Finding skilled employees remains one of the biggest challenges facing contractors today. Many business owners believe the labor shortage has made it nearly impossible to find qualified people, while others struggle with high turnover, poor hiring decisions, and costly employee mistakes.
In a recent episode of the Contractor Sense Podcast, host Ruth King sat down with Contractor Staffing Source Founder Paul Sanneman to break down a different perspective on hiring. Drawing from years of experience recruiting thousands of construction professionals across the United States and Canada, Paul shared the hiring formula his team uses to achieve a 94% hiring success rate.
During the conversation, Ruth and Paul explored why contractors struggle to find great employees, the true cost of bad hires, and the structured hiring strategies that consistently produce stronger teams. The discussion offers practical insights for contractors who want to move beyond guesswork and build a repeatable system for hiring success.
Below are the key takeaways from their conversation.
The Hiring Formula: The Real Problem Isn’t a Lack of Workers
One of the first misconceptions Paul addressed is the belief that “there are no good workers available.”
According to Paul, that’s not the real issue.
Contractor Staffing Source has helped place thousands of employees across North America. The talent exists—the problem is that many contractors do not have a consistent hiring formula or structured recruiting system in place.
Many companies invest heavily in marketing, operations, tools, and equipment, yet have no dedicated recruiting strategy or budget.
Paul emphasized that finding great employees requires the same level of intentionality as finding great customers.
Why the Hiring Formula Starts With Treating Recruiting Like Marketing
One of the most important shifts in mindset is understanding that recruiting is marketing.
Just as contractors use advertising and strategy to generate leads, they must also actively market their company to attract top talent.
This is the foundation of an effective hiring formula.
Most contractors make the mistake of posting basic job descriptions that list duties and requirements. Unfortunately, this rarely attracts high-quality candidates.
Top performers are usually already employed. To reach them, contractors must sell the opportunity.
A strong job ad should highlight:
- Company culture
- Growth opportunities
- Compensation and benefits
- Career advancement
- What makes the company unique
The goal is to create interest, not just inform.
Building a Strong Hiring Formula Through Better Job Ads
A job ad is the first step in the hiring process and one of the most important.
Within a strong hiring formula, job ads should function like marketing campaigns, not internal checklists.
Instead of focusing on “what the job requires,” contractors should focus on:
- Why someone would want the job
- What makes the company a great place to work
- What growth looks like long-term
The better the job ad, the stronger the applicant pool.
Expanding Reach: A Multi-Channel Hiring Formula
Paul explained that relying on a single job board is no longer enough.
A modern hiring formula requires visibility across multiple platforms.
Contractor Staffing Source, for example, distributes job postings across 100+ job boards and recruiting channels.
This approach increases:
- Candidate reach
- Application quality
- Visibility to passive candidates
The more exposure a job gets, the higher the chance of attracting the right fit.
Speed as Part of the Hiring Formula
Speed is a critical but often overlooked factor in hiring.
Top candidates rarely stay available for long. Many are actively interviewing with multiple companies.
A strong hiring formula includes fast response times.
Delays in communication can result in losing great candidates to competitors.
Quick follow-ups show professionalism and keep candidates engaged throughout the process.
The Hiring Formula That Uses Assessments, Not Just Resumes
One of the most powerful parts of Paul’s system is the use of assessments.
Resumes alone are no longer reliable indicators of talent. With AI tools, candidates can easily create polished resumes that may not reflect reality.
That’s why Contractor Staffing Source integrates:
- Behavioral assessments
- Personality testing
- Integrity evaluations
- Attitude screening
- Cognitive assessments
This part of the hiring formula helps identify:
- Work style fit
- Communication ability
- Problem-solving skills
- Cultural alignment
- Integrity and attitude
As Paul emphasized, skills can be taught, but character cannot.
The Hiring Formula and the True Cost of a Bad Hire
One bad hire can cost contractors anywhere from $10,000 to $50,000 or more.
These costs include:
- Lost productivity
- Training and onboarding waste
- Customer complaints
- Rework
- Team disruption
- Management time
A strong hiring formula significantly reduces this risk by improving screening and selection.
Many contractors focus on the cost of hiring but overlook the much higher cost of hiring incorrectly.
Strengthening the Hiring Formula With Background Checks and References
Background checks and reference calls remain essential steps in any effective hiring system.
Within a complete hiring formula, these steps help verify:
- Work history accuracy
- Past performance
- Reliability
- Behavioral patterns
Skipping these steps due to urgency often leads to long-term problems that could have been avoided.
The Hiring Formula Doesn’t End at Hiring: Onboarding Matters
Hiring is only the beginning.
Paul emphasized that onboarding is one of the most critical parts of retention.
Employees often decide within their first day whether they made the right decision.
A strong onboarding experience helps employees feel:
- Welcomed
- Prepared
- Confident
- Connected to the company
Without this step, even great hires may leave early.
Common Hiring Myths That Break the Hiring Formula
Several myths prevent contractors from building an effective hiring formula:
Myth 1: Only hire when needed
Successful companies always recruit, even when fully staffed.
Myth 2: Employees are too expensive
The right employees generate far more value than they cost.
Myth 3: Anyone can recruit effectively
Hiring requires systems, skill, and experience.
Myth 4: Talent must come from construction
Great hires can come from outside the industry.
Myth 5: Hire fast, fix later
The better approach is to hire slowly and carefully.
Offshore Talent in the Hiring Formula for Scaling Contractors
Paul also highlighted the value of offshore talent for administrative, marketing, and support roles.
When properly integrated into a structured hiring formula, offshore professionals can:
- Reduce operational costs
- Increase efficiency
- Support growth without overloading local teams
Success depends on proper screening and management.
Why Every Strong Business Relies on a Hiring Formula
At the core of the discussion was a simple truth: most business challenges are people problems.
- Scheduling issues
- Communication breakdowns
- Sales inconsistencies
- Customer service gaps
- Accountability problems
Even the best systems fail without the right people executing them.
A strong hiring formula solves this by ensuring companies consistently bring in the right talent.
Final Thoughts: Building a Repeatable Hiring Formula
The key takeaway is clear: successful hiring is not luck. It is a repeatable hiring formula built on structure, speed, assessment, and consistency.
As Ruth has long taught about improving contractor profitability, and as Paul demonstrated through his recruiting experience, strong businesses are built by strong people.
Contractors who invest in a proven hiring formula position themselves for:
- Stronger teams
- Better culture
- Higher profitability
- Long-term growth
How Contractor Staffing Source Builds a Proven Hiring Formula
Contractor Staffing Source helps residential and commercial contractors build stronger teams through a structured recruiting system designed specifically for the construction industry.
Their hiring formula includes:
- Strategic job advertising
- Candidate sourcing
- Behavioral and DISC assessments
- Integrity and attitude testing
- Video interviews
- Background checks
- Reference verification
- Hiring support
- Onboarding guidance
The goal is not just to fill positions, but to build teams that drive long-term success.
Ready to Build a Stronger Team?
If you’re tired of hiring based on gut instinct and hoping for the best, Contractor Staffing Source can help. \
Our proven hiring formula has helped contractors across the United States and Canada attract, assess, and hire employees who contribute to long-term business growth. From strategic job advertising and candidate sourcing to assessments, background checks, and onboarding support, we provide the systems and expertise needed to make better hiring decisions. If you’re ready to build a stronger team, improve retention, and stop costly hiring mistakes before they happen, contact Contractor Staffing Source today and discover how the right people can transform your business.
Schedule a free consultation with Paul Sanneman today:
