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What would a US mainland based company need to do to source workers from Puerto Rico: To find, communicate with, get the workers here, the cost etc.?
Introduction
Hello! Thanks for your question about the process, cost, and benefits for a U.S. mainland company to contact and source labor from Puerto Rico. In short, because Puerto Rican workers are U.S. citizens, the process is quite simple. This process can include using a third-party recruiting agency or sourcing directly from the island, which bear varying levels of cost. Below, you will find a more in-depth summary of my findings.
Background
Throughout the mainland United States, thousands of landscape and design companies are struggling to find sustainable solutions to combat the issue of labor shortage in this industry. While some companies have turned to the utilization of such programs as H2B, they have found that these government programs are unreliable, challenging because of the many obstacles of the program, and not viable because of the increasing labor wage requirements. For these reasons, companies are turning to sourcing workers from Puerto Rico, either independently or through recruiting agencies, because, unlike government programs such as H2B, it is more reliable, is a much easier process, and is more cost-effective in the long run. This is in addition to the following benefits.
Benefits
A major issue that is inflating the problem of labor shortage, is that it is difficult to keep workers that are hired on from the mainland U.S, for various reasons. One benefit of seeking Puerto Rican laborers is that, while landscaping companies are seeking sustainable employees, Puerto Rican laborers are, in turn, seeking sustainable employment. As Martin Recruiting and Consulting has found, “many are looking for a long-term investment and to secure a job they are happy with and make it a sustainable option by settling with their family wherever the job is located”.
Another advantage to sourcing workers from Puerto Rico, is that, unlike workers sourced locally, they are typically well-equipped with skills and experience related to the field. For example, almost all have specialized skill sets in areas such as carpentry, masonry, and welding that they have attained through experience in construction and landscaping. This would solve the issue that some companies are facing of needing to hire unskilled laborers or being unable to train adequately because of short term employment.
Additionally, the hiring process is relatively quick compared to sourcing laborers locally or relying on programs such as H2B, which because of low worker cap and red tape, can have lengthy processes. One recruiting company, Martin Recruiting and Consulting, has estimated it as a 2-4-week process.
A final benefit that I wanted to mention is the overall ease of the process, regardless of whether you choose to source independently or through a recruiting agency. Because Puerto Ricans are U.S. citizens, there are no federally-required paperwork or VISA applications needed. Additionally, there are no wage requirements other than U.S. state and federal laws to adhere to. This simplicity is seen in the absence of a cumbersome amount of additional regulations needed to be followed, outside of the typical state and federal labor regulations.
Process
As mentioned, one option for obtaining workers from Puerto Rico is for the mainland company to go to the island themselves and seek out laborers. This can be a viable option if you want to meet the laborers first-hand, skip the costs needed for recruiting services, and have the ability to speak in the Native-language of Spanish. However there are also some cons to this, including: not having the knowledge of the island culture and practices to hire sufficiently, costs of having to travel and recruit on your own, and issues of trust due to possible language barriers or no relationship foundation. Additionally, there is a requirement that companies comply with Public Law 87, which “requires employers who are recruiting on the island to obtain authorization by the Secretary of Labor and Human Resources of Puerto Rico”, and that they provide contracts that are in both English and Spanish.
The second option mentioned is through the use of a recruiting agency. The first step in this process is to contact the agency of choice which will then determine, based on the landscape company’s background, work culture, and goals, if they are the right fit to create a partnership with the recruiting agency. Next, the recruiting agency will draw up a contract and create a job offer in Spanish for the laborers sought in Puerto Rico. Once the agency has received the signed contract from the landscape company, pictures of adequate housing, and an up-front, non-refundable retainer, they will then bring the recruiting process, which typically takes 2-4 works. Recruiting agencies, like Martin Recruiting and Consulting, require the landscape companies to provide the financial resources for the hired workers to travel to the mainland, as well as transportation and affordable housing upon arrival. Companies do not have to deal with the compliance of Public Law 87, as in the first option, because the recruiting agencies are responsible for such paperwork.
Cost
When it comes to financial cost comparisons, the least costly option is the use of government programs, such as H2B when available, though this carries with it all of the challenges mentioned above. These costs are typically $820 per worker. The second least costly option would be for a company to source independently on the island themselves, which is estimated by one landscaping company to be around $1,000 per worker to include travel expenses and money provided for the employees to get on their feet upon arrival to the mainland. The costliest, financially, is through the use of a recruiting agency, which one landscape company has estimated to be around $2,000 per employee. In addition to these mentioned expenses, most companies either willfully, or are required by recruitment agencies, to provide affordable housing for the employees.
Landscape Companies using Puerto Rican Labor SOurcing
Some examples of landscaping companies that have utilized labor sourcing from Puerto Rico include the following:
Brightview National Landscape Company, Landscapes USA CleanScapes (both out of Austin, Texas), and Atlanta-based Russell Landscape.
These companies have recognized that, like other endeavors, this strategy has its strengths and weaknesses and have varying levels of success. One factor that seems to play a large role in a high level of success is the provision of a supportive and positive work environment that anticipates and helps address issues that workers from Puerto Rico are facing, such as: home sickness, culture shock, and exclusion.
Summary
In summary, while sourcing laborers from Puerto Rico is a trending solution to a labor shortage crisis in the landscaping industry, landscaping companies have several options for how to go about this process, including: independently sourcing on the island themselves or utilizing a professional recruiting agency. Both of these options may be slightly more costly financially, compared to government programs such as H2B, though the many benefits of recruiting from Puerto Rico, such as ease of process and sustainable labor, are something to consider as well. Thanks for using Wonder! Please let us know if we can help with anything else!