsin Builder to seek out ...

A Sustainable Solution

Why the prospect of green-collar jobs
can attract a new generation of workers

By Lawrence Silver and Dustin Block

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Heather Stair knows attracting more young people to the construction industry means changing the perception of the trades.

As education coordinator for the Associated General Contractors of Greater Milwaukee, Stair said she encounters many high-school students completely unaware of the opportunities available to them.

“Kids these days are steered toward college, and that’s it,” Stair said. “I don’t think they are always presented with other options.”

Wisconsin Builder believes marketing construction as a green industry can change the perception among young people that the building industry provides few career paths. Letting the next generation of workers know the potential effect they can have on the environment can’t hurt either.

With that in mind, Wisconsin Builder asked several in the industry if construction’s presence in the green economy could draw new workers. The response was unanimous.

“Across the board, students are getting more interested and more aware of the green economy,” said George Stone, professor of natural science at Milwaukee Area Technical College. “From a more practical standpoint, they’re realizing there will be jobs in this area.”

Stair agreed.

“The generations that are coming up right now are so much more conscious of the environment,” she said. “If you can sell it that you have all these [green] measures in place, if you can sell that you can make a difference and make a living, it’s going to hit people in a powerful way.”

But recognizing the industry’s ability to grab attention by being green isn’t enough. Wisconsin Builder wanted to figure out what contractors, schools and government could do to take advantage of a sustainable solution.

What can contractors do?

Dale Dulberger knows why the construction industry struggles to attract young people to the trades.

“The trades are looked down upon,” said Dulberger, project manager of the 21st Century Urban Technical Education Project. “[Workers in the trades] are known for using their hands and not their heads.”

Dulberger argued contractors need to do a better job giving young people public recognition for going into the trades, particularly because they are poised to have an effect on the environment.

“They could be the leaders,” Dulberger said of potential trades students. “They could show people concretely how institutions can change. They can show how we could become more energy efficient.”

Green building opportunities

Wisconsin’s construction industry stands to benefit greatly from a new push toward sustainability.

But to capitalize on the new trend, the state’s building community needs to prepare itself for the new types of projects customers will demand. Here are two green building opportunities Wisconsin builders might want to focus on.

Retrofits

Partnerships between the commercial construction industry and manufacturers of energy-efficient building controls systems will be the driving force behind retrofits, said Dennis Kois, Johnson Con-trols Inc. director of employee relations.

Johnson Controls, a manufacturer of building controls systems, is trying to set the precedent for retrofits, a process where buildings are reconfigured to be more energy efficient.

Not only is the company in the middle of a two-year, $73 million retrofit and expansion of its Greendale campus, it also has a division focused on improving energy efficiency and using new technology to replace traditional methods.

“We’re trying to create a more sustainable environment on our campus,” Kois said. “It’s one of the things our businesses do for our customers. We wanted this to be a showcase for our customers.”

Kois said Johnson Controls expects the retrofitting industry to blossom. In its last quarterly report, the company reported the backlog of uncompleted retrofit jobs rose 13 percent, or $4.5 billion, compared to the same quarter the previous year, Kois said.

“We are looking for partnerships from beginning to end,” Kois said.

Biofuel Plants

Commercial construction will play a large role in Wisconsin’s bid to be a leader in biofuel production, said Judy Ziewacz, executive director of Wisconsin’s Office of Energy Independence.

The state already is the nation’s seventh-largest producer of ethanol, and the University of Wisconsin-Madison received one of three $125 million grants from the U.S. Department of Energy to establish the Great Lakes Bioenergy Research Center last year.

Biofuel is any fuel that derives from a recently living organism or its byproducts.

In Wisconsin, that includes a full range of possibilities, including wood chips, plant material, manure and even paper waste products to be used as biomass for conversion into fuel.

Ziewacz said Wisconsin will need several biofuel production plants to cut down the cost of transporting biomass, which is a great barrier to commercialization of the product.

“For commercial construction, building energy plants will be an emerging skill set,” Ziewacz said.

John Biondi, president of C5•6 Technologies, the Madison-based firm partnering with the UW-Madison on the Great Lakes Bioenergy Research Center project, said building biofuel plants will require the same skills required to construct ethanol plants.

“They will be pretty good-sized things, like an ethanol plant,” Biondi said of biofuel production centers. “They will be just a bunch of tanks connected with pipes and valves.”

Biondi said biofuel plants aiming to push the product toward commercialization already are being constructed across the country.

Contractors large and small will need to do small things while building on what they already do if they are going to use construction’s presence in the green economy as a recruitment tool.

Along with providing public recognition, contractors should increase financial incentives for training, Dulberger said.

Also, because fewer schools offer traditional technical education, or shop classes, Dulberger said contractors should create hands-on experiences for young people.

“Perception is tied to their experiences,” he said. “Schools have closed down technical training programs. So the only thing that exposes them to the world of building, construction and design is a computer.”

Liz Elvin, director of work force development for AGC, said the national organization already is considering different ways to expose young people to green construction.

Elvin said AGC staff recently discussed creating a green-building workbook for career academies. The book would integrate information on the what, how and why of green building with math and English exercises.

Elvin said the AGC plans to form a task force to help author the book. The national organization likely will turn to Wisconsin contractors to join the committee, she said, because of the state’s leadership in organizing career academies.

“We need young people to come into the industry,” Elvin said. “If we can leverage the fact we build sustainable, long-term, energy-efficient buildings — if that’s a way to get young people excited about the industry — I’m all for it.”

Tom Thayer, chief executive officer and president of Tri-North Builders, Fitchburg, said green building already helps the construction industry market itself to customers. It makes sense then, he said, that sustainable design could draw young people into the trades.

