I ask every client I work with to identify and list their leadership challenges. In the wood manufacturing industry, one challenge consistently rises to the top: recruiting and retaining staff. High turnover, an aging workforce, safety concerns, and intense competition for skilled trades all contribute to this ongoing struggle.

Yet there is one factor many managers overlook and it’s the one they have the most control over: their own leadership behaviors. More than half of employees who quit their jobs cite their manager as the primary reason. In wood manufacturing, where skilled labor is scarce and production pressures are high, the impact of frontline leadership is even more significant. When a supervisor struggles with communication, coaching, or conflict management, the cost isn’t just morale. It shows up in lost productivity, increased safety risks, and the very real expense of replacing a trained tradesperson.

In this sector, strengthening leadership capability isn’t a “nice to have.” It is one of the most powerful retention strategies available.

What leaders can do

1. Understand your workforce: Your employees likely don’t think like you or share your motivations. Generational differences matter. Millennials and Gen Z, for example, place a high value on purpose. They want to feel that their work contributes to something meaningful.

Take the time to explain the why behind the tasks you assign. Show them how their efforts fit into the bigger picture. Offer one on one time to reinforce their importance and contribution.

The good news is that every generation responds positively to this kind of meaningful engagement.

2. Strengthen communication: Do your employees know exactly what you expect from them? Communication breakdowns are common, and they come in many forms: 

• unclear instructions,
• language barriers.
• environmental distractions,
• differing communication styles, and
• even attitude or behavioral barriers.

Understanding your team’s preferred communication style—and being aware of your own communication gaps—can pay huge dividends. We’ve seen that even small adjustments are noticed and can have a significant impact on performance and morale.

3, Manage performance with confidence: Don’t be afraid to address performance issues. Some managers are so worried about losing employees that they tolerate unacceptable behavior. But this approach backfires. It alienates high performers, lowers standards across the floor, and creates resentment when poor performers aren’t held accountable.

A key shift is to rethink what “discipline” means. While the word often carries a negative tone, its true meaning is to teach and instruct. When leaders adopt a positive, coaching oriented approach, the results can be remarkable.

Instead of berating employees for missing expectations, ask them to explain what happened. Listen. Then ask them how they plan to correct the behavior. This approach builds ownership, accountability, and respect.

Beyond incentives
Programs like staff recognition, appreciation events, flexible shifts, wellness initiatives, and benefits can certainly help. But they pale in comparison to the impact of a team that is internally motivated—a team that takes ownership of goals because strong leadership has created clarity, trust, and purpose.

Great leadership is the most reliable retention strategy you have.

Barry Reid is Business and Executive Development Specialist for Leadership Management International Canada, an organization driving business development in over 90 countries and 26 languages. With a legacy rooted in senior leadership within the publishing industry, Reid has spent the past 17 years helping leaders take command of their mindset, elevate performance, and unlock their full potential. A master facilitator and transformational coach, Reid has personally guided over 1,000 leadership programs, earning him the prestigious President’s Honour Club distinction. He was named Facilitator of the Year for the Americas in both 2019 and 2021 and has received multiple production awards for his impact and excellence. Contact Barry at [email protected].