CAI Capital Partners (CAI) is pleased to announce that its portfolio company, the Universal Group, and its related companies (together, Universal or the Company) has successfully closed the acquisition of Barricades and Signs Ltd. (Barricades).
Barricades, headquartered near Edmonton, Alta., was founded in 2004 by Robert and Fran van Bruggen and has grown into a leading traffic control company with operations across Alberta, British Columbia, Manitoba and Saskatchewan. Over the past eight years, the company has been successfully led by CEO Jan van Bruggen who, in partnership with Barrier Ridge Capital, has contributed to Barricades’ development and growth up to this point. As part of this exciting transition to the Universal Group, Bruggen will continue to lead Barricades and will also become a shareholder in the Universal Group.
“I am honored to be leading Barricades into this exciting next phase of growth and evolution,” said Bruggen. “Joining the Universal Group family aligns perfectly with our commitment to building healthy communities and supporting our employees and stakeholders as we strive to be our best. The alignment in vision and values between Barricades and the Universal Group is remarkable, and I look forward to seeing us thrive with their support and expanded network across Canada and the Pacific Northwest.”
The acquisition of Barricades marks a significant milestone in Universal’s strategy to expand its operations and presence in new markets across Canada. The acquisition of Barricades reinforces Universal as one of Canada’s preeminent providers of traffic control services, enhancing its ability to deliver unparalleled service and support for its clients nationwide, with coverage in nearly all provinces.
Barricades and Signs Ltd. is headquartered near Edmonton, Alta. Photo: Alicia Paydli/Unsplash
“We are thrilled that Barricades and Signs is joining the Universal Group of traffic management companies.” said Mike Menzies, CEO of the Universal Group. “This transaction is a major milestone for Universal as we continue to build on our national footprint of being the largest supplier of traffic management services and products across Canada. Barricades expands our footprint into new markets, enabling us to establish operations in Alberta, Manitoba and Saskatchewan. Barricades also brings to our group additional product lines, further expanding our one-stop-shop capabilities for all our customers’ needs. We are excited to welcome [Bruggen] and the Barricades team as we combine our expertise and drive forward our overall strategic plan.”
CAI’s equity co-investment partners in the combined organization include BDC Capital, Roynat Equity Partners and Frind Enterprises. Debt financing for the transaction was provided by Bank of Montreal, Canadian Imperial Bank of Commerce, The Bank of Nova Scotia and National Bank Financial. Universal was advised on the transaction by Lawson Lundell LLP (legal), MNP LLP (tax), Marsh Canada Limited (insurance) and HUB International Limited (benefits).
As we enter the new year, it will be our opportunity as an association to build on our successes from the previous year. Our second annual Infrastructure Summit and Trade Show was bigger and better than the inaugural event that we had hosted in 2023.
The Summit included two full days of presentations on subjects that spoke to the future of our industry and how we, in Saskatchewan, can position ourselves to lead by adopting cutting edge technologies that will put us at forefront of our industry. The Summit was also a time for the industry to showcase some of that technology firsthand through our expanded trade show. Building on the success of the 2024 Summit, we plan on having an even bigger event this year by viewing it through a global lens.
As we know, Saskatchewan had a provincial election in the fall of last year. While there were many changes to the names and faces that sit around the provincial cabinet table, the SHCA was pleased to welcome back the Honourable Minister David Marit to the portfolios of Highways and SaskBuilds and Procurement.
I am happy to say that we have already had productive discussions with Marit on the issues that impact our industry and look forward to keeping the dialogue going. Our message remains the same: When our industry benefits, the province benefits. Looking ahead, we will continue to engage with the provincial and municipal governments on finding ways to deliver infrastructure projects to meet with the demand of growth in the province.
Last month, Saskatchewan hit yet another milestone for population growth having surpassed 1,246,000 residents for the first time ever. An expanding population means there is a demand for more infrastructure and maintaining our current assets. New schools and hospitals cannot be built without new roads. New employees heading to their place of work can only arrive safely if the roads and bridges they travel on are safe. Good roads ensure that our economic well-being, as a centre of export to the world remains intact when we ship our goods across the globe.
Our industry is often ignored when government faces economic pressures. It is our duty to raise our voice to make sure that does not happen. This year will have its challenges, but I am optimistic that our strong and united voice will bring positive changes to how we do business here in Saskatchewan.
It was a highlight of my summer to see crews out on worksites doing what it takes to repair or build a road, replace pipes and other infrastructure underground or prepare a site for a future building.
As you have been busy completing those projects, I have been hard at work – along with the board – on some of my own that I am excited to tell you about. You can read more about them in this issue of Think BIG. While those too are important highlights of this year, I say that seeing those crews at work is a highlight because that work is undeniable evidence of all that our industry does to support our communities and the provincial economy.
As I drive around – on roads SHCA members built – I look around to see so much other infrastructure that requires heavy construction to exist. The sidewalk where pedestrians can safely walk to get to a business. Those lots being developed so more houses can be built in a subdivision that will welcome many more families to live in our city in a new neighbourhood that will flourish.
Those kids playing basketball on a court using materials donated by one of our members. Families packed in a half ton truck that is pulling an RV headed out on the highway to a provincial park to make memories on a family vacation.
That rail line being used by that train carrying cars of agricultural commodities or manufactured equipment to other parts of the country where they will be used or to reach ports to export to other countries. I hear the planes coming into my city knowing they are going to land on the airport runway. I trust there will be a parking lot where I will park my vehicle when I arrive at my destination.
We built that. All of that, which is needed by others in our society. The members of our association are the ones who made sure high quality, durable infrastructure is constructed so other people living in our communities can enjoy a high quality of life.
This infrastructure makes travel easier and safer. Getting to school and work every day is possible in large part because of the infrastructure that our members build and maintain. It prepares for future stages of development so people have places to work and live. These are just a few examples of what our industry contributes.
