Discovering Career Success through Sales and Service in Hamilton

Discovering Career Success through Sales and Service i n H a m i lto n March 2014

Acknowledgements Project Lead: Judy Travis, Workforce Planning Hamilton Research and Development: Sarah Hosick, Workforce Planning Hamilton Workforce Planning Hamilton would like to recognize and thank those organizations and individuals that assisted with the development of this report. Thank you to the sales and service employers who shared their hiring needs and challenges through the Hire Learning Survey, as well as those individuals and companies who took the time to meet or speak with Workforce Planning Hamilton about challenges and opportunities in sales and service. A further thank you to the Job Developer Network for sharing their experiences with Workforce Planning Hamilton.

This document may be freely quoted and reproduced without obtaining the permission of Workforce Planning Hamilton provided that no changes whatsoever are made to the text and Workforce Planning Hamilton is acknowledged as author. The information presented in this report is current at the time of printing.

The views expressed in this document do not necessarily reflect those of the Government of Canada or the Government of Ontario.

This Employment Ontario project is funded by the Ontario Government.

Ce projet Emploi Ontario est finance par le gouvernement de l’Ontario.

Table of Contents 03 Project Overview

12 Career Pathways in Sales and Service

04 Methodology

13 Help Wanted in Sales and Service:

Employer Consultations

05 Literature Review: Challenges and

Opportunities for Sales and Service 06 Defining Sales and Service Occupations

for this Report

16 What Does the Future Hold for Sales and Service Occupations?

18 Conclusions

07 Who works in sales and service?

Employment Gender Age Educational Attainment Skill Level Distribution Industry Self-Employment

19 Appendix A: Complete List of Occupations

in Sales and Service

List of Tables

List of Figures

07 Table 1. Employment in Sales and Service, Employed Labour Force 15 Years of Age and Over in Canada, Ontario, Hamilton and Selected Surrounding Census Divisions, 2011 National Household Survey

07 Figure 1. Gender Distribution of Employed Sales And Service Workers, Hamilton Census Division, 2011 National Household Survey

09 Table 2. Occupations by Skill Level, 2011 National Household Survey

08 Figure 2. Age Distribution of Employed Sales and Service Workers, Hamilton Census Division, 2011 National Household Survey

10 Table 3. Top Industries of Sales And Service Occupations In Hamilton (NAICS), 2011 National Household Survey, June 2013 Canadian Business Patterns

08 Figure 3. Education of Employed Sales and Service Workers, Hamilton Census Division, 2011 National Household Survey

11 Table 4. Class Of Worker Of Sales And Service Workers, Hamilton Census Division, 2011 National Household Survey 17 Table 5. Top Expected Sales and Service Growth Occupations, Hamilton, 2011-2020, Analyst

21 Appendix B: Profile of Sales and Service Employers

Surveyed through the Hire Learning Survey

13 Figure 4. Overall, is your organization currently growing, declining or staying the same? (%) 13 Figure 5. Over the past year, have the following occupational groups increased, decreased or stayed about the same? (%) 14 Figure 6. In general, does your organization find employee recruitment a challenging issue?

16 Figure 7. Projected Employment in Sales and Service Occupations, Hamilton, 2011-2020, Analyst 17 Figure 8. To what extent do you expect skills requirements to increase in your organization over the next 5 years?

willingness to learn

2

Project Overview Employing almost one in four Hamilton workers, sales and service occupations play an essential role in the community’s labour market. Including positions such as cashiers, food service workers, hairstylists, and customer service representatives, we rely on the services these workers provide every day.

Many individuals begin their first job in sales and service, gaining essential skills and experience they carry with them throughout their career. Others take advantage of the part-time or casual nature of many these positions as a way to earn money when they are pursuing further education or upholding other commitments. The marketable skills developed through sales and service positions can also be transferred to a career in a different industry. For those that excel in the field, showing strong customer service and initiative, sales and service can become a fulfilling and highpaying full-time career with advancement opportunities to management and corporate levels.

Despite the benefits of working in sales and service, there can be a negative stigma attached to some sales and service jobs. Hours can be long, pay can be low and shift work can be demanding. Experienced workers that have been displaced in the labour market may find themselves in lower-skilled or lower-paying occupations than they previously held. Turnover can be high and workers may lose sight of their career path and the transferability of the indemand skills they gain in sales and service.

