Hartford Business Journal

20 Hartford Business Journal | February 8, 2021 | HartfordBusiness.com By Sean Teehan steehan@hartfordbusiness.com C onnecticut officials have touted workforce development as key to the state's economic recovery from COVID-19, but some contractors say restrictions on apprenticeship hires is hurting their ability to bring on new employees, even as the industry faces a worker shortage. The state Department of Consumer Protection imposes a so-called "hiring ratio" on contracting companies in electrical, plumbing and metal-working trades. The rule is a bit technical but it essentially requires contractors to have a certain number of licensed journeymen on staff for each apprentice they hire. The ratio allows contractors to hire up to three apprentices on a 1:1 ratio. That means a company must have three licensed journeymen on staff if it wants three apprentices. It would need two journeymen for two apprentices. After the first three hires, employers must abide by a 3:1 ratio. That means for each new apprentice, a company must have three additional journeymen. So, a company with 12 licensed journeymen can only have six apprentices on staff. The rule has support from labor unions and at least one Democratic state lawmaker who says it ensures less experienced and unlicensed workers are properly supervised. Supporters say the ratio also prevents contractors from hiring a large number of apprentices who can serve as cheaper labor compared to more experienced workers, some of whom belong to unions. But Stillman Jordan, a vice president at Stratford-based Environmental Control LLC (ENCON), said the mandate places real-world burdens on his company's ability to hire new workers. ENCON installs and maintains heating, air conditioning and solar power systems for residential and commercial buildings. At any given time, the company has a backlog of five to 10 prospective apprentices who are ready to work, but can't until ENCON hires enough journeymen. Apprentices typically start at between $16 and $19 per hour. The ratio is forcing contractors to fiercely compete for more experienced tradespeople as the industry faces a worker shortage. Some companies are offering major perks including up to $10,000 signing bonuses, Jordan said, which is increasing the cost to do business and ultimately leading to higher prices for customers. "We talk about the jobs crisis. I have high-paying jobs but can't hire people," Jordan said. "The reason we haven't hired people who want to work here is the hiring ratio." Meantime, a Republican state lawmaker recently introduced a bill in the General Assembly that would ease the hiring ratio, something that has support from the business community. Workforce development Even though Connecticut's economy has faltered amid the pandemic, demand for trade jobs remains strong. For example, in Connecticut there are currently 700 open HVAC- technician positions and 3,200 available electrician jobs, according to data from Build Your Future, a nonprofit focused on recruiting workers to the trades. Connecticut's apprentice-to- journeyman hiring ratio applies to companies in both of those specialties as well as plumbing, sprinkler-fitting and sheet-metal trades, said Russell Jarem, an attorney who represents employers for labor and employment law firm Jackson Lewis PC. After companies hire their first three apprentices at the 1:1 ratio, they may apply for a waiver to continue hiring at that rate, Jarem said. But contractors say the red tape is still stifling and it's an issue they've been trying to reform for years. Lawmakers did respond in 2017 by tweaking the regulations and establishing a working group that meets regularly to discuss the industry's challenges. However, it's not enough and the policy seems incongruent with the state's workforce-development goals, said Chris Fryxell, president of construction industry trade association Associated Builders and Contractors of Connecticut. Gov. Ned Lamont has made workforce development a top priority, and even established a new unit within state government to oversee workforce strategies and programs. "We don't believe states should be limiting how many apprentices contractors can hire," Fryxell said. "We need to bring young people into the industry, and the state's making Julie Kushner Chris Fryxell Talent Shortage Worker-hungry contractors say rules limiting apprentice hires stymies business Workers at Manchester-based electrical contracting company Dyna Electric Inc. on a job site. Trade No. of available jobs Boilermaker 25,014 Carpenter 9,953 Mason 5,452 Ironworker 4,183 Electrician 3,189 Pipefitter 2,262 Sheet metal worker 1,969 Painter 1,462 Insulator 1,267 Plumber 1,244 HVAC technician 690 Welder 346 Trade jobs in demand Trade jobs in Connecticut remain in high demand as the industry's aging workforce increasingly heads toward retirement. Here's a look at the number of available jobs in the state in key trades: Source: Build Your Future PHOTO: | CONTRIBUTED

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