While it is common to just get the job done and focus on all that is needed to ensure it gets done well, I think there is value in stopping to consider just how impactful that infrastructure is in our daily lives and how significant it is to our society’s functioning. There is so much for a person to notice and take pride in once we start looking for it. While we know it, let’s remind others of it, too.
Over the winter, remind people we built that. In Saskatchewan, we don’t like to brag, but it is valuable to share information about the work you are doing with others. You can tell family, friends, neighbours and associates about what our industry builds. Help them understand the direct benefit of this new infrastructure, but also the indirect benefit, such as the money spent in communities when a crew moves in for the duration of a project. That indirect benefit helps to support their jobs and income.
Telling people which projects we are working on helps others who are not in our industry see that it is real people – not simply dollars and documents – who make infrastructure happen. Reminding other people of exactly what our industry builds and maintains and how that betters the lives of our family, friends and neighbours is an important message to deliver so the value of our industry’s work is recognized and appreciated.
Governments pay attention to the public who vote them into office. Having the public value our contribution to our communities helps reinforce what we as an association say to politicians and bureaucrats we meet with to discuss our industry’s interests.
That is our intention when explaining to the public the three vital industry issues we want governments – provincial and municipal – to address as we communicate to all the importance of our industry to the new government. You can read more about those efforts.
You can also read about an exciting announcement by the SHCA. We have been working to develop an education portfolio for fall 2024 to add another way for the association to provide even more exceptional services to members and stakeholders. That education portfolio has been developed along with Darlene South of Darlene South Consulting Solutions and Jason Tratch of Proteus Waters.
I am looking forward to seeing people learning from these two at our office in Regina. The association views these education and training opportunities as essential in helping members build a sustainable workforce through improved recruitment and retention strategies.
So, this winter, reflect on all the hard work you have done and how meaningful that work is to our province, while you also decide who you would like to send to the training courses.
The Government of Saskatchewan has proclaimed Sept. 23 to 27 as Saskatchewan Construction Week. The week has been proclaimed to celebrate the extensive economic and social contributions made by the province’s dynamic construction industry.
“Saskatchewan’s construction industry is not only a major contributor to jobs in the province, but [it] also plays a crucial role in building the infrastructure necessary for a growing economy,” Trade and Export Development Minister Jeremy Harrison said. “As we work toward achieving and surpassing our Growth Plan goals of growing the provincial population to 1.4 million people and creating 100,000 new jobs, the construction industry will further excel this growth by building the offices, facilities, housing and more, which contribute to our strong and vibrant communities.”
The construction industry in Saskatchewan is a key driver of economic growth. Last year, real GDP for the sector grew by 13.6 per cent, with the sector’s real GDP reaching $6 billion. Currently, there are over 43,000 (seasonally adjusted) people employed in the province’s construction industry, making it one of the most important economic sectors in Saskatchewan in terms of job creation.
“During Saskatchewan Construction Week, we celebrate the dedicated professionals who form the backbone of our province’s economy,” Construction Associations of Saskatchewan co-CEO Shannon Friesen said. “These skilled workers, often behind the scenes, build the infrastructure that drives our communities forward.”
“Their contributions are vital, not just in constructing roads, schools and hospitals, but in shaping the very foundation of our future,” Construction Associations of Saskatchewan co-CEO Kevin Dureau said. “This week, we honour their commitment, resilience and the essential role they play in ensuring Saskatchewan remains strong and prosperous.”
The growth the construction industry has experienced recently has had an overall positive impact on Saskatchewan’s economy, with Statistics Canada’s latest GDP numbers indicating that the province’s 2023 real GDP reached an all-time high of $77.9 billion, increasing by $1.2 billion, or 1.6 per cent. This places Saskatchewan second in the nation for real GDP growth, and above the national average of 1.2 per cent.
Private capital investment is projected to reach $14.2 billion in 2024, an increase of 14.4 per cent over 2023. This is the highest anticipated percentage increase in Canada.
The Government of Saskatchewan also recently unveiled its new Securing the Next Decade of Growth – Saskatchewan’s Investment Attraction Strategy. This strategy, combined with Saskatchewan’s trade and investment website, InvestSK.ca, contains helpful information for potential investors and solidifies the province as the best place to do business in Canada.
Survey tool proves effective in predicting injuries and improving safety performance
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The Saskatchewan Construction Safety Association (SCSA) and EHS Analytics are proud to share the success of an innovative Safety Culture Survey tool, designed to predict injuries and enhance Occupational Health and Safety (OHS) performance. With the participation of almost 800 construction companies, making it the largest survey of its kind administered at an industry scale, the tool has proven to be an effective leading indicator for safety performance.
The survey tool uses the Institute for Work & Health Organizational Performance Metric (IWH-OPM), an eight-item questionnaire developed by IWH to assess values and beliefs around safety within workplace culture. The large-scale participation of the Saskatchewan construction industry provided data collected over three years, through six rounds of the survey. EHS analyzed the data to gain insights and further support the industry’s safety efforts.
Key findings include:
A strong correlation between high survey scores and lower future lost time injury rates.
Identification of areas where safety improvements can significantly reduce injury risks.
Enhanced ability for firms to benchmark their safety performance against industry standards and peers. Confirmation of the effectiveness of COR® certification.
Shortcomings in Canadian OHS performance are not highly related to a lack of tools or equipment.
“Our analysis has proven that the Safety Culture Survey is a true leading indicator of safety performance,” said Mohammad Khalkhali, data science team lead at EHS Analytics. “Finding easy-to-measure, effective leading indicators in safety is incredibly challenging, and the Safety Culture Survey provides companies with the ability to foresee and mitigate potential hazards before they result in incidents. Leading indicators are often considered the ‘Holy Grail’ in safety for predicting risk, and this tool achieves that goal.”
Every SCSA member company is invited to participate in the survey and view their results in a custom analytics dashboard. Companies can see how their score compares to peers, find follow-up questions to make proactive adjustments to their safety program and monitor their performance over time.
“Having insights into one’s own company in a way that can predict incidents is a game changer,” said SCSA president Collin Pullar. “We encourage all of our members to utilize this simple, but insightful culture survey to better understand where they are doing well, but also better recognize and address weakness in their culture to prevent potential injuries. This is a powerful Canadian-built tool, and we would love to see as many companies as possible use it and learn from it to prevent accidents within their workforces.”
“At the Institute for Work & Health, our mission is to conduct and mobilize research that supports policy-makers, employers and workers in creating healthy, safe and inclusive work environments,” said Peter Smith, president of IWH. “To that end, it is heartening to see health and safety organizations such as the SCSA use the IWH-OPM to both understand organizational health and safety practices over time, and to better understand the relationships between these practices and safety outcomes in Saskatchewan.”
The survey is delivered twice a year to SCSA members, each fall and spring.
Saskatchewan, Alberta and Manitoba continue collaboration on the joint memorandum of understanding
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Ministers for highways and transportation in Saskatchewan, Alberta and Manitoba in Saskatoon to continue work to strengthen economic corridors that support Canada’s supply chains. It has been a year since a memorandum of understanding (MOU) was signed by the three provinces.
The MOU commits the partners to jointly working to improve the shared transportation system, to ensure the strength and competitiveness of the Prairie provinces.
Over the past year, the focus has been on regulatory harmonization, advocacy and regional planning. These priorities will continue with additional work on improving multi-modal transport infrastructure for the efficient movement of exports and imports.
The provinces are working on co-ordinated improvements that benefit the entire region, and they link producers more efficiently to markets across the globe. They are creating a prairie regional economic corridor to guide strategic investments in transportation.
The MOU commits the partners to jointly working to improve the shared transportation system, to ensure the strength and competitiveness of the Prairie provinces.
“By keeping the momentum of the Prairies’ MOU going, we can continue to improve western economic corridors that will enable the efficient movement of Prairie exports and imports to and from markets around the world,” Alberta Minister of Transportation and Economic Corridors Devin Dreeshen said.
“For Saskatchewan people, improving transportation efficiency with initiatives like these supports our strong and growing export-based economy,” Saskatchewan Highways Minister Lori Carr said. “A strategic approach helps the province invest in key services and helps build and protect our quality of life.”
Saskatchewan has already achieved its Growth Plan pledge to increase exports by 50 per cent. The province continues to expand export infrastructure to increase the mobility of Saskatchewan’s products to international markets over the next decade. Exports support a vibrant business community and ensure an improving quality of life for Saskatchewan people.
Seventy per cent of Saskatchewan’s economy is dependent on exports. In 2023, Saskatchewan exported $49.3 billion in goods. Saskatchewan goods reached 163 countries, with 32 of those countries receiving over $100 million in provincial exports.
Canada’s construction industry unveils critical report on climate resilience
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On Sept. 9, 2024, the Canadian Construction Association (CCA) released a report emphasizing the urgent need for increased investment and stronger policies to protect Canadians and their critical infrastructure from the increasing threats of climate change.
The report, titled Climate resilience in construction: Building for a sustainable future, stresses the importance of building resilient infrastructure that can withstand extreme weather events, protect lives and support community well-being. Recent incidents, like the flooding in Toronto and wildfires in Jasper, show these threats are real and disrupt the everyday lives of Canadians. Calgary’s broken water main signals even deeper problems with Canada’s aging infrastructure.
“Canada’s infrastructure is the backbone of our communities, but it’s under threats from climate-related disasters,” said Rodrigue Gilbert, CCA president. “With much of our infrastructure aging or in poor condition, we must act now to future-proof our infrastructure and meet our environmental goals.”
The construction industry is already working to build sustainably, but it cannot do it alone. Significant investment, strategic planning and collaboration are needed to build infrastructure that is both resilient and sustainable.
“The construction industry is making progress in reducing our environmental impact,” Gilbert said. “But to reach our net-zero objectives and protect our infrastructure, we need support from both stakeholders and all levels of government.”
Key points from the report include:
Urgent need for investment: To protect infrastructure assets and address the rising strain from increasing population and housing developments, substantial investment is essential.
Industry progress and challenges: The construction sector is actively working to reduce its environmental impact, but long-term sustainability requires broader support and collaboration. Incentives to pilot new processes and technologies are also needed.
Policy environment: We need effective policies to ensure infrastructure is built to last. This includes addressing issues like labour shortages, procurement, alternative delivery models and supply chain challenges.
“Too often, infrastructure investment decisions are based on what’s politically expedient, not what’s genuinely needed in a given region of Canada,” said Gilbert. “We need to focus on projects that are ‘shovel-worthy,’ not just ‘shovel-ready’ to ensure Canadians have the infrastructure they depend on.”
Highway Hotline introduces new highway condition terminology
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Saskatchewan’s Highway Hotline has updated the terminology it uses to describe winter driving conditions.
The new terminology offers more clear and concise messaging that will help drivers make decisions about winter travel. The updated language is also more consistent with neighbouring provinces, which will make using the Hotline easier for people travelling across Western Canada.
“The construction industry is making progress in reducing our environmental impact. But to reach our net-zero objectives and protect our infrastructure, we need support from both stakeholders and all levels of government.”
– Rodrigue Gilbert, CCA president
“The Highway Hotline is used millions of times throughout the year to help travellers plan ahead,” Highways Minister Lori Carr said. “These changes will help drivers make an informed decision while having better consistency with our neighbouring provinces and national standards.”
The new primary conditions include:
Bare: Road appears black, meaning all wheels of a passenger vehicle are on a bare surface.
Partly Covered: Road appears yellow, meaning two wheels of a passenger vehicle are on a snow or ice-covered surface.
Covered: Road appears pink, meaning all wheels of the vehicle are on snow or ice.
