Best hiring practice for Home Services Companies

Employee retention in the home services industry is a unique challenge, especially when you're dealing with skilled workers in roofing, HVAC, gutters, and plumbing. Unlike many other industries, your pool of qualified candidates is smaller, and the demand for experienced professionals is high. But the good news? Fewer companies to choose from means you have the opportunity to build a loyal, long-lasting workforce—if you know how to retain them.



While job hopping is a reality in today’s workforce, there are plenty of ways to retain your top talent and keep them engaged for the long haul. Here's how you can do just that.

Why job hopping happens...

Job hopping isn’t new, and it didn’t start with COVID. Over the last decade, job turnover has been steadily increasing, and while the pandemic may have accelerated it, the trend was already in motion. In 2021, an incredible 47 million Americans left their jobs, but that doesn’t mean they can’t be convinced to stay. By understanding the reasons behind job hopping, you can take proactive steps to retain your employees.

the three types of employees most likely to job hop

When it comes to skilled trades like roofing, HVAC, and plumbing, employees tend to fall into one of three categories:

1. the worker

"Workers" are the backbone of your business. They want to put in their 8 hours, do the job they were hired for, and head home to their families. They’re highly skilled but often hesitant to take on additional responsibilities outside of their job description. If they feel like they’re being stretched too thin, they might look for a company that values their specific skillset without piling on extra duties.

2. the dreamer

Dreamers are motivated by the idea of freedom and flexibility. COVID gave them the chance to reevaluate their priorities, and many have started side hustles or small businesses. These employees are less likely to be driven by money alone and more likely to stay with companies that offer flexibility in scheduling and opportunities for personal growth.

3. the overachiever

Overachievers want to grow. They’re ambitious and constantly seeking new challenges, so if they feel like there’s no room for advancement at your company, they’ll start looking elsewhere. However, with the right growth opportunities, these employees can become your most valuable leaders.

Skilled tradesmen have less options

In industries like roofing, gutters, HVAC, and plumbing, skilled workers know their value. There are fewer companies to choose from compared to broader industries, which gives you an advantage. By offering the right mix of compensation, benefits, and growth opportunities, you can build a company culture that makes employees think twice before jumping ship.

tactics to improve employee retention in skilled trades

1. incentivize performance with 5-star review bonuses

For home service companies, customer reviews can make or break your reputation. Why not tie employee bonuses to 5-star reviews? It’s a win-win: your team will be motivated to deliver high-quality work, and you’ll see your Google rankings rise. Structure the bonus so that when a team hits a certain number of positive reviews, everyone benefits.

2. offer personal referrals as a way to earn extra income

Skilled tradespeople often have a network of contacts in their local community. Encourage your employees to use their personal networks to bring in business. For example, if an HVAC tech refers a neighbor for a system installation and you close the deal, pay them a percentage of the invoice. This not only keeps your team engaged but also turns them into brand ambassadors.

3. provide cross-training instead of overtime pay

In roofing, gutters, and HVAC, your team often wants to increase their earning potential. Instead of simply paying overtime, consider cross-training them for additional responsibilities. For instance, have a roofer or plumber manage inventory, inspect equipment, or oversee small projects. This not only boosts their pay but also prepares them for future managerial roles, which keeps them invested in your company long-term.

Transparency in pay is key!

In skilled trades, it’s important to educate employees about the true costs of employment. Most don’t realize that you’re covering not just their salary, but also benefits, insurance, equipment, and more. Transparency goes a long way in helping employees understand their total compensation.

have established tenured tiers and skill bonuses

One way to increase transparency and keep employees engaged is by implementing tenured tiers and skill-based salary hikes. For example, workers with longer tenures can be placed into specific pay tiers that reward their loyalty. Additionally, offer salary increases tied to the acquisition of new skills—like a roofer who becomes certified in project management or an HVAC technician who gains expertise in system diagnostics. This creates a clear, structured path for employees to see how they can earn more by staying with your company and developing their skill sets. These tiers not only encourage long-term retention but also give employees a sense of progress and purpose.

how to handle pay raise requests the right way

When an employee asks for a raise, frame the conversation around growth and opportunity. Instead of simply explaining why a raise isn’t feasible due to operating costs, explain how they can grow within the company. For example, offer them more responsibilities in areas that match their strengths, without adding more hours. This not only addresses their concerns but also shows them a clear path for career advancement.

Skilled Labor Recruitment

fewer competitors, more room for growth

Because the skilled trades have fewer competitors than broader industries, your company can stand out by offering strong incentives and growth opportunities. Skilled workers in roofing, HVAC, plumbing, and gutters are always in demand, but they’re also loyal to companies that invest in their future.

recruitment in skilled trades: use your time wisely

Hiring for skilled trades is different than recruiting for general labor. It’s more expensive and time-consuming to find experienced workers, and recruitment agencies often charge 15-25% of a candidate’s annual salary. However, when you find the right people, they’re more likely to stay because of the limited options in the market. Focus on retention, and recruitment will become less of a burden over time.

Next Steps

While we focus on marketing, sales, and business development, we'd be happy to evaluate local recruiters to help you find new talent and post jobs, but honestly posting jobs on Facebook, LinkedIn, and other job sites doesn't take that long and you know the exact person you're looking for. Either way, let us know if you need help.