The last three years have seen a perfect storm of circumstances combine to create a major shortage of skilled labour in the construction industry.
On the demand side, the number of new housing builds and major project investment experienced record highs in 2019 and are expected to continue their upward trend for another decade.
On the supply side, up to 260,000 veteran workers will retire in the next decade, more people moved into other job sectors during the pandemic and new entrants into the labour market are less interested in pursuing opportunities in skilled trades. Overall, 30% of Canadian businesses are reporting labour shortages.
The construction industry is looking at various ways to narrow the gap between their demand for workers and the lack of workforce supply. Short-term solutions include moving available workers from areas of low demand to areas of the country where construction is booming such as British Columbia, Alberta, Ontario, and Quebec. Wage increases, bonuses and improved benefits are also being offered, but these cause building costs to increase and affect employers’ bottom line.
The key factor with skilled labour is that you can’t just hire any warm body to fill a role. These positions require specific training and a variety of knowledge-based and safety certifications to ensure workers can provide quality work and mitigate the risks inherent to these positions.
Training institutions and construction industry associations are playing their part to meet the demand by enticing underrepresented groups such as women, BIPOC and LGBTQ+, Indigenous groups and newcomers through targeted recruitment campaigns.
The challenge faced by training institutions in managing the push for skilled labour is ensuring they meet the needs of both the employers and employees, while building their reputation by providing valuable training certifications and creating trusted relationships with the companies and individuals they serve.
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