Conducted a survey to determine whether construction managers are working under fair conditions
Hello, my name is Iwan-ta. I usually share information on social media and my blog about work styles and careers in the construction industry.
I was curious to see if construction management is actually a "white-collar" job, so I conducted a poll on Twitter just out of curiosity.
I thought maybe only a few people would respond, but to my surprise, 146 people actually filled out the survey! The survey questions and results are as follows.
A question for those working in construction management!
Are you currently working under "White" conditions? The definition of "White" is as follows.
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✅ Less than 45 hours of overtime per month (no unpaid overtime)
✅ Annual income of 5 million or more (average for men in their 30s)
✅ Took 5 or more days of paid leave
✅ The company has a clear performance evaluation system
I'll use this as a reference for my blog post. I look forward to your comments!— Iwanta@Construction Management → Client (@iwanta_business) April 12, 2023
Since so many people took the time to respond, I’d like to share my thoughts on the survey results as the person who conducted the survey.
While this is just a survey I conducted on my own on social media, the numbers reflect the real-life experiences of actual workers, so I’d be happy if you could read it as a general reference while comparing it to your own current work environment.
There is no legal definition of a “white company.”
The image of a "white company" is one with little overtime and a reasonably high annual salary. These companies offer excellent employee benefits and working conditions, and employees tend to stay with them for a long time. I think that’s the general impression people have.
However, there is actually no clear definition of the term “white company.” Since there are no specific figures—such as overtime hours or annual income—and the concept is purely subjective, what each person considers a “white” work environment varies from person to person.
Therefore, when conducting the survey, we needed to clarify exactly what items and criteria constitute “fair” standards for construction management.
Taking into account pressing issues such as the “2024 Problem” and the details of legislative amendments, we have established the following four items.
The Author’s View on the Criteria for “White Companies” in the Construction Industry
In my view, a “white company” in the construction industry is one that meets the following four criteria.
- Average monthly overtime of 45 hours or less
- Annual income of 5 million yen or more
- Taking 5 or more days of annual paid leave
- The company has a performance evaluation system.
The reasons for designating the four items listed above as criteria for a “white company” are as follows:
1. Average monthly overtime is 45 hours or less
For a company to be considered a “white company,” it must ensure that average monthly overtime does not exceed 45 hours. Needless to say, starting in fiscal year 2024, the 45-hour monthly overtime limit will apply in principle under the Labor Standards Act.
I understand there are specific requirements, but since this would make the explanation too long, I’ll skip those details for now. Of course, there is no unpaid overtime.
If you work in the construction industry, you’ve probably heard this term so many times it’s become a cliché, right?
We believe that having an average of 45 hours or less of overtime per month is an essential requirement for a company to be considered a “white company,” so we have made this a criterion for our list of “white companies.”
2. Annual income of 5 million yen or more
We also set an annual income of 5 million yen or more as the criterion for a “white company.” The reason is that the average annual income for Japanese men in their 30s is approximately 5 million yen.
Few people consider part-time jobs or other positions with low working hours and low pay to be "fair" working conditions; they believe that earning a certain level of annual income is a prerequisite for fair working conditions.
There’s no end to the list of upper limits, but for this survey, we set the average annual income for men in their 30s—5 million yen—as the criterion for a “white company.”
3. Taking 5 or more days of annual paid leave
We also made the annual paid leave utilization rate a criterion for “white companies.”
This is because it became mandatory under the Labor Standards Act in 2019. This requirement applies to workers who are granted 10 or more days of annual paid leave; they must take at least 5 days of that leave within one year of the date it is granted.
You might think this goes without saying since it’s stipulated in the Labor Standards Act, but we’ve established it as the minimum standard for what constitutes a “white company.”
4. The company has a performance evaluation system
We also considered the presence of a performance evaluation system at a company to be a criterion for a “white company.”
The reason is that without fair and transparent evaluation criteria and a compensation system—such as a performance evaluation system—employees cannot receive fair evaluations.
Fair evaluations contribute to employee growth and help reduce turnover. We also considered the presence of a performance evaluation system to be a criterion for a “white company.”
”The Current State of the Construction Industry,” as Revealed by Survey Results”
As you have already seen, here are the survey results.
- Those who have cleared all four: 20.5% (30 people)
- Those who chose 3: 34.9% (51 people)
- Those with two or fewer:44.5% (65 people)
What were your thoughts on these results? I’m sure everyone’s perspective is different, but I took away the following two points.
In the construction industry, there is a growing divide between those who are able to work under fair conditions and those who are not.
The results of this survey show that, even within construction management, there is a divide between those who are able to work under fair conditions and those who are not.
According to the survey results, about 20% of respondents met all four criteria.
Whether 20% is considered a lot or a little depends on the person, but personally, I believe that more and more companies are making progress in reducing long working hours. That’s because, not so long ago, an average of 45 hours of overtime per month in construction management would have been a pipe dream.
In the past, long working hours were the norm, but compared to those days, a shift in mindset has taken hold among companies, on the job, and among individuals, and thanks to advances in digital tools and other technologies, working hours are trending toward improvement.
On the other hand, about 45% of respondents reported having two or fewer.
When the number is two or fewer, it seems that the issue lies more with the company or job type than with the individual, and the gap between these workers and those who are able to work under fair conditions is only widening.
The results of this survey show that there is a clear divide between those who are able to work under "White" conditions and those who are not.
Many people are considered to be working at a "white-collar" company as long as they keep their average monthly overtime under 45 hours.
Another finding from the survey is that many people are considered to work at a “white-collar” company as long as they can keep their average monthly overtime under 45 hours.
In this survey, approximately 35% of respondents reported meeting up to three of the criteria. It seemed that many of the respondents commented that the only criterion they were unable to meet was the one regarding an average of 45 hours or less of overtime per month.
In the construction industry, an average of 45 hours of overtime per month may be one of the most challenging issues. However, since 20% of workers are actually achieving this, it’s fair to say that this figure is not impossible to reach.
In particular, if working hours are significantly longer than those of competitors in the same industry, it may be a sign that the company is not doing enough.
Summary
In this post, we shared our observations on the survey results regarding work styles in construction management.
According to the survey results, as many as 20% of respondents were able to work at White. I don’t know whether 20% is a high or low figure for the construction industry.
However, I think the survey results suggest that the work-style reforms currently being implemented in the construction industry are gradually taking hold.
This is just for reference, but I hope it offers some helpful insights for your career development.
