New Jersey Business Beat with Raven Santana
Building a successful construction industry in NJ
4/27/2024 | 26m 46sVideo has Closed Captions
Raven Santana analyzes the impact of New Jersey's construction industry.
The construction industry contributes billions of dollars in economic activity for New Jersey. This week, Raven Santana sits down with industry leaders and executives to discuss how women are making gains in a male-dominated field and how the next generation is increasingly turning to skill trades to fill a growing staffing gap.
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New Jersey Business Beat with Raven Santana is a local public television program presented by NJ PBS
New Jersey Business Beat with Raven Santana
Building a successful construction industry in NJ
4/27/2024 | 26m 46sVideo has Closed Captions
The construction industry contributes billions of dollars in economic activity for New Jersey. This week, Raven Santana sits down with industry leaders and executives to discuss how women are making gains in a male-dominated field and how the next generation is increasingly turning to skill trades to fill a growing staffing gap.
Problems playing video? | Closed Captioning Feedback
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♪ >> This is "nj business beat with raven Santana."
Raven: thanks for joining us.
Construction is a major industry in New Jersey, employing thousands of workers and contributing in economic activity for the state.
According to the federal reserve, New Jersey's gross domestic product from construction totals $29 billion.
Construction companies employ 169,000 workers according to the state labor department.
Hourly construction workers earn an average of $38 per hour while salaried construction employees earn an everyone of $78,000 per hour.
For the longest time construction was a male dominated field and it still largely is but women are making major strides in the industry, taking leadership roles and leading their companies to success.
I sat down with Christine, the president of golden crown contractors incorporated to learn about the challenges she faced when she took over and how it motivated her.
Nearly 30 years of experience in the construction industry, we are at one of your sites here at the state leased building in Trenton, just one of many.
Talk a bit about what your company focuses on.
This is one type of product but you have a the lot of others.
Christine: we have a lot of products we do for princeton university, we do historical renovation there is and we do a lot of work for the county of Mercer and work with the department of corrections, and we also do work for lifetime fitness throughout the whole state of New Jersey.
So we do a wide range of projects.
Raven: what I love most and what is so special about this is there are not a lot of women walking around, you know, within a construction site.
You are one of the few.
So what is it like being a female thriving in really a male-dominated industry?
Christine: I've been doing this a long time, so it took many years to get that respect and trust.
But I think overall, I really enjoy seeing the construct to finish and working with the architects and engineers, and it's all about teamwork in the end anyway.
But for me, I have one story that actually comes to mind where when I first started out estimating, I bid my own project, I was really proud.
I go to the bid opening and there's a gentleman there, one of my competitors and he says, I'm here now, you can go home.
So I said no, that's ok, I'll stay and see what the results are.
It gave me such pride we were the low bidder, that I beat his price.
Raven: we talked about how important it was that just because you're one of the first, you shouldn't be the last.
And so let's talk about your back story.
I think that's really interesting as well.
How did we get here?
How did you get into this position?
Did you dream about construction?
Christine: no, I did not.
I actually -- I guess when I was around 12 years old, my dad went out and started the business doing residential, and I would like to be his buddy on the site and clean up the job sites, empty the trash into the dumpsters and then in high school, I would work with him at nighttime just learning the paperwork part of it.
It just kind of grew with me.
But the best thing I like about the whole thing is being a C.E.O.
within the business, I basically know everybody's job in the office.
So for me, I could help anybody, you know.
I could help my assistant or answer questions or just be involved wherever I need to be.
And I think it's important to have that hands-on and that knowledge.
Raven: you weren't always accepting.
It wasn't always easy to be the only woman in the room.
Can we talk about how you were able to gain acceptance among male peers?
Christine: honestly, when I took over the business in 2013, I changed the company over to make it my own and changed it into a woman-owned business with the state of New Jersey.
And I find that diversity is really spreading, not as fast as it should or it could, but it's come a long way.
So for me, I was always -- not the only woman in the room but maybe 10 out of 75.
So I think along the way people wanted to make sure you knew what they were talking about or you can read blueprints and you know the project and we trust you with the project.
So it took a long time to get there, yes.
Raven: when we think of females in particular in the construction industry, where do they go for support and leadership and to network and meet people like you?
Christine: I think really where it should start is with the middle school area ages.
And people like myself or other businesses, mechanical, electric, mechanical, there are so many trades.
They should actually enter the school and talk to the kids in the auditorium.
Last year in New Jersey, I was out there in one of the conventions for the trade schools speaking of women in construction and letting them know there are other things out there, maybe not college, if this is for you, maybe this is for you.
Raven: for many girls it can be intimidating, we think about wanting to pursue a position in the construction industry, what are some of the stigmas or stereotypes or challenges you have faced or have seen or have heard that you want to share or you think is important for those who may be skeptical about?
Christine: I would have to say, you know, as long as you are motivated and driven, self-driven, many doors are going to shut.
But as long as you keep knocking on those doors, one will open.
And you will get your opportunity.
You have to just be persistent enough to stick with it, you know.
But there are other things out there now, resources for these kids to go to for that assistance.
You could start at school level with the guidance counselor or, you know, you could start with reaching out to the trade schools or the unions, or whatever they're interested in, you know.
But I really believe there's always somebody out there to give that helping hand up.
Raven: Christine, when we think about contracts and bidding for these large contracts, do you feel that the industry is more accepting of women, or do you still feel like there's a lot of work that needs to be done?
As someone in the field who has been there bidding, has sometimes been dismissed?
Christine: back in the day, yes.
Now it's changing a little bit because you'll have industries like princeton university or the state even now where you want those S.B.E.
's, the small business enterprises or the W.E.B.
's, they want a certain percentage of the contract you're going to to make sure you're hiring somebody in those two areas.
raven: why hire a woman-owned construction company?
Christine: because we care.
Honestly, I could be the at our site here and take pictures of the things the guys are not going to see.
But I also take pride in having the one-on-one relationship with my client and keeping them informed and letting them know if there are any problems and making sure they get corrected properly.
Raven: what's the next goal not only for yourself but the industry involving women?
Christine: I also belong to the carpenter women sisterhood as well.
I would like to see more women in the industry.
I also would like to see them learn and grow and have a full understanding of what it takes or how to get there.
I think they need to have something like that.
Raven: for women who are listening, who are interested in this field or who may be nervous, skeptical, intimidated, what would you tell them?
Christine: I would have to tell them, they could do whatever they want as long as they really want that.
No goal is unachievable.
It's just getting to that goal.
So if someone's interested in construction, you can go to community college, start with construction management, start with estimating, blueprint reading classes, and try to partner up with a small business and start to grow with that business and learn more about the industry.
Raven: Christine, thank so you much for not just creating pathways for other women but setting such is a great example.
I appreciate it.
Christine: thank you very much.
Raven: for years industry trade groups have warned about shrinking staffing and fewer younger men and women taking to construction roles.
According to the group associated builders and contractors, companies need to hire more than half a million workers this year to catch up with demand.
The tide may be turning in their favor.
New research by the national student clearing-house pounds vocational program enrollment has increased by 16% and the number of workers earning a construction certification for the first time increased by 6%.
I sat down with Samantha from associated builders and contractors to learn what the industry is doing to attract new young talent.
All right, Samantha, you say the future of the industry depends on a younger generation entering the trades.
Explain that for us.
Samantha: we've seen the construction industry has progressively gotten older over the years.
COVID was a great indication of that and really a wakeup for the industry because we saw so many old-timers simply either sell their businesses, pass it on, or just decide to exit and go into retirement.
So we lost a lot of great trades people during the pandemic, and there's really been a need for decades to get more people, younger people, into the trades.
It's not been happening in the same way that we've seen in past generations simply because there's this push to go to college.
So we're hoping to change the narrative and be able to draw more young people that are not destined to go to college and it's not the right career path for them into the trades.
Raven: I want to stay on that for one second because you really hit a important point.
I think there's that stigma about not going to college.
Do you think that still remains or is that changing, that narrative changing?
Samantha: absolutely.
That's my biggest challenge.
Everybody talks about changing the minds of young people.
The young people are the easy ones to talk to and get interested in the trades.
It is oftentimes the parents that are the greatest obstacle because everybody has this narrative that their child should go to college.
But when they finally talk to us and they hear about all the careers in construction, the opportunities that lie ahead for entrepreneurs and the living that their children could make for themselves and the mentors that they'll be connected with, it is very eye opening to them.
So yes, there certainly has been a stigma.
We're seeing more guidance counselors get onboard with being able to refer students into the trades.
And ultimately put them on a career path where they're not going to have debt.
Raven: right.
Samantha: and be able to succeed and thrive and produce for themselves and their families.
Raven: great point.