This profile has been developed to provide insight into Hamilton’s top occupational group and the career growth and opportunities available. As Hamilton becomes a more service-central economy, demand for sales and service workers is projected to increase through to 2020.1 As more people enter these jobs, it is important to clear any misconceptions there may be about sales and service occupations and ensure workers understand how to develop valuable skills out of every job.

1

From

2008-2013

sales and service employment has grown by

2,400

workers

approximately

3%

in the Hamilton CMA

(Statistics Canada, Labour Force Survey)

numeracy

Analyst, custom tabulation

3

Methodology In order to provide a complete picture of sales and service occupations, several sources were used throughout the profile, including: • A literature review of previous studies on sales and service occupations • The 2011 National Household Survey for the Hamilton Census Division • June 2013 Canadian Business Patterns for the Hamilton Census Division • Occupational projections using Analyst, a tool of the Ontario Ministry of Agriculture and Food and Ministry of Rural Affairs, in partnership with Economic Modeling Specialists International (EMSI) • Employer consultations through Workforce Planning Hamilton’s Hire Learning Survey conducted in January 2014, which included 89 sales and service employers, as well as an additional focus group and telephone interviews with employers from the top industries that employ sales and service workers • Online job vacancy statistics captured by Vicinity Jobs Inc from April 2013-December 2013 • Consultation with Hamilton’s Job Developer Network in February 2014

4

customer service

Literature review: Challenges and Opportunities in Sales and Service As sales and service occupations become more prominent across both Canada and Ontario, there has been an increased importance in understanding the implications of an increasingly service-oriented economy. Ontario’s Long-Term Report on the Economy highlighted an 8 per cent growth in broad service sector employment from 1988-2008 and almost 75 per cent contribution to Ontario’s real gross domestic product (GDP) in 2008.2 The shift to a service-focused economy has been attributed to increased consumer demand and changing preferences, greater demand for service inputs from the goods-producing sector, and technological advancements.3

Challenges for sales and service occupations Growth in the service side of the economy, and also an increase in employment in the occupations typically found in this industry, have meant a change in the types of jobs available in the labour market. Many sales and service positions are considered precarious (employment that does not have the security or benefits enjoyed in more traditional employment relationships), an issue explored in depth in Poverty and Employment Precarity in Southern Ontario’s It’s More than Poverty released in 2013. The report noted about 20% of workers in the Hamilton-Toronto area are considered to be in precarious employment, an increase of nearly 50% over the past 20 years.4 Precarious employment is more likely to be lower income, receive less training, and fewer benefits.

Focusing on the precarity involved in many service jobs, the Institute for Competitiveness and Prosperity used Toronto as a case study to understand opportunities and challenges for service workers. Since many service jobs require employees to follow a prescribed routine or script, they are considered low-skilled and have few barriers to entry and exit.5 In some cases, the nature of shift work is beneficial as it allows workers to complete other responsibilities or obligations while still earning money and gaining experience. However, irregular work hours are not always favourable, and the report notes that most employers provide low-skilled workers with fixed wage compensation, giving little to no incentive for employees to improve their ability to complete their work.6

Opportunities for sales and service The negative reputation of some sales and service occupations as precarious employment can sometimes overshadow the advancement opportunities and benefits of these jobs. While there are low-skilled and lowpaying occupations in sales and service, there are also high paying, stable employment positions that make excellent careers. Not all jobs that have the same title are created equal. A company that invests in its employees and provides a great working environment can make the difference between struggling or succeeding in a career.

Furthermore, the experience gained through sales and service allows workers to build crucial skills in customer service and work management, which can then be transferred to other occupations or industry sectors.

Chapter 6: Towards a Prosperous and Sustainable Future, Ontario’s Long-Term Report on the Economy Ibid 4 It’s More than Poverty, PEPSO, 5 5 Untapped Potential: Creating a better future for service workers, Institute for Competitiveness and Prosperity, 15 6 Ibid, 58 2 3

5

Defining Sales and Service Occupations The National Occupational Classification (NOC), developed by Employment and Social Development Canada in partnership with Statistics Canada, provides a standardized system for describing the work performed by Canadians in the labour market. The NOC organizes 500 job titles into 10 broad occupational categories. Sales and service has its own broad category on the NOC (group 6).

