With 17% fewer Gen Xers in the labor force, millennials have quickly become the largest working generation, and Gen Z is swiftly joining the pool of eligible workers. The same holds true for the construction industry. While baby boomers and older Gen Xers have started to retire from their long-standing careers, millennials, as well as the first wave of Gen Z, are quickly filling the gaps. With such a diverse pool of eligible workers changing the landscape of the industry, multi-generational workforce dynamics have become a prominent factor in the day-to-day work life of construction employees.

Understanding what drives and motivates these different generations, especially in the construction industry, is where the challenge really lies, so a one-size-fits-all approach to management won’t work. A study from the International Journal of Civil Engineering and Technology illustrates some of these generational differences.

According to the study, older, more experienced construction workers are typically better advisors to clients and are cited to be less skilled at adopting new technologies, while younger generations are more tech-savvy and less experienced overall. Ultimately, construction industry leaders must understand how to manage, motivate, and inspire different generations to perform at their best to optimize talent and coach employees to peak performance. For example, putting older, more experienced generations into client-facing positions, while allowing younger generations to take advantage of their technical knowledge will help each employee, regardless of age, feel best suited and motivated for their specific role.

Given the sensitive dynamics at play, here are three steps to effectively manage and understand a generationally diverse workforce:

1. Move beyond stereotypes and generalizations

People are individuals and managing based on stereotypes without objective data on how each employee actually wants to be managed is dangerous. A survey conducted by FMI looked into generational stereotypes in the construction industry and found that younger workers often get maligned in the media but, in reality, share similar values as baby boomers and Gen Xers when it comes to career aspirations, attitudes and goals.

In reality, younger generations entering the construction industry are loyal and eager to impact the growth of their companies, which can sometimes be misconstrued as entitled. As a manager, the best bet is to focus on the person and not their age. Managers must treat employees as individuals and as such, should learn how to uniquely motivate them. By avoiding age biases and understanding coworkers as people, industry leaders can better understand how their employees are motivated to do their best work and foster better collaboration.

2. Communicate effectively

A diverse workforce requires different communication styles and skills. Understanding employees’ preferred communication styles can boost engagement and productivity. However, this can only happen when managers are self-aware enough to know that their own communication style might not work for everyone they manage.

In fact, in a recent survey about the best and worst people managers, respondents indicated that the number one trait among bad managers was poor communication. Given how important clear communication is for effective management, and how important effective management is for getting the most out of employees, nailing the nuances of multi-generational communication is essential.

Understanding how employees across each generation prefer to communicate is vital because it only improves each manager's ability to be more self-aware and effective in their communication style. Taking care to do this will ensure employees of all ages bring their A-game. Another report found that the number one driver of employee engagement in the construction industry was related to having a great manager.

Making sure employees of all generations feel empowered and connected to their managers is sure to help an organization retain talent and build cohesive teams. With this in mind, it can also be beneficial to connect younger and older generations through mentor programs. The Harvard Business Review recommends creating cross-generational mentoring programs to allow younger and older employees the chance to learn from each other.

3. Address generational workplace conflicts

When multiple generations work on one team, conflict is sometimes unavoidable. It’s a managers responsibility to try to keep cross-generational differences from escalating to avoid stifling productivity. After all, most business problems are really people problems in disguise.

Instead, make conflict constructive and use it as a chance to enhance collaboration and innovation. Because there is a high chance that multiple generations will be working on a jobsite, leaders should look for creative ways to resolve conflicts that arise. Finding constructive ways to allow for the exchange of perspectives will help guide conflict resolution. If done well, the tension often leads to innovation as well as a better end product.

With the economy doing so well, the construction industry won’t be slowing down any time soon, and the need for dedicated construction employees is at an all-time high. By better understanding the multi-generational dynamics and creating a more self-aware workforce, teams in the industry will be better equipped to navigate the inevitable differences that crop up and will be better equipped to realize the value all employees have to offer.