That's a huge incentive for a lot of students, right?
But we do know there are some young workers going into fields like construction and plumbing and hvac.
Why are the trades becoming more appealing career paths?
Samantha: the debt aspect we just touched on is probably one of the most talked about areas that I tend to have with students.
You know, they're seeing their brothers and sisters, cousins, family members come out of college with these huge student loan payments.
And quite frankly, genz is very much a generation that's a little bit more conservative on the financial front and that doesn't appeal to them.
So they are taking into consideration all of their options and weighing them accordingly.
And when they hear that they can get a degree from a registered apprenticeship program in a trade of their choice where they ultimately can pave their own path and the future is completely up to them, it's very appealing.
Raven: what are the salaries like for skilled trade workers?
Samantha: it varies.
Many of my members, I have about 1,300 member companies in the associated builders and contractors of New Jersey, many of our members do public work.
So those salaries are pretty easy to calculate when you look at prevailing wage.
Prevailing wage varies from trade to trade but those amounts are set by the government.
Raven: do you expect more young workers to enter these fields?
I like you touched on women.
Samantha: I do.
I like to go into middle schools and even elementary schools and talk to young girls about careers in construction.
Typically I'll bring a female construction workers with me, maybe somebody that works in an accounting department, maybe somebody -- a couple different levels of individuals that work in construction so that they can say it's the not just the person swinging the hammer, that you can have different types of careers.
And then we get a lot of good questions.
From that young age, it is imperative that we start the conversation, because in my opinion, when we get to high school, it's way too late.
Raven: Samantha, for people watching, you have a apprenticeship program.
Tell us who can apply for it.
Samantha: the apprenticeship is free, the employer pays for it and sponsors you through this program.
And you're also working.
You're working throughout the program to get your on-the-job learning hours and be able to be successful hands-on, not just in book work.
So you're making a living while you're going to school.
And through a, b, c, and because we have a network of companies, you really have great mentors that you can network with, learn from, and are all very willing to provide education and just talk to you just as a person, a young person, and perhaps impart knowledge they wished they had as younger trades people.
So that is one of the best things I think I can provide as an association.
But the education from the usda weld apprentice program is second to none and a great opportunity for someone that wants to be involved in construction and doesn't want debt.
And then if they're interested, it would be anybody 18 or older.
We to do a summer camp for kids around 12 to get them exposed to the trades.
A high school degree is preferred but somebody with a G.E.D.
would absolutely be interviewed.
If they don't have a G.E.D., we're even working with communities that perhaps that's not been the easiest task for them, we're helping them get their G.E.D.
's as well.
Raven: planting that seed early, I love that.
Start in middle school.
Thank you, Samantha.
Samantha: I appreciate your time.
Raven: we recently highlighted a report in showing the number of companies receiving contracts.
Minority construction companies only received 4% of available funds awarded though they make up 30% of all construction businesses.
I sat down with Marjorie Perry, a black woman who runs M.Z.M.
construction in New Jersey about her journey to the top of the industry.
Marjorie, you're a Trail Blazer in your own right.
Not only have you been a leader in the construction industry, which is also a male-dominated industry we know, you're also a woman of color, and all while running a multimillion dollar company.
So tell us about your company and what types of projects you've worked on.
Marjorie: thank you so much for having me today.
And M.Z.M.
construction was started in 1992.
Really, it was kind of an outlier for me because I really come from the education background.
I met two wonderful gentlemen who wanted to start a construction company and voila, there's where M.Z.M.
comes from with their two wives' initials.
Notable projects, the New Jersey performing art center, metlife stadium, yankee stadium, Citifield.
I guess J.F.K., LaGuardia, Kennedy, the Newark airfield for sure, finished terminal a, part of that team, and so many other projects in the city of Newark, a couple whole foods, home Depot.
So very large commercial type projects, and that's not even counting during hurricane sandy that we were one of the dedicated teams to help restore some of the chaos after the storm.
Raven: so here's the thing, I want to stay on, you know, this historically being a male-dominated industry.
There are not a lot of women walking around on sites, especially women of color.
So what are some of the biggest obstacles that you face when we think about the construction agency?
Marjorie: well, there's a few.
The biggest one in terms of the work and performance side is that there's always a bias that exists.
The bias is that you aren't as good as I am to do this same job.
Or the other bias might be, I have to use you because I'm working maybe in an urban area.
So the bias is what some of the hardness of running a business is.
And, you know, you're always looking for ways to overprove yourself that you're capable, but you still run into the bias especially as a woman and a woman of color for sure.
I've been hit with biases probably since I started this game.
Raven: do you have any stories that have stayed with you or motivated you that you can share?
Marjorie: I was owed over $500,000 from this large company in the state of New Jersey, and they decided because I was black and female I didn't deserve the money after I had performed the work.
So I just, well, I don't understand it, did I fail?
Did I not perform?
Did I not do something you asked me to do?
No, we just don't think you deserve it.
I'm sitting there and he's as rude as he possibly can be and using all kinds of language that you just know you're not supposed to use.
Then he went to the restroom.
I followed him into the restroom.
I scared him so bad he came back and wrote my check.
Raven: is it hard being accepted by male peers?
What's your advice that you would give to other women?
Marjorie: we're really starting to go backwards a little bit.
At least when I got started, it wasn't so loudly said that you're a de&i person.
You didn't have that.
It was just black against, say, your white counterparts.
Now the biases are so loud, it's almost like we're regressing a little bit.
And people are going to have to shine even brighter as we go forward from this point on, because here's what I tell everybody, look to partner up because everyone does not have that deep-seeded bias.
But you need to make sure you bring your a-game to them is so that they feel comfortable with supporting you because they also have outside noise and bias about what you are and what you are not capable of doing.
And partner, because we're such a transactional area.
And if you're a woman in this game, do not try to compete with the men.
Stay yourself, stay your authentic self.
Because you can't win that game, you're not going to win that at all.
Raven: I find that mentorship is huge, almost in any field.
I can't imagine how difficult it was for you to find a mentor.
And I'm not talking about a male.
I'm talking about a female, a woman of color in that industry.
So for other women of color who want to follow in your footsteps, where do they find that type of mentorship?
Marjorie: they're not.
Not in my commercial space.
We just don't exist.
I mentor as much as I can.
I don't know in the construction world you'll ever see women of any type heavily in the construction industry.
It's a hard job.
It's a dirty job.
It's everything that your mother told you not to do.
So there's only a few types of women that can actually even play in that space if they wanted to.
My mentors, thank goodness, were all men.
I don't think it matters on the mentorship.
I think it matters the quality of the mentorship.
Because what I try to even mentor on is to look at the low-hanging fruit they don't even see coming because sometimes their dream is bigger than understanding what they're getting ready to walk in to.
So my job is to prepare them for, yes, this is a great opportunity, but make sure you look at underneath the table what are going to be some of the downsides as you move forward.
So you're not going to find a lot of women that can mentor in the construction space that look like me for sure.
Raven: just because you're one of the first doesn't mean that you should be the last.
Marjorie: absolutely.
Raven: and I think you're an excellent example of what can be if you get your mind to it.
So thank you, Marjorie.
I appreciate you.
Thank so you much for joining me.
Marjorie: thank you.
Oh, please, it was my honor.
Thank you.
Raven: before we leave you, here's a look at the top business headlines of the week.
Business groups gather to push back against the governor's controversial corporate transit fee.
We've told you in the past it's a 2.5% tax on the state's largest companies and the money raised would go directly to N.J. transit.
This week the N.J. J.B.I.A.
told why it would be detrimental to attract new companies.
The state should look to the state sales tax as a source of revenue for N.J. transit.
>> Sales tax increase by inflation.
Costs go "Up close" and sales tax go up.
If you just increased in sales tax you would find you would have a good revenue source from there.
There's an opportunity to go back to the seven because we're in the realm and dedicate that amount.
>> We're two quarters into this so the clawback effect of this tax and this fee is going to be very impactful on those companies and will trickle down.
Raven: national business groups are heading to court to block the federal government's new regulation blocking companies from enforcing noncompete agreements.
The federal trade agreement issued the historic rule earlier this week saying noncompete clauses often prevent workers from taking a new, better job or starting a business and leads to lower pay and benefits for workers.
The U.S. chamber of commerce quickly moved to sue the F.T.C.
saying the rule is unlawful or reverses or overrules decades of established state laws governing noncompete agreements.
That does it for us this week.
Remember to subscribe to our N.J. spotlight news YouTube channel when we focus on tips.
Next week we highlight the achievements of New Jersey small businesses and the support available.
Thanks for watching and we'll see you next week.
>> Funding for "N.J. business beat with raven Santana" provided by njmep, focused on productivity and performance and strategic development.
More on njmep.org.
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