“My gut reaction is this doesn’t hurt recruitment to the industry,” Thayer said of green building. “Anything that brings our industry to the forefront on the environmental side helps. Our industry is not just people digging ditches. It’s not as simple as the lay person thinks.”

What can schools do?

ImageUniversity of Wisconsin-Madison professor Jeffrey Russell said students are definitely drawn to the green economy.

“I find that a number of these students are ahead of the curve and ahead of society on this whole issue of insufficient and dwindling natural resources,” said Russell, who is the chairman of the school’s civil and environmental engineering program. “I think they are motivated to think about, from an engineering, construction and architectural perspective, how we are going to respond to that. They want to deal with these major challenges we’re faced with.”

As more baby boomers reach retirement, Wisconsin’s building community will undoubtedly draw from the state’s universities and high schools to replenish the talent pool.

Today’s young people are more conscious of the environment than perhaps any generation before them, Stair said.

So perhaps, said Jeff Johnson, vice president of human resources and risk management for Appleton-based Oscar J. Boldt Construction, schools can attract students to the trades by creating an awareness of how the construction field affects the environment.

“What (awareness) does is it gets them very excited about contributing to the greater cause,” Johnson said. “It’s really about why this is more exciting than just the technical task.”

Tim Kippenhan, vice president of Miron Construction Co. Inc., Neenah, said schools also should listen to private industry when devising new curriculums.

He said green-building techniques are relatively new and require a huge learning process for everyone in the field, and private industry can lead students to skills that are going to be in high demand.

Kippenhan said he saw the positive influence industry can have on schools. His boss, David Voss Jr., president of Miron, serves on a construction advisory committee for the University of Wisconsin-Stout.

Voss said the committee meets a couple times a year to discuss what’s hot, and therefore has to be in the curriculum, and what’s not, and should be taken out.

“We can get things changed within one semester,” Voss said. “They really listen to the industry folks. It really works out well.”

Greg Kempen, a senior project architect with Eppstein Uhen Architects, Milwaukee, said strong green educational programs ultimately translate to the real world.

Kempen said he sees many graduates push senior architects to rethink how they’re designing buildings.

“It’s definitely being driven from the bottom up,” Kempen said of green building.

“From what I’m seeing, the older, more senior people are having to revisit how they view buildings.”

What can government do?

ImageSarah White said she believes green jobs can invigorate Wisconsin’s economy.

But she’s cautious in her optimism.

White co-authored “Greener Pathways,” a report that explores economic and work force development opportunities in three leading industries: energy efficiency, wind and biofuels. The report also highlights federal resources that support state green jobs initiatives. It concludes by outlining a plan of action for state policymakers.

The report states the green economy could help Wisconsin, but only if Wisconsin’s workers learn the right skills.

White said schools, governments and businesses are rushing to create training programs to prepare for the green economy. If they’re not careful though, she said they could train workers for jobs that will never exist.

White said governments need to conduct regional labor market studies to gauge what green jobs are available and what skills workers need to fill those jobs. The studies are important because different regions in the state have different needs, she said.

“You have to make sure when you set up green jobs that they’re tied with employers and very specifically demand-driven,” White said. “You have to know there are employers in the region connected to jobs they’re being trained for.”

She added that government needs to ensure any investment in training for green jobs should result in high-paying jobs with benefits.

“For example, if government gives an economic subsidy to a company for green jobs,” White said, “they have to agree to pay prevailing wages.”

What states can do

The authors of “Greener Pathways,” a report that explores economic and work force development opportunities in energy efficiency, wind and biofuels, outlined the following policies and practices that should underpin state efforts to prosper in the green economy.

  • Define and target specific green jobs

    Definition and focus can be established by the state or determined by local stakeholders within parameters prescribed by labor market information. Targets might be identified as key occupations that directly respond to climate-action plans, or occupations that support the development of new green industry.

  • Use good data to drive green jobs initiatives

    Successful work force and economic development demand detailed labor market analysis. States need to understand targeted green industries at the level of regional economies.

  • Plan to measure green jobs programs and make them better

    An effort to figure out what works and what does not needs to be made. Because demonstrated results build economic success and political credibility, states need to build meaningful performance measures and a serious evaluation component into every green jobs initiative.

  • Employ energy standards as green job creation tools

    Energy standards, such as Leadership in Energy and Environmental Design, are fundamental to the orderly development of markets for renewable energy and energy-efficiency industries. But they cannot single-handedly promote the development of regional green economies or offer any guarantee of job quality.

  • Maximize green and community benefits by requiring them

    Tax subsidies for new energy industries should be connected to prevailing wage/benefit, job creation and other labor standards; linked to community benefit agreement provisions, like first-source hiring and financed apprenticeship programs; and be contingent on transparency and reporting requirements.

  • Promote green industry clusters

    A complete green jobs strategy should employ a broad range of economic development levers: venture capital funds, business incubators, and loans or grants targeting clean energy clusters.

  • Save existing jobs and create new ones through green innovation

    Not all green jobs are new jobs. Current jobs can be saved, and new ones created, by helping industries retool for the new-energy economy. Green work force development should seek to develop career pathways — or add green skills to existing ones — whenever possible.

  • Link green economic and work force development

    Worker training programs for renewable-energy and energy-efficiency industries must be explicitly linked to economic development and job-creation programs.

    Also, it is important green-collar job training initiatives not develop as standalone, boutique programs divorced from broader work force development efforts.

  • Construct green industry partnerships

    Green jobs initiatives should create or expand on regional partnerships organized by the industry sector, including management and labor, technical colleges, work force investment boards, community-based organizations and economic development agencies.