Rental staff recruitment and retention: Why Europe struggles to keep the pipeline full

Finding good help is a universal challenge for equipment rental businesses. This was a central theme at the European Rental Association (ERA) Convention held in Lisbon in May, where discussions highlighted rental companies’ concerns over the energy transition, decarbonization, as well as attracting and retaining people.

These issues span across the industry and impact businesses regardless of size.

Take for example, UK-based Speedy Hire, which says challenges around work-life balance make it more difficult to attract Millennials and Gen Z applicants.

Younger professionals prioritize different aspects of employment compared to previous generations, such as work-life balance, according to experts.

That demographic currently makes up around a third of the Speedy workforce, according to Ellie Armour, chief people officer, but the company is aiming to target the next generation with new schemes, she says.

“Younger professionals prioritize different aspects of employment compared to previous generations, making it a challenge at times,” Armour says.

“They value work-life balance and, particularly among Gen Z, the opportunity to study and gain qualifications alongside their job. Demonstrating that Speedy Hire offers those opportunities is crucial in attracting this talent.”

Armour says encouraging more experienced workers to continue working is also important for “business capability in the immediate future” and for “younger recruits who can learn from their skill sets to develop their own.

“It is important to have the conversation openly and early with people to understand their future career aspirations in order to react to that,” she says.

The company is also offering more flexible working or reduced working hours to fit better into the lives of staff in a bid to improve retention.

The sentiment on attracting younger applicants via a better work-life balance is shared by Sunbelt Rentals UK & Ireland, which says rising costs and a shortage of skilled workers are common themes with regard to the retention and recruitment puzzle.

Charlotte Bennett, UK & Europe people director, Sunbelt Rentals UK & Ireland, tells IRN that although the company is noting increased challenges to recruit and retain people in the industry, it is also seeing a shift in what people are looking for in their careers.

Because of this shift, the company is refining its focus to attract people looking for a better work-life balance and career pathways.

“We have accelerated our focus on talent and have many exciting projects in the pipeline from mapping out career pathways for every role we have in our business to graduate schemes and high potential programs,” she says, “We want to support our people to be the best they can be while also working on our central academy which will be our ‘one stop’ for all of our people’s training needs.”

Highly competitive

Mauro Mollo, president of Italy-based Mollo Group, says the company has found it difficult to find new staff among the younger generations, particularly since the pandemic which “upset many things, including the relationship between work and life in younger generations.”

“The younger generations will invest energy in the rental sector for their professional future only if they will be interested in it,” he says.

Mauro Mollo, president of Italy-based Mollo Group, says the company has found it difficult to find new staff among the younger generations, particularly since the pandemic.

“As an example, renting is a modern profession that opens many perspectives and offers even personal satisfaction, because it focuses on the care of the relationship with the customer.”

Jose L. Roza, people & culture corporate director, GAM, agrees and says that as younger generations have a wide range of options when it comes to choosing where to direct their professional careers, “the sector in which we operate is perhaps not as attractive to them as others more linked to the world of technology, retail or other professions linked to the area of consultancy.”

He continues, “At the demographic level, European countries are witnessing a general ageing of the population, which further aggravates this situation. The decline in the young population alongside the retirement of experienced workers without sufficient replacements available increases the difficulty of attracting and retaining staff.”

The ageing population argument is one that Kanamoto, one of the big four rental firms in Japan, agrees with.

The company says a declining birth rate, decreasing number of “target students,” and workload, is making it difficult to attract younger staff, in particular within technical positions.

It says that to tackle the ongoing challenges, increased industry awareness and higher salary levels could close the gap.

Australia-based Kennards Hire says attracting staff is competitive in some metro areas, where cost of living is higher.

Further afield, Kennards Hire, one of the largest rental companies in Australia, says that despite being impacted by recruitment issues in recent years, it has since seen that regress, with the issue “improving significantly.”

Still, Sally Craig, general manager, people & culture, tells IRN, “We have locations where it is very difficult to recruit people due to industry and market competition.

“In regional and remote areas, where we are competing with industries like mining it is challenging; and in some metro areas, where cost of living is higher, especially real estate prices, attracting staff is competitive.”

Meanwhile, Dubai-based Byrne Equipment Rental, which operates across the Gulf Cooperation Council, says the challenges they face are broadly in line with other companies, with the global labor market becoming “increasingly competitive.”

In terms of demographics, the company says that attracting younger professionals is more of an “image problem,” with individuals perceiving the equipment rental and construction sectors as outdated, physically demanding and lacking in technological innovation.

Similarly, it says attracting women to the industry presents its own set of challenges. Katy Grice, group head, marketing & sales strategy, says, “The construction and equipment rental sectors have historically been male dominated, which can create an environment that feels unwelcoming to women,” she says.

“There are often concerns about gender bias, limited advancement opportunities, and the lack of female role models within the industry. Addressing these issues requires a concerted effort to foster a more inclusive

Byrne Equipment Rental execs say equipment rental and construction have an “image problem,” with individuals perceiving the sectors as outdated, physically demanding and lacking in technological innovation.

and supportive workplace culture.”

Help wanted

Filling skilled roles also presents challenges that can impact the overall operations and service quality.

In the case of Sunbelt Rentals, the company says technicians, drivers, and traffic management operatives are high in demand.

Another example is apprentices and graduates, says Bennett, which the company has aimed to address with its apprentice program.

“We’re looking to revamp our offering to place a greater emphasis on retention and early career development, as we want to provide our apprentices and graduates with a strong start and a lifetime career with us,” Bennett says.

“Our long-term goal is to not only attract talented people but to retain our employees. One of the ways we’re doing this is by creating a job family matrix that outlines a clear career path and ensures everyone is aware of their development opportunities within Sunbelt Rentals.”

Meanwhile, Mollo says the technical or specialized figures are among the most requested and therefore among “the most difficult to find,” with mechanics and aerial platform operators high in demand.

The demand for operator experience is backed up by Roza, who says, “Above all, there is a high demand for technical profiles with knowledge of machinery and a clear focus on customer service, as well as commercial profiles.”

Charlotte Bennett, UK & Europe people director with Sunbelt Rentals, says one way the company tries to retain employees is by outlining a clear career path and ensuring everyone is aware of their development opportunities.

He says that the industry is “undoubtedly one of those having the greatest difficulties in attracting and retaining qualified personnel” in Spain, with the company relying “heavily on highly skilled and specialized professionals.”

“This sometimes makes it challenging to identify certain profiles, such as mechanics and operators, maintenance technicians, workshop staff or specialists, among others.”

Why people leave

It’s not just attracting talent that is creating challenges. Many companies are still trying to solve the puzzle as to why so many employees decide to leave the rental industry.

The general consensus is that there isn’t one reason, and as such, it isn’t an easy fix to stop the flow of people leaving to find new careers in different industries.

That’s the belief of Grice, who says several factors contribute to people leaving the industry, including a perceived lack of career progression opportunities, competitive offers from other industries, high physical demands and work-related stress, as well as a need for more work-life balance.

Mollo takes a different angle, telling IRN that the factors driving people away are “the same factors which affect all sectors of the labor market.”

Meanwhile, Roza tells IRN that the shortage of skilled staff coupled with high demand for qualified personnel in the technical area means that economic conditions may be affected.

“With this in mind, people may lean towards choosing other alternatives on the basis of these possible improvements,” he says.