The Canadian staffing industry is constantly evolving, with new trends, best practices, statistics, and insights that could significantly affect businesses seeking top talent in their industries.
By staying on top of notable news in the Canadian staffing industry, business owners can stay informed and prepared for the times ahead. By knowing what’s happening in the industry, they can gain a competitive edge.
Here are four pieces of important news for the Canadian staffing industry that you should know about.
Staffing Revenue Increasing
According to the Staffing Industry Analysists “Canadian Staffing Industry Outlook: 2016 Update” report, the temp staffing industry in Canada will see an increase in revenue this year, although slight. Revenue is expected to edge up 1%, which will make the industry reach an $8.2 billion market size. In addition, revenue growth is expected to reach 4% in 2017.
The place and search industry, while having less exposure to the declining oil and gas sector than temporary staffing, is expected to grow 6% this year and another 6% next year. This positive growth is attributed to the demand for direct hire and retained search services.
The total market size for the Canadian staffing industry, combining temporary staffing with place and search, should reach $8.6 billion in 2016 and $8.9 billion in 2017.
These numbers are encouraging, as 2015 saw a 4% decline in temporary staffing, lowering the market size to $8.1 billion, with a total decline to $8.5 billion for total Canadian staffing industry revenue.
Some Cities Thrive as Others Worry
The mood surrounding Canadian staffing is strikingly different among the cities, though. The major metro areas of Toronto, Ontario, and Vancouver, BC, are thriving in the industry, with healthy client and candidate bases. But those in Calgary and Alberta are concerned about the future of staffing. This is due to these areas’ heavy dependence on the energy sector, which is expecting an approximate 20% decline in revenue. Oil prices have drastically impacted their economic growth.
News from Alberta: Oil Professionals Looking for Temp Work
Staffing agencies are seeing an influx in candidates from the oil industry applying looking for help on their job searches as Alberta’s oil patch continues to be affected by plunging oil prices.
An increasing number of professionals with backgrounds in geology, engineering, and accounting are now looking for work. And these are technical and support employees who are highly trained, skilled, and marketable. This increase in skilled candidates is linked to the mass layoffs in the oil sector—which this year alone have been nearly double the number from the last two years combined.
Desperate for income, these highly skilled oil industry professionals are now making the sacrifices that they need to and are lowering their job expectations in order to get a job—any job, temporary or permanent, that will offer pay for work. Many sectors like transportation, manufacturing, and retail are hiring these professional-level employees.
Looming National Labour Shortage
Although Canada’s oil problem has caused damage to economic growth, the Canadian economy is facing an even bigger problem: a significant labour shortage.
Baby boomers will begin to retire at a rapid rate in the next few years, and as a result, a gap in talent will occur in the job market and a looming labour shortage will affect the country. And as our economy’s success is directly related to the available talent in the market, some experts believe that we will see a big drop.
Liberty Staffing is an expert in the staffing industry. Contact them today.