Summary:

• The ongoing labor shortage in construction and manufacturing makes it difficult for many companies to source and onboard talent.

• Factors like an aging workforce, geographic disparities, negative perceptions about the industry, skill gaps, and high turnover make hiring even harder.

• Using AI can help streamline recruiting, reducing time-to-hire. It can also shorten hiring cycles, improve the matching process, root out bias in hiring, and make it easier to forecast trends.

• Companies like General Motors, Nestlé, and Electrolux have used AI to improve recruiting timelines and outcomes already. These real-world examples prove that AI has the power to make businesses more competitive.

• It's best to work with an expert like Revotech if you want to implement AI recruiting. You'll need to carefully assess your needs and workflows and pick the right tools for the job. Then, start small and make training available along the way to get it right.

Canada's construction and manufacturing sectors continue to face recruiting challenges in the ongoing shortage of skilled labor that first began to ramp up over a decade ago. In one early 2025 study, 72% of contractors in B.C. said they were actively struggling to find qualified workers in the trades they need.

The shortage has forced companies to inflate deadlines, turn down work, and spend more on hiring—but with one in five skilled workers rapidly approaching retirement, this just isn't sustainable long-term. That's why so many agencies and employers are turning to AI-driven talent acquisition instead.

Revotech’s AI-driven recruiting services can help your construction or manufacturing company optimize every step of the talent acquisition process, from attracting the right people to finalizing contracts. See how the process works below, then book an assessment so we can help you stay ahead.

What's Behind the Labor Shortage?

Just about every industry in Canada is having a tough time hiring right now. While the economy and market uncertainty play an important role, the problem is worse in construction and manufacturing because the top contributing factors disproportionately affect manual labor jobs.

We're talking about factors like:

• An Aging Workforce. The workforce as a whole is getting older, but manual labor takes a toll on the body over the years. That means more people are getting ready to retire, reducing their hours, or switching to less physically-demanding fields.

  • Negative Industry Perceptions. Younger generations value flexibility and work-life balance, but they're also more likely to view construction and manufacturing as undesirable or dead-end jobs. Not enough people are entering the industry to offset losses due to age.

  • Geographical Disparities. Construction and manufacturing companies rarely set up shop in residential areas or downtown cores. From Alberta's oil sands to the Michelin tire plant in Nova Scotia, they're more likely to settle in remote areas that make it harder to attract talent.

  • Advances in Tech. Cutting-edge technology is becoming obsolete more quickly. This raises the risk for severe skill gaps, and that isn't something that can be resolved overnight. It takes time, even for companies who are willing to train in-house.

High turnover rates.

• Careers in construction or manufacturing can be financially lucrative and personally rewarding, but not everyone is the right fit.

AI has the potential to help companies save time and money on recruiting by automating mundane tasks. When you consider that it can cost over $4,000 to hire just one person, the benefits of making this process more efficient speak for themselves.

But there’s more: using the right tools can also enhance vetting so you're less likely to hire people who aren’t a good fit. We’ll go into detail about the benefits of AI-driven recruitment next.

The Benefits of Using AI to Streamline Recruiting

AI excels at simplifying and speeding up the hiring process. Instead of relying on expensive third-party recruiting agencies or busy HR departments, the algorithms do most of the heavy lifting. This saves companies money and brings broad benefits like these:

Reduced Time-to-Hire.

• Making AI a part of your process lowers the amount of time it takes to hire people. This is important in construction and manufacturing because projects and orders can wax and wane, sometimes without much warning.

Faster Hiring Cycles.

• AI drastically reduces time-to-hire by automating sourcing and screening tasks—and in the world of business, time is money. It's easier to bring people on to help with a new build, ramp up a new location, or just replace people who leave.

• Closer Talent Matches. AI uses advanced algorithms to identify the best talent for the specific requirements of the job, so you're more likely to hire the right people from day one. This lowers the cost of training and attrition.

• Less Bias, More Equity. AI focuses on facts first, not feelings, which helps support fairer, more inclusive hiring practices. Unlike some humans, it isn't subconsciously biased toward a specific gender, sexuality, age, or race.

• Predictive Analytics. AI can analyze past hires, churn records, and other hiring/firing data, then use the information to forecast your future needs. This makes it easier to anticipate shifting trends.

Concerned about giving up that much control of the hiring process or potentially missing a hidden gem who doesn't quite fit your set parameters? The right AI tools will actually look for potential candidates that look promising and flag them for manual review.