Travel Not Recommended: Road appears blue, meaning that visibility is less than 250 metres and could become impassable.
Closed: Road appears red, meaning the highway is impassable.
The colour white was removed because it did not show up well on the digital maps. The maps will continue to indicate poor visibility using a dotted line.
During the winter driving season, road conditions are updated a minimum of four times daily or whenever there are known changes that affect drivers.
The Highway Hotline has existed for more than 50 years. It provides information on highway conditions, road closures, construction zones, ferries and border crossings. As of February 2024, it now allows users to track the progress of plows involved in snow removal and ice treatment. This real-time information helps drivers make informed decisions to protect their safety.
Company Charged, Fined $100,000 for Serious Worker Injury
Adler Firestopping Ltd. was charged for contravening subsection 12-5 (2) (a) of the regulations (being an employer failed to ensure that every scaffold is designed, constructed, erected, used and maintained so as to perform safely any task that the scaffold is required to perform, resulting in the serious injury of a worker).
Three other charges were withdrawn.
As a result of this charge, the court imposed a fine of $71,428.57, with a surcharge of $28,571.43, for a total amount of $100,000.
The charge stemmed from a worksite incident that took place on Nov. 28, 2022, on the Thunderchild First Nation in Saskatchewan. A worker was seriously injured as a result of a fall from a work platform.
How Ritchie Bros. Auctioneers transformed equipment auctions
Photo: Ritchie Bros. Auctioneers
In 1958, the three Ritchie brothers – Dave, Ken and John – owned and operated a furniture store in Kelowna, B.C. At the time, the store was having financial challenges, so they decided to liquidate the store’s inventory to pay off some debt. This was the brothers’ first auction.
Now, after more than 65 years since closing the furniture business, Ritchie Bros. Auctioneers has grown to become one of the largest heavy equipment auctioneers in the world, as well as a premier destination for pre-owned construction equipment.
“The brothers went through a couple of iterations auctioning off a variety of commodities until they found their niche and landed on the heavy equipment side of things,” said Jason Huber, Ritchie Bros. regional sales manager – Saskatchewan and Manitoba Industrial Division. “Ritchie Bros. recognized a need in Western Canada for someone to form a marketplace where sellers could part with equipment that they no longer needed, and buyers could acquire that equipment through a public, transparent and unreserved auction.”
“The reality is, because we are not tied to a specific brand, type or industry, nobody sells more heavy yellow iron and heavy trucks and trailers than we do at Ritchie Bros., thanks in large part to the support of SHCA members.”
– Jason Huber, Ritchie Bros. Auctioneers
In the 1980s, Ritchie Bros. went through a period of expansion, setting up shop in the United States in Texas, California and Florida. To this day, the company’s February Orlando Sale is one of the largest events of its kind in the world, seeing thousands of pieces of equipment and hundreds of millions of dollars of transactions occurring over a six-day period. Building on its success over the years, Ritchie Bros. now has operations across North America, Europe, Asia, Australia and the Middle East.
Global reach, local perspective
Despite its growth, Ritchie Bros. maintains a strong Prairie presence. The company has three major yards in Saskatchewan at Saskatoon, North Battleford and Rouleau. Ritchie Bros. employs approximately 100 people in the province.
“Because of our agricultural background, Western Canada is probably the most auction savvy market in the world,” said Huber. “There’s no question that farmers, as a rule, love auction sales. They remember their dads dragging them to sales when they were kids. They remember the smell of pies and burgers in air and the sounds of auctioneers calling out, and for many it was just a big community social event. This nostalgia for auctions continues to be strong across the Prairies, especially in Saskatchewan, which remains a very dominant market share in our auction space – rivalling anywhere else in the world.”
Photo: Ritchie Bros. Auctioneers
This global presence is what sets Ritchie Bros. apart from the competition. There are a lot of auction houses that can find homes for equipment, but their reach is generally limited to a local audience. This is not the case for Ritchie Bros., where equipment can be sold in Saskatchewan and potentially be sent anywhere in the world.
“It’s not unusual to see our sales end up in another country – we often see something like older Caterpillar equipment ending up in the Middle East,” said Huber. “It’s always a highlight when we see far away places pop up on the map whenever the bidding happens. It’s a real treat when we go back to our customers and say, ‘You know that piece of equipment that you had in your fleet that you got rid of? It’s going to Vietnam or it’s going to Mexico City, or Dubai.’ They usually get a kick to hear where it all ends up.”
Working with members
Ritchie Bros. has long been a member of the Saskatchewan Heavy Construction Association (SHCA), its members often seen at auctions bidding on equipment.
“The members of this association are, by and large, our customers and people who we go to see and visit with on a regular basis,” said Huber. “The reality is, because we are not tied to a specific brand, type or industry, nobody sells more heavy yellow iron and heavy trucks and trailers than we do at Ritchie Bros., thanks in large part to the support of SHCA members.”
Photo: Ritchie Bros. Auctioneers
Ritchie Bros. is not only a source of equipment. Because the company is not just a single dealer with a specific brand, and sells all brands, makes and sizes, Ritchie Bros. has a unique vantage to see where the market is going. As such, many of the questions Ritchie Bros. receives from SHCA members and customers revolve around how the market is doing and when the best times to buy and sell might be. Answering those questions is a team in the background of Ritchie Bros that has its finger on the pulse of emerging trends in dealer inventory or Original Equipment Manufacturer output, as well as an eye on which direction prices are heading.
This expertise was especially useful in the face of the extreme supply and demand disruption caused by the COVID-19 pandemic.
“We are still coming out of what is likely the most chaotic market that we’ve ever been a part of,” said Huber. “There was such a scarcity of equipment during COVID-19 that, no matter the condition, everything for sale brought in top dollar and the sellers were kept very happy. In recent months, however, the pendulum has swung and the companies that paid inflated prices are being hit by heavier interest rates – in some cases that results in bankruptcies and more equipment going to auction. This means we are seeing prices levelling off as the supply of yellow iron and core construction gear goes up and, while prices remain strong, it’s nowhere as crazy as it was during the pandemic.”
The evolving auction
With customers becoming accustomed to online applications like eBay, Kijiji and Facebook Marketplace, Ritchie Bros. has been watching the auction space slowly evolve for years. However, the pandemic accelerated the pace of that evolution.
Where the local auction was once a must-attend event that drew crowds, much like a travelling circus, the trend today sees people wanting to go online on their computers and smartphones to bid on equipment. Ritchie Bros. has made it simple for people to bid at RBauction.com from their homes and offices, the front seat of their trucks and even their combines, as auctions today have become more of a transactional activity as opposed to a social event.
“The auction business has certainly changed post-COVID,” said Huber. “Auctions used to be a party that we would hold multiple times a month. Now, they have people watching what’s going on from their computer screens and there’s not a lot of interacting with other human beings.”
“It’s not unusual for us to run into a second or third generation contractor that still [has] the very first grader that their dad bought to start the business, and there is an absolute emotional attachment to the past – we help them work through that and make the auction a positive experience.”
– Jason Huber, Ritchie Bros. Auctioneers
While the day of sale may be different in the business of auctioneering, there is still a very human element behind the scenes in the leadup to auction day. The real thrill for those working at Ritchie Bros. is getting to work one-on-one with the contractors who may have excess equipment or – better yet – are at a point in their career where they’re eyeing retirement. When that happens, Ritchie Bros. works with the customer to make sure they can end their careers on a proper note and, whether it’s been five years or 50 years, the auction house takes pride in giving them the public fanfare they deserve for a career well lived.
“And at the end of the day, if we’ve done our job right, the conversation post sale with the customer, more often than not, leads to tears or gratitude from the person or their spouse or their family, and sometimes a little sadness,” said Huber. “It’s not unusual for us to run into a second or third generation contractor that still [has] the very first grader that their dad bought to start the business, and there is an absolute emotional attachment to the past – we help them work through that and make the auction a positive experience.”
The road forward
Looking ahead, Ritchie Bros. aims to continue providing the same global reach and personalized service that has brought it success over the years. Part of this means continuing its strategic expansion into new areas. In 2023, Ritchie Bros. completed a significant acquisition of IAA, Inc. (IAAI), which brought the company into the salvaged car business.
“IAAI was the number two salvage car company in North America,” said Huber. “So, we now have this whole division of salvage car that opens up other opportunities for us throughout North America – and around the world – in terms of our ability to come to scale, in terms of a real estate footprint, and in terms of what we’re able to offer our customers when it comes to service levels and the ability to remarket their equipment, whether that’s an auto or a bulldozer.”
SHCA expands education to tackle industry challenges
Being prepared to learn is an important quality for those working in the heavy construction industry. Creating more learning opportunities is something the Saskatchewan Heavy Construction Association (SHCA) has been working on, alongside Darlene South of Darlene South Consulting Solutions and Jason Tratch of Proteus Waters.
Now, the SHCA is excited to announce its education portfolio for fall 2024, another way the association is providing services to members and stakeholders. The association views these education and training opportunities as essential in helping members build a sustainable workforce through improved recruitment and retention strategies.
South is an advocate for helping people understand and appreciate the career opportunities available in the construction industry. “The ability to attract, recruit and retain qualified staff has been an issue for years,” said South. “That is difficult to understand given the career opportunities, the financial rewards and limitless possibilities attainable in the industry. It is possible, regardless of education, experience or background, to be successful.
“There is no other industry where people are trained so well on the job,” said South. “There is no other industry where employees can build a prosperous career through on-the-job training without the encumbrance of student loan debt. There is no other industry that offers so many career options to such a variety of people.”
South has been an educator for over 40 years. She owned two private vocational colleges, co-ordinated post-graduate courses in information technology at the University of Regina and worked as director of governance, education and special projects at the Regina Construction Association (RCA).
While with the RCA, South developed an education program that delivered relevant and diverse in-person courses. It was through her work on the Construction 101 course that she gained a deeper appreciation for the construction industry and its importance to Saskatchewan.
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“Construction 101 is a course that outlines the entire construction industry,” said South. “I think everyone in the industry, including administrative staff, should take this course. It provides a comprehensive overview of the industry and its value.”
One participant in the RCA’s Construction 101 course said they particularly appreciated “the broad coverage of how construction occurs from start to finish.” Another participant noted the course helped them understand “the different types of contracts – tenders versus requests for proposals.” Others valued learning more about bonds, risk management and pre- and post-completion processes.
The opportunities to learn don’t stop there. The SHCA course list also includes Supervisor, Leadership, Professionalism, Conflict Resolution, Working Well, Construction Documents, Procurement and Contractors, Contract Law, Project Management Fundamentals, Project Management Advanced, Work Breakdown and Scheduling, Change and Risk Management and Waste Water Operator and Management Program.
South leads some of those courses, while Tratch handles others. He has business and project management expertise in small start-ups and large multinational blue chips. He is a leading expert in multiple globally-recognized management systems and project management methodologies.
By working with South and Tratch, the SHCA is aiming to change perceptions of the construction industry by offering a range of courses that address both hard and soft skills training. The hard skills training will build on the on-the-job learning employees already receive. The soft skills courses focus on personal qualities that influence workplace performance. For example, the Project Management Advanced course helps employees understand how to handle interactions with others to get a beneficial outcome.
This combination of soft and hard skills training will help move work in construction from being perceived as just a job to an opportunity to join an industry that offers promising and fulfilling careers.
South emphasized the difference between education and training, and the value of offering both. “Education provides a foundation for further learning, while training focuses more on building hard skills,” said South. “The construction industry does an exceptional job in training hard skills.
“There is no other industry that offers so many career options to such a variety of people.”
