Employee Ownership in Action: Building Market Resilience

The hardwood industry isn’t just facing challenges. It stands at a defining inflection point, where every decision could determine whether companies survive or thrive. Tariffs and the European Union Deforestation Regulation (EUDR) compliance threaten global stability, labor shortages leave mills struggling to keep up with demand, and generational turnover means fewer young people are stepping into roles that once passed naturally from parent to child. For many companies, especially those in small towns, survival hinges on one question: how do we turn workforce strategy into market strength?

NHLA sat down with Troy Brown, President of Kretz Lumber in Antigo, Wisconsin, to learn how his company answers that question by focusing inward: on workforce, safety, and ownership. His approach shows how people-centered strategies can deliver industry-wide resilience.

OWNERSHIP AS A MARKET ADVANTAGE

Employee engagement doesn’t just happen; it’s built. At Kretz Lumber, it begins with their Employee Stock Ownership Plan (ESOP), a structure that makes every worker an owner.

“One of the bigger things that we do is safety. And we let our employees know how the safety metrics apply to the ESOP, and not only humanitarian-wise, but financial too,” said Brown. “Everyone in the company understands when we’re profitable and not profitable.”

When workers see the direct connection between daily choices and long-term success, ownership becomes more than a program. It becomes a mindset.

But even with a strong ownership culture, rural recruitment presents its own set of challenges.

RECRUITMENT IN RURAL MARKETS

In small communities, attracting talent requires creativity and commitment. For Kretz Lumber, outreach is key. “We work with the high school, not only the shop departments, but we also do a job fair every year at our local high school. We work with North Central Technical College. And we’ve got our Wood Science program right in Antigo, about four miles from our sawmill.”

That formal pipeline is reinforced by reputation. As Brown explained: “Being employee-owned and, just as importantly, known as a good employer, we benefit from much word of mouth too.”

Recruitment success depends on visibility and trust. Yet attracting workers is just one side of the equation. The bigger test comes with keeping them.

RETENTION THROUGH ACCESSIBILITY

Retention doesn’t live in policies; it lives in practice. Brown points to one non-negotiable: accessibility. “I know I’m available—always 24/7. And I think that helps, because everyone has everyone’s cell number.”

That accessibility creates a culture where safety and fairness thrive. “Our safety culture is documented. We’re not family owned anymore, but we run the company like a family.”

Retention stabilizes turnover and keeps production steady, even when market demand fluctuates.

But the needs of today’s workforce are shifting. Can traditional approaches keep pace?

GENERATIONAL SHIFTS IN THE WORKFORCE

Younger workers expect transparency. “The younger generation, when interviewed, says, ‘How will I be trained on the job?’ When I showed up here in 1986, I had no idea what I would be doing,” Brown recalled.

Clear training isn’t optional anymore. It’s expected. Communication styles have also evolved. “One of the things with this generation is, again, the accessibility—be it text messages, and whatever their preferred mode of communication is.”

Companies willing to meet younger workers on their terms will secure the talent pipelines needed for the future. But for those in rural towns, one factor rises above all else: visibility.

THE POWER OF BEING VISIBLE

Presence is a strategy. As Brown put it, “Always be visible to the potential workforce. In a small community like ours, always be visible and in there.”

And visibility is not symbolic. It’s practical. “We’re not like the ammunition plant in the city. We’re five miles outside downtown Antigo . . . so being visible is big for us.”

For companies located off the beaten path, constant visibility ensures they stay competitive for talent. But what can this teach the larger hardwood market?

A LESSON FOR THE INDUSTRY

Transparency, accessibility, and visibility aren’t soft skills. They’re survival strategies. They shape recruitment pipelines, reduce turnover costs, and create resilient operations. Or, as Brown summarized: “Even not being family owned, we try to foster a family environment.”

In a market buffeted by tariffs, trade pressures, and global uncertainties, workforce stability may be the most reliable lever companies can pull. The hardwood industry has a choice: treat workforce issues as side conversations or recognize them as the foundation for long-term competitiveness.

By BRENNAH HUTCHISON, Content Strategist & Editor