Davco Welding Ltd.Recruitment & Retention

Initiatives

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OutlineDavcoEmployees TurnoverChallengesRecruitmen

tRetentionEffortsFuture

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Davco Welding Ltd.Oilfield facility constructionEstablished 30 years agoFabrication shops in Wainwright &

LloydminsterVarious field locations throughout western

CanadaSubstantial growth over the last 5 yearsLimiting factor are the recruitment &

retention of skilled tradesmen

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Employees1983 – 1 employee1993 – 20 employees2003 – 45 employees 2008 – 65 employees 2013 – 125

employees (goal)

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Employee demographics41% of employees have been with Davco for

longer than 2 years30% of employees have been with Davco for

longer than 5 years

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TurnoverWe give each worker a chance to prove their

value & ability.

Not all workers are suited to oilfield/construction work The highest turnover is in the first 3 months of

employment. We conduct exit interviews and compare to

employee’s screening interviews.

This year we celebrate the retirement of a long term employee – a Davco first!

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Challenges - #1Lack of skilled workers

The limiting factor for growth is recruitment & retention of skilled tradesmen

We have pulled all that we can from our local labour market, and have to look further afield for workers. This leads to challenge #2 …

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Challenges - #2LOA/Subsistence pay

Causes resentment among local workers Those individuals who currently live in our

community do not qualify for subsistence pay, while those who travel to our community do qualify for subsistence pay.they work side by side with each other but the local

worker receives significantly less $.

vs a ‘transition allowance’ Davco prefers to supply accommodation in our

communities for these workers for probation period, and sometimes beyond.

Encourate long term, permanent employment for workers who will move to our community.

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Challenges - #3Employee vs sub-contractor issues

Welders In our industry many welders work as an employee until

becoming a Journeyman Welder, then get their own truck, start a company and subcontract.

It is difficult to staff a fabrication shop when a welder with no experience and a low skill level wants to make big $ as a subcontractor.

Crew truck foremanSub-contracting is not an economical option for

construction companies. Supervisors

Want to make the big $ like oil company ‘consultants’.Revenue Canada implications run deep, but are not seen

as being enforced, therefore not seen as legitimate by workers.

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RecruitmentDavco added an HR department in 2011

Focusing on finding the ‘right’ workers After hiring, ensuring retention of these workers

Davco prides ourselves in using ethical recruitment practiceswe only contact job seekerswe don’t partake in

bidding wars employee poaching

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RecruitmentStandard advertising techniques:

Davco website (www.davco.cc )newspapersinternet job postings

federal & provincial government monster.ca, etc.

Social Media: Facebook, kijiji, etc.Employee referral program

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RecruitmentJob FairsPre-employment work term students

Davco journeymen are involved in recruitment at job fairs.

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RecruitmentDavco builds a relationship with the

candidate from the first phone call. Goal is to find out what they are looking for

and match them to the correct position.The job offer:

Clear details of expectations, compensation, start date, hours/breaks and supervisor.

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RetentionFirst day:

New employee safety orientationIntroduced to representatives from HR, Safety,

Dispatch and Operations.Tour Davco and shown where to find thingsGiven PPE

Three month probationA formal meeting is held with HR, worker &

supervisorGiven feedback on progress and discuss the next

stepsNo more ‘green hard hat’!

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RetentionDavco Culture

Friday lunches at the shopJobsite lunches provided by supervisorsFree slushies in summer

Family orientation Seasonal family parties Get to know the

entire family Kids always welcome

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RetentionBuild on corporate culture with:Special event recognition

Cards and gift certificates for weddings, babies, etc.

Employee discount program with local businesses

Davco newsletter in each pay stubCareer planning sessions

Regular employee review program

Apprenticeship scholarship programOpen door policy: Management team always

ready to listen to any concerns and respect opinions.

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Company EffortsManpower needs, recruitment and retention

Supervisors and management are open to and supportive of any new initiatives proposed in brainstorming sessions.

Recruitment & retention is everyone’s problem in our company, not just HR, or ‘dispatch’ – we all have to work at this continuously.

Jobsite supervisors are open and willing to look beyond the traditional demographics of the oilfield.

The key is the attitude and ability of the worker.

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Efforts In ProgressDavco is currently

developingA mentorship programDavco competent

worker ‘blue book’Supervisor training

in ‘people’ skills, rather than just trade skills

Additional housing/accommodations for new workers

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FutureDavco’s goal is controlled, sustainable

growth in a typically boom and bust industry.we seek long term, permanent workers

Davco does this by hiring brilliant people, with great attitudes.

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Thank you

Questions?Comments?