– Darlene South, Darlene South Consulting Solutions
“One of the keys to building a better construction industry is to supplement the hard skills acquired through training on the job with education courses to support those skills,” said South. “When employees are offered the opportunity to participate in education, they feel valued and respected, and they will advocate for the industry and present a positive image to encourage recruitment and retention.”
Participants in previous courses noted they valued reflecting on their own experiences and becoming more open to others’ perspectives. This blend of soft and hard skills training aims to transform construction work from being seen as just a job to a fulfilling career path.
South said today’s workers want jobs that provide opportunities for learning and advancement. The 2024 LinkedIn Workplace Learning Report highlighted several key findings:
94 per cent of workers said they would stay at a company longer if they had more access to employee education and learning opportunities.
70 per cent would be less likely to leave their current jobs to work for an organization known for investing in employee development and learning.
34 per cent of employees who left jobs were motivated to do so by more employee development. 86 per cent of millennials would stay in their current position if training and development were offered by their employer.
Over 70 per cent of high-retention-risk employees will leave their company in order to advance their career.
Retention rates rise 30 to 50 per cent for companies with strong learning cultures.
In addition to learning from South and Tratch, course participants also have the opportunity to learn from each other, with classes limited to six to 12 people. South noted that interactions among participants is often one of the most valuable aspects of the courses.
“If there are 10 people in the class, it’s just amazing the information that gets shared among them. They also gain from learning about the experiences of others,” said South, who explained that breakfast and lunch is provided as part of the registration. “We have breakfast and lunch breaks, but no one ever leaves during them. They just want to stay and interact with one another. Part of the value of the training is the networking opportunities.”
Participants in South’s courses frequently cited the value of these discussions in their evaluations.
“[My] favourite part of the course [was] all the colourful discussion,” said one. “[My favourite part was] how easy it was to ask questions and talk with everyone,” said another. “[South] made the course very easy to interact in [and there was] lots of opportunity to discuss,” said yet another.
The courses vary in length, with some completed in a single day, while others take up to three days. South said some of the courses are eligible for the Canada-Saskatchewan Job Grant, which reimburses two-thirds of the tuition for a three-day course. These opportunities will be available to SHCA members as well as employees in the Ministry of Highways and municipal officials. Most courses will take place at the SHCA’s Regina office, but they can also be held in other locations across the province by request.
Paving the way for Saskatchewan’s construction future
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This was an election year for our province, and for the Saskatchewan Heavy Construction Association (SHCA), it’s an opportunity. Elections are a chance to draw attention to significant issues in Saskatchewan’s communities and province. Candidates are busy convincing voters to choose them, and voters are paying attention to decide who to support.
It’s an ideal time to have matters important to the construction industry seriously considered by both. The SHCA board wants all members to know the issues it advocated for during the election campaign and to help add their voices to its calls for change.
There were three primary issues impacting our industry that the SHCA focused on during the lead-up to the 2024 provincial and municipal elections. These issues were chosen by the SHCA’s board because they have the most significant impact on the financial certainty of the industry.
They are:
Budget planning and procurement
Inflation
Labour
What members should know
Before these issues are explained, it’s important for members to understand why the SHCA was active during the election campaign. The SHCA is always working to secure improvements for the construction industry. Members may not see a win every time the SHCA engages with the government, but the SHCA always grows stronger as an association through the effort and collaboration it takes to raise and press an issue. By working together, all members benefit.
Voters should care about the issues raised by the SHCA because the taxes they pay go toward building and maintaining infrastructure. Those taxes should be spent in ways that enhance their quality of life.
The SHCA raised these issues to benefit its members, and also to better the province and the quality of life experienced by those living and working in its communities. That focus helps the industry maintain the respect and appreciation of the public, who politicians must pay attention to if they are to win votes. Addressing these issues strengthens not only the industry, but also contributes to a healthier economy and a growing province that can afford to maintain and improve the quality of life for its residents.
Why voters should care
Voters should care about the issues raised by the SHCA because the taxes they pay go toward building and maintaining infrastructure. Those taxes should be spent in ways that enhance their quality of life.
Ask any voter who lives on a pothole-riddled street if improving that road is worth the local improvement tax they pay. Talk to the Regina resident who uses a filtration system on their tap water because they still have lead pipes, and ask whether replacing those pipes is a good use of public funds. Good underground infrastructure ensures clean drinking water. We saw how quickly underground pipes became a political issue for the City of Calgary this year, and more recently, Montreal faced similar challenges.
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Taxpayers should also consider what it means when projects are deferred. Taxes will rise to cover them in the future, and inflation has already driven up project costs.
Construction projects such as new libraries and pools often get attention. The federal and provincial governments partially fund these projects, but unlike good roads and water infrastructure, they become a continuing expense for the municipality because they need ongoing maintenance. Meanwhile, residents wait for improvements to the infrastructure needed to meet their basic needs.
Understanding the issues
All three of these issues – budget planning and procurement, inflation and labour – are interconnected.
Budget planning and procurement
Multi-year budget commitments have been a longstanding request from the industry to the provincial government. Budget assurances allow members to better plan the resources required to complete projects. Year-to-year budgeting creates uncertainty, making it difficult for members to invest in equipment, retain quality employees or hire and train new staff. This drives them to consider out-of-province projects that don’t strengthen Saskatchewan’s economy.
Manitoba and Alberta both follow long-term budget planning cycles. Saskatchewan needs to take a close look at what they’re doing right. A five-year budget cycle would be ideal, but even allowing contractors to carry over work from one year to the next would help. Manitoba already allows this, providing contractors with some certainty of spring work.
Supporting the heavy construction industry means voters get what they want, and candidates benefit from the positive outcomes the SHCA and its members can help create.
The time is right for Saskatchewan to closely look at what other provinces are doing. The province has made a commitment to work with Manitoba and Alberta to improve the transportation system and to strengthen the economic corridors that support supply chains when it signed a memorandum of understanding (MOU) with those two provinces in April 2023.
Planning, investment and partnership opportunities with the private sector as well as harmonizing the regulatory environment are some of the key priorities for the three provinces. So too is advocating for federal investment into economic corridors. So far, not much progress has been made on these priorities because elections were held in Alberta and Manitoba after the MOU signing. Now, Saskatchewan has had its own election. The time is right to get serious about this.
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Then there is the release and awarding of work. Contractors need work to be released in September and awarded no later than the end of November for the next construction season. Delays in releasing and awarding contracts adds pressure during the building season.
The SHCA knows of no reason it should now take minimum of five days to award a job that used to be awarded the same day the bids were opened. Most construction projects are standard and are driven by data that SaskBuilds already has. The government has created unnecessary layers of bureaucracy with no advantage to business.
Inflation
Looking at budget planning through the lens of inflation, operational expenses for SHCA members have risen as inflation drives up costs for fuel, materials and labour. Yet, the provincial government’s base capital budget hasn’t been adjusted to reflect today’s realities.
Inflation impacts budget planning when the government fails to properly fund its capital plan to account for the industry’s increased operational costs. This results in fewer projects being tendered, leading to fiercer competition so governments think they are getting sweet deals while it creates increased financial uncertainty for contractors.
Labour
Labour is another critical issue. Training, recruitment and retention within the construction industry are heavily influenced by government decisions. The provincial government needs to acknowledge heavy civil construction as a priority to change how young people view the industry, encouraging them to see it as a career and not just a seasonal job. Reliable funding enables heavy construction employers to build and retain a stable workforce. When funding is unreliable, it leads to a transient workforce.
Manitoba and Alberta both follow long-term budget planning cycles. Saskatchewan needs to take a close look at what they’re doing right.
Saskatchewan also lags in recognizing civil construction as an apprenticeable trade, creating a perception that employment in the industry is less desirable than in other construction sectors. This is despite heavy construction being one of the better-paying sectors in the province, second only to mining. The government could also implement aptitude testing during high school to help identify students interested in a construction career.
Why should elected officials care?
The SHCA expects many of its members will encounter elected officials, and it is providing this information to share with them. It is in the government’s interest to support these calls by the industry. Elected officials need to understand how addressing these issues impacts not only the construction industry, but also the economic growth and quality of life in Saskatchewan. By supporting these changes, they contribute to a stronger tax base through infrastructure development that drives growth and generates revenue.
The construction industry enhances the quality of life for residents through the work the SHCA and its members do. Elected officials should recognize that a partnership with the construction industry will help them deliver on voters’ priorities. People want governments – especially municipal governments – to get back to basics: Provide good roads, clean drinking water and efficient and dependable services such as snow removal and garbage pick-up. All those examples are impacted by the work done by SHCA members.
Supporting the heavy construction industry means voters get what they want, and elected officials benefit from the positive outcomes the SHCA and its members can help create.
Integrating comprehensive safety training into construction onboarding
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Mike was eager to start his new job at a construction site, ready to dive into the work that awaited him. However, his first day was far from what he expected. Instead of receiving proper safety training, he was handed a generic handbook and told to get to work. Unfamiliar with the specific hazards of the site and the protocols to follow, Mike felt lost and anxious.
Within his first week, Mike witnessed a serious accident when a colleague, also poorly trained, mishandled equipment and got injured. This incident highlighted the severe consequences of inadequate safety training. Not only did the injured worker face significant medical issues, but the company also had to deal with substantial financial repercussions, including medical costs, legal fees and potential fines. Moreover, the morale of the entire team plummeted, and the company’s reputation was tarnished.
This story underscores the critical importance of comprehensive safety training during the onboarding process in the construction industry. Effective onboarding is not just about integrating new hires into the workforce; it’s about ensuring their safety and minimizing legal liabilities. Here’s how construction firms can integrate comprehensive safety training into their onboarding programs.
The critical role of safety training in construction onboarding: Best practices for delivering safety training
1. Site-specific training
Each construction site has unique hazards. Providing site-specific training ensures that new employees understand the particular risks and safety measures relevant to their work environment.
Hazard identification: Conduct a thorough review of the site to identify potential hazards.
Custom training programs: Develop training sessions tailored to address these specific risks.
Interactive learning: Use visual aids, site tours and hands-on demonstrations to enhance understanding. Ensure training materials are digitally available on demand for employees to review.
2. Reinforcing safety protocols
Reinforcement of safety protocols is crucial for maintaining a culture of safety.
Regular toolbox talks: Hold daily/weekly safety meetings to review protocols and address any new risks.
Accessible safety information: Ensure that safety guidelines and procedures are readily available to all employees. Use digital platforms to distribute information in a timely and accurate manner.
Role-specific training: Provide additional training tailored to specific job roles and responsibilities.
3. Fostering a culture of safety
Building a safety-first mindset from Day 1 encourages employees to prioritize safety in all their tasks.
Leadership commitment: Ensure that company leaders actively promote and model safety practices.
Employee involvement: Encourage workers to take ownership of their safety and that of their colleagues.
Continuous improvement: Regularly review and update safety protocols based on feedback and incident reports.
Newly hired workers face a heightened risk of injuries and fatal accidents due to their unfamiliarity with the field or workplace. Approximately half of all reported workplace injuries involve construction workers who have been employed for less than a year. Source: pinnacol.com
Enhancing learning and retention with interactive methods
1. Digital and virtual reality simulations
Virtual reality (VR) simulations provide an immersive learning experience that can significantly improve safety training outcomes.
Realistic scenarios: VR can recreate site-specific hazards in a controlled environment, allowing employees to practice responses without risk.
Engaging experience: Interactive VR training can be more engaging than traditional methods, improving retention.
Performance tracking: VR systems can track performance and provide feedback, helping to identify areas needing improvement.