Real-World Success Stories

General Motors

Automotive Manufacturing (US/CAN)

When GM decided to invest $35 million into developing a line of fully electric vehicles, they knew it would mean bringing on new employees. They put together a team of over 50 talent acquisition specialists to handle the expected influx of applications—then used AI to augment it.

How AI Helped:

GM invested in conversational AI and tweaked it to handle the early stages of recruitment and improve time management by syncing recruiter's calendars. They also used the AI to send candidates automated messages, like interview reminders, lowering the ghosting rate and saving nearly 2 million dollars.

Nestlé

Food & Beverage Manufacturing (USA/CAN)

Nestlé's Canadian and American plants hire thousands of workers every year to staff production lines, manage logistics, and keep quality assurance on track. High-volume recruiting processes like these can easily become a bottleneck, draining HR resources—but Nestlé was able to streamline it all with AI.

How AI Helped:

Nestlé rolled out a conversational AI that streamlined initial screening, answered basic questions for candidates, and scheduled interviews with candidates who passed the initial stages. The bot was able to help them respond to over 1.5 million candidate inquiries, saving them nearly 8,000 hours in recruiting payroll while increasing the total number of interviews by 600%.

Electrolux

Appliance Manufacturing (USA)

Global vacuum manufacturer Electrolux faced a talent shortage in recent years that made it difficult for the company to recruit new employees. This was compounded by the fact that the basic HR tools they had just weren't sufficient enough to help them overcome the gap. The company was able to digitize its recruiting strategy by integrating a fully AI-driven platform.

How AI Helped:

Electrolux's AI platform focused on enhancing both the candidate and recruiter experience—mostly by making it easier for both sides to find each other and connect. They used dynamic content to keep candidates engaged, gave recruiters tools for nurturing leads, and created a talent marketplace for existing employees. This easy-to-use platform made the company more competitive.

Tips for Integrating AI Tools into Recruiting Workflows

Both manufacturing and construction are logistics-heavy industries, and that means any new system must be evidence-based, operationally sound, and aligned with real-world goals. That's why working with Revotech makes so much sense—we know how to map out rollouts without interfering with day-to-day operations or unrelated workflows.

Our first recommendation is simple: send us a message. We have experience helping companies figure out how to get the most out of AI without overspending or taking unnecessary risks. Take a look at these tips while you're waiting to hear back—it won't be long, and they'll give you a solid idea of how we help clients leverage AI safely, too.

1. Carefully Assess Your Needs

You can't leverage AI properly unless you have a clear idea of how you want to use it, and figuring that out is more involved than you might think. Start by thinking about how you recruit now and where your pain points are. Chat with your HR department or talent acquisition specialists and ask them what they wish was easier—that's a great place to start.

See Also: How to Develop an IT Strategy for Your Business

2. Pick the Right Tools

We recommend turning to an expert for this, because no two AI systems are exactly the same—and there's a lot of tools out there that just don't deliver value. Ultimately, you're looking to choose AI solutions that closely align with your budget, the size of your company, and any specific hiring needs.

3. Start Small and Go Slow

Roll out new AI systems on a small scale initially so you can test them without impacting day-to-day operations. Get feedback from site managers, schedulers, or HR coordinators, and use it to fine-tune the system until you see clear, measurable benefits. Once it's time to move forward, continue the rollout in phases and collect data at each step.

Partnering with a managed services provider can help. For example, our IT assessment and strategy services can provide you with a clear picture of how your recruiting technology is performing so that you can make the updates that deliver the best results.

See Also: 10 Types of IT Managed Services and Their Importance

4. Make Training Available

Lack of training is the number one hurdle to technology adoption. Ideally, the AI should be dead-simple and intuitive to use in the first place, but make workshops, guides, and other training materials available so people know how to use the system and who to contact if they need help.

Embrace the Future of Talent Acquisition With Revotech

AI-driven recruitment systems are becoming a necessity for companies who want to stay competitive without spending a fortune on recruiting. In high-volume hiring sectors like construction or manufacturing, where businesses often need to hire hundreds or thousands of people at a time, AI can give you a serious advantage over the competition—and help you survive the ongoing labor shortage.

Don't miss out on finding the hidden gems and superheroes who can take your business to the next level and help you thrive in spite of skill gaps. Make Revotech your partner for AI-driven recruitment and increase your chances of finding the talent you need to succeed.