While the general job type of sales and service occupations are the same, there are a wide range of occupations that fall under this category. The 54 occupational titles include jobs ranging from a Skill Level D, meaning on-thejob training is usually provided, to a Skill Level B, meaning college or vocational training is usually required. For a complete list of occupational titles included in sales and service see Appendix A in this report.

While this profile restricts its analysis to the occupations classified under occupation group 6, there are many occupations that also engage in sales and service related tasks classified elsewhere. For example, while you may think banking, insurance and other financial clerks are in a sales and service position, they are actually classified under the broad occupational category of “business, finance and administration occupations� (group 1). While occupations such as this are not included in the data analysis, many of the transferable skills and tips to progress apply to these jobs as well.

working with others

6

Who works in sales and service?

There are 57,675 people working in sales and service occupations in Hamilton, accounting for 23.7% of all employment. Sales and service is not only the most common occupational group in Hamilton, but across Canada and Ontario as well. As shown in Table 1, these occupations also represent a high concentration of employment in Hamilton’s surrounding census divisions.

Who works in sales and service?

There Force are 57,675 people working in sales and service occupations in Ham Table 1 Employment in Sales and Service -Employed Labour 15 years of age and over in Canada, 23.7% of all employment.

Sales and service is not only the most common Ontario, Hamilton and Selected Surrounding Census Divisions, 2011 National Household Survey Hamilton, but across Canada and Ontario as well. As shown in Table 1, th concentration of employment in Hamilton’s surrounding Employment inrepresent Sales anda high % of all Occupations Service Occupations

Table 1. Employment in Sales and Service -Employed Labour Force 1

Canada

3,774,055 22.7% over in Canada, Ontario, Hamilton and Selected Surrounding Census

Ontario

1,431,605

National Household Survey

57,675

Hamilton Toronto

292,165

Niagara

58,735

Halton

57,585

Wellington

20,925

% of all Oc

Canada Ontario 23.0% Hamilton Toronto 29.0% Niagara Halton 21.8% Wellington Dufferin 19.0%

3,774,055 1,431,605 57,675 292,165 58,735 57,585 20,925 6,605

22.7 22.7 23.7 23.0 29.0 21.8 19.0 22.3

22.3%

Higher proportion of female workers in sales and service

Figure 1. Gender Distribution of Employed Sales and Service Worker 2011 National Household Survey workers Division, in sales and service

Figure 1 Gender Distribution of Employed Sales and Service Workers, Hamilton Census Division, 2011 National Household Survey Many sales and service occupations have been traditionally female-dominated. While the proportion of women employed in femaledominated sales and service areas in Canada has declined slowly over the past two decades, women’s share of total employment in this area is still significant.7 In Hamilton, 57.5% of all employed sales and service workers are women.

7

Employment in Sales and

23.7%Service Occupations

6,605

Dufferin

Higher proportion of female

22.7%

57.5%

48.6%

42.5%

51.4%

Sales and Service Occupations

All Occupations

Male

Female

Many sales and s been traditionally While the propor employed in fem service areas in C slowly over the p women’s share o this area is still si 57.5% of all emp workers are wom

Ferrao, Vincent. “Paid Work” Women in Canada: A Gender-based Statistical Report. Statistics Canada. 2010.

7

Ferrao, Vincent. “Paid Work” Women in Canada: A Gender-based Statistical Report. S

7

Opportunities for for Youth Opportunities Youth Figure 2. Age Distribution of Employed Sales and Workers, Service Workers, Hamilton Census Figure 2 Age Distribution of Employed Sales and Service Hamilton Census Division, 2011 National Division, Household Survey2011 National Household Survey Opportunities for Youth

Figure 2. Age Distribution of Employed Sales and Service Workers, Hamilton Census Sales and Service 30.80% 32.50% 33.10% 3.70% Division, 2011 National Household Survey All Occupations Sales and Service

