Labour Market Information’s role in: Alberta’s skill shortages

Alberta Human Resources and Employment

Labour Market Information- The Future

Susan Williams, Assistant Deputy MinisterPeople and Skills Investments - November 2005

Labour Market Information’s role in:

• Alberta’s skill shortages

• HRE initiatives addressing labour market shortages

• What the future holds

Presentation Overview

Alberta’s economy continues to grow, with 40,000 new jobs created in 2004. In Alberta we have:

The lowest unemployment rate (4.6%).

The highest participation rate (73.6%).

The highest employment rate (70.2%).

A tight labour market

Alberta’s Current Situation

• Ongoing development of Alberta’s oil sands

• Increased competition for labour

• Aging Labour Force

• Slow labour force growth

Key Factors:

Alberta and Skill Shortages

Three main indicators of shortages:

1. 28 of 53 occupational groups reported less than 3% unemployment,

2. 56% of employers reported hiring difficulties, and

3. 28% of employers had at least one position unfilled for over 4 months.

Labour Shortages – are they really there?

• Over 400,00 new jobs will be created between 2004 and 2014; average annual increase of 1.9%.

• Over 300,000 new workers; average annual increase of 1.4%.

• New jobs will exceed new workers in 2012.

• Trades and construction occupations - labour supply shortages

• Oil and gas occupations - tight labour market.

Will the Shortages continue?Alberta Occupational Demand and

Supply Outlook Models

Approach

• Government and Industry need to work together to minimize the risks involved in decision-making

• Productive discussions and coordinated efforts about things that matter and in areas where we can make a difference.

• Proposed series of economic indicators with benchmarks that could serve as a DASHBOARD.

• Unemployment Rate – Less than 3% = shortage.

• Vacancy Rate –Over 2% = shortage.

• Hiring Difficulty Rate –Over 25% = shortage.

• Dashboard – for key decision-makers

DASHBOARD

DASHBOARD

All indicators show shortage OR both the vacancy rate is over 5% and reported hiring difficulty over 40%.

One indicator or more shows shortage.

No indicators show shortage.

• Managers in Construction and Civil Engineers

• Engineers (excluding Civil Engineers)

• Plumbers, Sheet Metal Workers

The DashboardLabour Demand and Supply

Forestry and Logging Sector

Dashboard Indicators

• Logging & Forestry Labourers

• Truck Drivers

• Supervisors in Forest Products Processing

• Forestry Technologists and Technicians

• Logging Machinery Operators

• Labourers in Wood, Pulp and

Paper Processing

Retail

Dashboard Indicators

• Retail Trades Supervisors

• Retail and Wholesale Buyers

• Retail Salespersons and Sales Clerks

Health Related Occupations

• Veterinarians

• Chiropractors

• Paramedics

• Occupational Therapists

• Audiologists and Speech Pathologists

Hospitality

Dashboard Indicators

• Food Counter Attendants, Kitchen

Helpers and Related

• Food and Beverage Servers

• Hotel Front Desk Clerks

• Chefs

New jobs will exceed new workers in 2012.

Electrical Trades 2005 2008

Carpenters 2005 2012

Alberta Occupational Demand and Supply Outlook Models

• Investing in workforce development; working with the federal government to increase investment in skills training.

• Part of the solution is utilizing all sources of labour.• HRE provides career and employment

information and training to persons with disabilities, lower skilled Albertans, skilled immigrants and Aboriginal people to meet industry needs.

What is HRE doing?

LMI Review:• valuable information for career decision –makers• valuable information for employers – who would be

willing to pay for this information

Roundtables Main Findings

• skill shortages influence workplace health and safety, productivity and competition for labour supply.

• need for better information and collaboration.

LMI and Industry

HRE Initiatives

For 2005-06, HRE initiatives include:

1. Updating information products

2. Liaising with industry

3. Supporting industry with appropriate policies

4. Expanding our LMIC’s

Information is critical

The Format is critical

It is critical to get the right information to the right people at the right time to make the right decisions.

Summary

Further Information

1. AHRE (Labour Market Information)

www.gov.ab.ca/hre/lmi

2. Alberta learning Information Services (ALIS)

www.alis.gov.ab.ca

3. Alberta Wage and Salary Survey

www.alis.gov.ab.ca/wageinfo

4. Alberta’s Occupational Demand and Supply Outlook models

E-mail: Lfs.analyst@gov.ab.ca

Thank You!Thank You!

Discussion/Questions?Discussion/Questions?