2. Hands-on training
Practical, hands-on training sessions are essential for ensuring employees can apply safety protocols in real-world situations.
Equipment operation: Provide hands-on training with the actual equipment employees will use.
Emergency drills: Conduct regular emergency response drills to ensure preparedness.
Safety demonstrations: Use live demonstrations to show proper techniques and procedures.
3. Digital health and safety technology
Digital health and safety apps within the construction sector provide a multifaceted approach to enhancing workplace safety.
They offer features such as real-time hazard reporting, access to safety guidelines and regulations, interactive training modules, incident documentation and communication tools for reporting emergencies or seeking assistance.
These apps facilitate proactive risk management, empower workers to stay informed about safety protocols and enable efficient incident response, ultimately fostering a safer work environment for all.
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Implementing a comprehensive safety training program
Safety should be the top priority for construction companies, as the industry accounts for 20 per cent of workplace fatalities annually in Canada. By implementing a comprehensive safety training program, organizations can significantly reduce accidents, injuries and associated costs.
Here’s how:
1. Assess and plan
Identifying site-specific hazards is crucial for effective training. Develop a detailed plan covering general safety topics as well as job-role specific modules tailored to your workforce.
2. Deliver engaging training
Use qualified trainers with extensive knowledge of safety regulations and industry best practices.
Invest in high-quality training materials like manuals, videos and presentations for better knowledge retention.
Make training interactive with hands-on simulations, VR modules and digital technology, which can increase knowledge retention by up to 75 per cent.
3. Monitor and improve
Regularly evaluate the program’s effectiveness through observations and worker feedback.
Track key performance indicators like incident rates, lost time injuries and near-misses to measure the training’s impact.
Update the program regularly based on new regulations, feedback and incident reports to maintain its relevance and effectiveness.
By integrating site-specific training, reinforcing safety protocols and fostering a culture of safety, construction firms can significantly reduce the risk of accidents and legal liabilities.
By implementing a comprehensive safety training program, construction companies can cultivate a strong safety culture. Studies show that organizations with robust safety practices experience up to 40 per cent fewer injuries and illnesses, leading to significant cost savings and improved productivity.
Conclusion
Effective safety training is a critical component of the onboarding process in the construction industry. By integrating site-specific training, reinforcing safety protocols and fostering a culture of safety, construction firms can significantly reduce the risk of accidents and legal liabilities. Interactive training methods, such as VR simulations, can further enhance learning and retention, ensuring that new hires are well-prepared to work safely.
AMC Services specializes in helping construction firms develop comprehensive safety training programs that protect their employees and their bottom line. Invest in robust safety training today and build a safer, more efficient workplace.
Construction sector taking bold steps toward net-zero emissions
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With a growing need to combat climate change, Canada’s construction sector is embracing ambitious goals to lower its carbon emissions. This transformation isn’t merely a trend, but a necessary evolution toward sustainability. As construction stakeholders innovate and adapt, the role of government support is even more significant.
Rodrigue Gilbert
The shift toward sustainability
The Canadian Construction Association’s (CCA) Q4 2023 ICIC Construction Sector Quarterly Insights report observed that the industry is making significant gains in sustainability. Despite its history as a contributor to greenhouse gas emissions, the sector is swiftly embracing measures to curb its environmental impact. There has been a notable decrease in emissions intensity across various infrastructure assets, and investments in clean technologies and materials are rising.
Key players, from developers to contractors, are integrating sustainable strategies into their projects. Green building materials are being employed to not only reduce the emissions associated with construction, but also improve energy efficiency over the project’s entire life cycle. Renewable energy sources like solar panels and wind turbines are also increasingly being integrated into building designs. Moreover, the availability of AI and big data analytics will offer unprecedented opportunities to monitor building performance, providing insights that lead to more effective energy management strategies.
Government support: The catalyst for change
While industry leaders are driving change from within, the Canadian government plays a pivotal role in accelerating the transition to net-zero. Financial incentives are essential tools to encourage sustainable practices across the construction sector. Tax credits for green building certifications, grants for research and development of sustainable technologies and subsidies for energy-efficient retrofits are examples of the type of government interventions needed.
Sustainability is not just a goal; it is a necessity.
Updated building codes and regulatory standards that mandate higher energy efficiency and stricter emissions targets for new construction and renovations are crucial. By setting clear and ambitious benchmarks, the government can ensure that the entire industry moves toward a sustainable future collectively. These standards not only guide current projects, but also inspire innovation in building design and construction methods.
Challenges and opportunities
Despite progress, challenges remain. The upfront costs of sustainable building practices and materials can be higher, posing a barrier to widespread adoption particularly for the small and medium-sized construction company.
The construction industry requires financial support and incentives to offset these initial investments. The timing is also ripe to update outdated procurement strategies. Engaging with contractors earlier and moving away from the lowest bid model will encourage the use of new processes, better practices, alternative energy and more sustainable materials. Moreover, the industry needs a long-term plan for infrastructure investment – one that will provide confidence to CCA members to invest in new technology, convert to low carbon materials and hire and train staff.
CCA released an update to its 2021 Strength, resilience, sustainability white paper in September. This broader report highlights the progress made by industry, explores the linkages between climate risk and infrastructure decisions and discusses the path forward in confronting the climate crisis. It also serves as a springboard for discussions with government on the need for greater investment and supportive policies to not only achieve net zero objectives, but also protect Canadians and the infrastructure they depend on daily from the escalating threats of extreme climate events.
Looking ahead
Sustainability is not just a goal; it is a necessity. Industry leaders are already demonstrating their commitment through innovative practices and technologies. Continued collaboration with the federal government will accelerate this transformation. By aligning policies with ambitious climate targets and providing the necessary financial incentives and regulatory frameworks, the government can empower the industry to achieve net-zero emissions.
Stay in touch!
Count on CCA to be a collaborative partner to the SHCA, providing helpful tools, sharing best practices across the country and being a voice with the federal government.
