This strategy places pressure on Minority and Women Business Enterprises, squeezing them out of the business opportunity fold. MWBEs are forming alliances with other MWBEs and majority-owned companies, a strategy which increases their overall competitiveness. At the same time the construction industry is growing, the supply of qualified crafts persons and laborers has dropped. This shortage has created many opportunities and challenges for construction companies. Attracting and retaining people with the right skills and attitudes to do the job requires resources, effective recruiting and hiring strategies.
Larger companies tend to hire most of the best and brightest because of their access to resources.
They are in a better position to offer more security to prospective employees and sub-contractors. Smaller construction companies tend to have fewer resources, and have had to select qualified candidates from a smaller pool of applicants. While this labor shortage has created a more volatile supply and demand atmosphere, it has created opportunities for highly talented minorities and women to enter the construction field. Legal changes Applying diversity practices to construction companies has been a cornerstone of the construction industry since the 1960's. President Lyndon Johnson issued an executive order on affirmative action to insure that persons of color are not systematically screened out of contracting opportunities and construction employment.