Searching and Recruiting Quality Employees
For Firms in the Forest Products Industry

Perspectives ( 3 Points of View )

Carl Jansen, Rian Sigvaldsen, Lee Freeman

This article summarizes a paper presented by the authors at the 2006 Wood Technology Show, Portland, Oregon Convention Center in March 2006. It addresses and offers solutions to the future challenges facing the North American forest products industry.

Two challenges presently face our industry - Increased wood products competition from Europe / South America / Far East (European sources are now net exporters); and more finished wood products and wood processing equipment coming to North America from Europe, South America and the Far East. Our biggest challenge is a shortage of qualified hourly and supervisory employees for our highly technical industry.

TRENDS TO CONSIDER:
Background information on our labor force includes comparative employment rates as follows: 62% of Canadian/US working age (20-64) in labor force; 52% of European working age (20-64) in labor force. The retirement age in selected countries (2004, Source: OECD) include: US Age 62; Austria Age 65; Germany Age 65; and Norway Age 67. The proportion of population age 54-64 (baby boomer generation) in the labor force (2004; Source: OECD) is US 62%; Austria 53%; Germany 55%; and Norway 69%. This information reveals that a staggering number of people will retire soon. The qualified, trained labor shortage is here now and will become increasingly serious in future years.

Major questions need to be addressed including: Where will our future employees come from? How can we attract quality, educated and trained new employees? In particular, there will be a major employee shortage for forest products equipment manufacturers, wood products converters, and sales/marketing personnel. This industry’s productivity per employee has increased significantly over the years. We need more trained technical employees to service high production, high-tech facilities (i.e., 400MMBF sawmills and 600MM 3/8 OSB plants are common today.) Unit costs are dropping due to production economies and unit labor costs per employee are rising due to needs for educated, trained personnel.

SHORT TERM SOLUTIONS:
The wood products industry must educate and inform the public about the value it contributes to the North American economy. We must educate the public by describing the higher wages and stable employment this industry currently offers. This may be done by leveraging the media. The need for continuous improvement is critical and many avenues are available to achieve this goal.

We need to become active in trade shows, trade associations, Chambers of Commerce, local schools, universities, and the Forest Products Society as well as more involvement in the communities we serve. Continuous involvement in our communities by all employees in the company should be encouraged. Companies should realize that continuous improvement of mill operations also involves continuous improvement in the operator and supervisor training sector. Companies also need to focus on continuous improvement of their public/customer communications (product literature, the company, your company web site and employee newsletters).

Computer and internet use in the USA (2003; US Census Bureau) demonstrate that household internet usage rose from 15% in 1989 to over 62% in 2003. In 2003, 9 out of 10 children (K-12) use a computer at home and/or at school. 64% of the children use computers both at home and school. The information trend to access and use your firm’s website is here now, especially for the people entering the labor force. Random Lengths 2006 Big Book lists websites for over 6,600 forest products-related companies including producers, wholesale distributors, secondary manufacturers, trade associations and consultants. Some are getting their message out. Website information should be updated weekly. Too many sites lay dormant for months. Your corporate website should highlight some important factors of your business philosophy. Your company may have a featured article in Timber Processing, Panel World or other publications. List or link the article on your website along with detailed job opportunities.

Reach out and work with a variety of future employee sourcing centers. These include local/regional universities with forest products, engineering, business and marketing programs; local/regional separation stations for military personnel; local/regional 2-year community colleges with business or technical programs; temporary employment firms; offer finder fees to current company employees as ads in local newspapers may generate questionable results; use equipment or chemical vendor representatives to spread the word about your employment needs; and use professional search and recruiting firms specializing in our industry.

Attracting and recruiting “quality” candidates is the goal. The definition of “quality” is “the characteristic of having a high degree of excellence” – companies need quality candidates, not just quantity. There are less people available in the industry due to the impact of technology & process automation. Industry trends include faster, more efficient mills producing high quality products. The industry needs to attract employees with knowledge, skills, and experience who can adapt quickly to change, manage more responsibilities and who are employed and currently active in today’s job market, industry associations, etc. Employees of this caliber also expect certain attributes of their employers including security / stability, benefits and salary, and, most importantly, flexibility and life balance issues.

A LONG-TERM SOLUTION:
Over the long-term we need to focus on public education of our younger generations regarding the benefits of a viable forest products industry in North America. How many of you are encouraging your sons or daughters, neighborhood children, younger relatives, children’s classmates to consider a career in the forest products industry? What is the public’s perception of the forest product’s industry?

The Temperate Forest Foundation (TFF) based in Beaverton, OR is a non-profit organization promoting sustainable forestry through various educational outreach programs and products. The Foundation produces unbiased, scientifically-based educational products on natural resource issues. Please refer to the website at www.forestinfo.org. The long-term solution is through our educators… if we want tomorrow’s industry employees, voters and consumers to be industry knowledgeable we must do several things. Create positive perceptions of the forest products industry, forge business/education partnerships; and provide media-based promotional opportunities.

TFF pioneered the very successful Teacher’s Tour program by promoting business education partnerships. Between 1994 and 2004, over 5,000 junior high and high school teachers throughout the U.S. and Canada have been involved in numerous summer tours on non-government-owned forest, converting facilities and distribution centers. A key ingredient is the development of a classroom education program that teachers can use to educate their students on the benefits of our industry. Part of the kit is the use of a ten-minute video entitled “The Right Choice” – outlining the benefits of a career in the forest products industry.

The Right Choice Video focuses on choosing the right career as one of the most important choices a young person will ever make. “Ideally, you’ll choose a career where you can use all of your skills, earn a decent living ad do something to make a real difference. The modern forest products industry is meeting the needs of people around the world while taking care of forest ecosystems. It provides lumber, panels, engineered wood products, treated wood products, paper and thousands of by-products. It uses the highest technology to meet these needs while protecting fish, wildlife, soil, air and water. A lot of good people are needed including: foresters, aquatic and wildlife biologists, chemists, all kinds of engineers, researchers, wood scientists, marketing and distribution people and computer specialists. Whatever your interest – there may be a place for you”.

Some of the comments from teachers who have participated in the TFF teacher tours include:

“I really enjoyed getting an inside look at many forest products careers…. This will give me the opportunity to expand my lesson plans, incorporating vocabulary and add careers.” (John Rudolph, Duluth, MN)

“This was a truly valuable experience. This tour opened my eyes to forestry and forest products. Before, I was under the impression that logging was harmful to the environment…” (Sandra Raitburn; Inkster, NY)

“The program puts a human face on the timber industry…” (Dawn Joslin, New Port, NY)

This video can be purchased by people interested in presenting the values of our industry to the younger generation. On-going public education is vital for everyone working in our industry.

What can YOU DO NOW to encourage our young generation to enter a career in our industry?

Carl Jansen, Professional Recruiter, Search North America, Inc.; carlj@searchna.com

Rian Sigvaldsen, Principal, Pro Q Solutions and Recruiting Consultant for SNA; rians@searchna.com

Lee Freeman, President and CEO, Temperate Forest Foundation; lfreeman@forestinfo.org