Canada’s labour shortage is hurting businesses in many ways. Among other things, it leads to: unfilled orders, a loss of competitiveness and a deterioration in the quality of products and services.
Companies that suffer from a labour shortage grow at a slower pace than others. According to the Business Development Bank of Canada, a company affected by labour shortages is 65% more likely to be a low growth company.
The labour shortage in Canada has reached new heights in recent years. With 432 700 job vacancies, it has seen a 32% increase since 2017.
Part of the reason for this shortage is the strong demand for labour generated by Canada’s economic growth. It is also partly due to the fact that the baby boomer’s generation is preparing to retire. According to Statistics Canada, in 2011, 9.6 million people, or nearly 3 in 10 Canadians (29%), were baby boomers. Those who were between the ages of 46 and 65 in 2011 will reach 65 in the next few years, which will accelerate the aging of the Canadian population. By 2031, all baby boomers will have reached the age of 65 and the proportion of seniors could reach 23%, compared to 15% in 2011.
In addition, the Business Development Bank of Canada points out that nearly 40% of small and medium-sized businesses are already struggling to find new workers and that the labour force growth rate should remain below 0.2%. for the next decade.
These figures show that the labour shortage is already serious enough and is far from improving.
number of jobs available
NEWFOUNDLAND AND LABRADOR
PRINCE EDWARD ISLAND