Demo Report: Construction Software Stalwart hh2’s People Platform for Construction HCM Comes Out of the Shadows

hh2 People Platform delivers a robust, pure-play construction HCM tool that starts with an applicant tracking system and flows acorss the employee lifecyce.

Software for the people side of contracting businesses, construction HCM (human capital management), is growing as a product category. Greater adoption is driving more software vendors into the fray.

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Legacy time and attendance, accounts payable routing and approval, and Sage independent software vendor (ISV) hh2 Cloud Services entered the market in late 2025 offering a fully-developed HCM solution. hh2 has over 1,400 software clients and has provided payroll and integration connectors for Sage 100 Contractor, Sage 300 Construction and Real Estate and Sage Intacct Construction to over 3,000 clients over the years. The expanded hh2 People Platform was publicly announced in January of 2025, offering to the broader market the functionality that underpins Penta’s Struxi solution for Sage’s payroll and HCM, augmented into a standalone solution.

As a longtime player in Construction Tech and Sage ISV arena, hh2 has added value to the software giant’s construction solutions since its founding, and first came on my radar  screen as the official integration platform for Sage’s construction offerings. hh2 has been responsible for ensuring other ISVs can integrate successfully with the Sage construction portfolio, providing a focused version of an integration platform as-a-service (iPaaS) offering. Today, hh2's application integration side has over 2,400 clients.

hh2 is no newcomer to the space and offered perhaps the first cloud-first construction time and ttendance solution as early as 2004. A trip through the Wayback Machine reveals that as early as 2008, hh2 was already a Sage partner, active in TUG, The Users Group for Sage Construction and Real Estate Solutions and offered “a powerful suite of web applications to help companies better manage their projects, payroll, field reporting, human resources, scheduling, public website and more. These applications are accessible via the web for a low monthly fee--giving our customers the enterprise level solutions they need to run a smooth, profitable business without the costly installation and IT infrastructure costs associated with other alternatives.”

Competing construction-specific payroll solutions either came later (Arcoro) or were on-premise software (Viewpoint).

Additionally, hh2 has provided time-tracking integrations for Sage systems for several years, which also connects to Penta Software’s STRUXI for Sage Intacct.

In a May 2026 briefing with hh2 Chief Revenue Officer Chad Mathias, we learned that the software side of hh2 is growing faster than integrations, showing 98% growth in Q4 of 2025 and a 103% year-over-year increase in Q1 of 2026 bookings. Mathias, who joined the company in May of 2025 a bringing long construction HCM experience said he was surprised how far the solution was already built at that time, adding that hh2 is preparing to sweeten the deal, with planned releases including an AI agent for time and attendance, new AP routing and approval apps, and learning and performance modules.

While hh2 has longer experience in construction than rivals, it is keeping its finger on the pulse of the industry to ensure its net new functionality meets current needs and expectations better than competitors.

“I'm actually starting to work on a construction board of industry luminaries for hh2,” Mathias said. “We'll be working with them on feature functionality, product capabilities, and product fit for that continued validation loop. Obviously, we already do it with our clients. With what we’re starting to do with AI, and the velocity that we’re releasing things, having that constant feedback loop from industry people is important to us,” Mathias said.

Construction HCM On a Firm Foundation

What is obvious upon viewing a demo of hh2’s People Platform is the uniformity of the solution across different HCM disciplines. This contrasts with archrival Arcoro, which comprises its solution of multiple acquired software products, including BirdDogHR, ExakTime and InfinityHR. In this consistent environment, hh2 delivers construction HCM with:

• Application Tracking System (ATS)

• Employee Onboarding

• HR & Employee Records Management

• Time Tracking

• Employee Self Service

• Benefits Administration

• Construction Payroll Processing

• Native Reporting and Compliance

hh2 offers well-developed employee onboarding tools as part of its pure-play construction HCM platform.

hh2 People Platform drives value early in the employee lifecycle with an Applicant Tracking System, extending to reporting and ERP integration and an offline-capable app for time reporting. Functionality from full construction payroll with prevailing wage calculations, native certified reporting complimented by an LCP Tracker option, union reports, ACA, and state level new hire reporting and submission and everything else are native functionality—no white labeling or bolt-ons.

State, local, and federal taxes are calculated automatically and filed on their client’s behalf. The system considers three locations: job site address, employee home address, and reciprocity state rules. While hh2 is mature in its ability to handle construction payroll, it does look outside, not for software functionality, but for wetware. Human attorneys are accessible within 15 minutes to help with complex tax or compliance questions.

Whether your business runs on legacy infrastructure or modern cloud ERPs, hh2’s legacy solutions for time tracking and AP routing and automation, bridge the gap with robust integration across QuickBooks, Viewpoint Vista, Viewpoint Spectrum, and Acumatica. hh2’s HCM offering has the Sage family API-based integrations already live, with other integrations underway.

Cloud Construction Software Pioneer

It is important to emphasize that out-of-the-gate, hh2 was a cloud-first company. Cloud-first software delivery became common between 2012 and 2015 while pioneers like Salesforce didn’t introduce Software-as-a-Service (SaaS) in 1999, and Amazon launched AWS in 2006. This suggests a future focus that will serve the company well.

Because hh2 has made its bones on making the cloud and integrations work for construction, the underlying architecture is attractive as a platform to build out other solutions without the need to eliminate technical debt from acquired products or outdated legacy software. This is the plan for hh2, and its current private equity owners have said as much.

“We’re impressed with hh2’s powerful technology and integration capabilities, supported by a talented team, which makes it a strong platform from which to build our future construction software investments,” Paul De Lisi, partner at Capstreet, which acquired hh2 in 2022, said. “Demand for software solutions in this industry has been growing significantly as companies look for ways to improve their operational efficiency. We look forward to working with … the entire hh2 team as we seek to grow the business both organically and through strategic acquisitions.”

BOTTOM LINE: hh2 is a construction-specific company with construction-specific solutions. While not a household name, they have underpinned popular software for decades. The hh2 People Platform is a pure-play, consistent and modern solution that will receive increasing investment going forward. The company’s lineage is longer in cloud construction software than rivals, and the HCM offering distinguishes itself in that it was developed as one code base rather than coming through multiple acquisitions, which are often not well rationalized in enterprise software products. The fact that this solution is developed as a contiguous product rather than as acquired products or a bolt-on to a broader horizontal solution means it will better support artificial intelligence (AI) initiatives than more disjointed offerings. Integrations between hh2 People Platform already exist for several construction ERP products, but contractors running other ERP construction project management software products should inquire about the timeline to stand up a new integration with their own software—the Procore integration will be crucial. hh2 is committed to growing its footprint in construction HCM and has the skill set to move these integrations forward.