13.50% 30.80% 0%

20%

41.70%

41.40% 33.10%

32.50% 40%

60%

15 to 24 years All Occupations 13.50% 25 to 44 years 41.70% 45 to 64 years

80%

3.40% 3.70% 100%

6541.40% years and over 3.40%

Sales and service occupations have more than double workers (age 15 to 0% 20% 40% the proportion 60% of youth 80% 100% 24 years) than all occupations. As many sales and service occupations do not typically require Sales and65service occupations have more to 24 years 25 to 44of years 45 to 64 years years and over “[Youth]formal bring an 15organic education, youth knowledge can gain valuable work experience inthan entry-level positions. double the proportion of youth

technology”

workers (age 15 to 24 years) than all

“

bring an organichave knowledge of technology” Sales“[Youth] and service occupations more than double the proportion of youth workers (age 15 to occupations. As many sales and service “Youth have the way of the future “Youth have the way of the future – but they it now.”

24 years) than all occupations. As many sales andhave service occupations do not typically require occupations do not sales typically require formal employers on the benefits of hiring youth formal education, youth ‐canHamilton gain valuable work experience in entry-level positions. and service workers – but they have it now.” education, youth can gain valuable work not barrierof tohiring working -Hamilton Education employers on thea benefits youthin sales and service experience in entry-level positions. “[Youth] sales and service workersbring an organic knowledge of technology” “Youth have the way of the future – but they have it now.”

Figure 3. Education of ‐Employed Sales and Service Census Hamilton employers on theWorkers, benefits ofHamilton hiring youth salesDivision, and service workers 2011 National Household Survey Educationnot not aabarrier to working in sales and service and service Education barrier to working in sales Figure 3 Education of Employed Sales and Service Workers,Workers, HamiltonHamilton Census Division, National Figure 3. Education of Employed Sales and Service Census2011 Division, Sales and Service 18.2% 39.2% 7.1% 22.1% 13.5% Household Survey 2011 National Household Survey

All Occupations Sales and Service

10.6% 18.2% 0%

All Occupations

26.9% 20%

8.6% 39.2%

26.6% 7.1%

40%

60%

10.6% 8.6% No certificate,26.9% diploma or degree

22.1%

27.3% 13.5%

80%

26.6%

100%

27.3%

High school diploma or equivalent 0%Apprenticeship 20%or trades certificate 40% 60% or diploma

80%

100%

College, CEGEPdiploma or otherornon-university certificate or diploma No certificate, degree University or degree High schoolcertificate, diploma ordiploma equivalent Apprenticeship or trades certificate or diploma College, CEGEP or other non-university certificate or diploma

8

5

University certificate, diploma or degree

5

Workers in sales and service occupations tend to have lower education levels than across all occupations. Given the entry-level and part-time nature of many sales and service positions, these jobs can be a great way for people without specific training or expertise to gain valuable experience in the labour market, or work part-time while pursuing further education. The lower educational requirements also make sales and service attractive for youth workers, who may not have completed their schooling yet.

Almost 14% of sales and service workers have university certificates, diplomas or degrees despite no occupations typically requiring this level of education. Therefore, some of these workers may be underemployed or working temporarily in sales and service while searching for their next career opportunity. Underemployment is a concern across the country, with an external study finding one in four recent university grads in Canada who were working in 2005 were underutilized or working in jobs that required lower skills.8 These workers can use the transferable skills they develop in sales and service to succeed in their next career.

Occupations by Skill Level Table 2

Occupations by Skill Level, 2011 National Household Survey Skill Level

Skill Level D On-the-job training is typically provided

% of sales and service employment in Hamilton

% of employment in all occupations in Hamilton

39.9%

28.2%

Hamilton’s top jobs of this skill level: Food counter attendants, kitchen helpers and related, cashiers, janitors, caretakers and building superintendents, light duty cleaners, store shelf stockers, clerks and order fillers

Skill Level C Secondary school or occupationspecific training is usually required

39.6%

30.6%

Hamilton’s top jobs of this skill level: Retail salespersons, other customer and information service representatives, food and beverage servers, sales and account representatives, security guards

Skill Level B College or vocational schooling is typically required

20.5%

28.4%

Hamilton’s top jobs of this skill level: Cooks, hairstylists and barbers, technical sales specialists, real estate agents and salespersons, insurance agents and brokers

Skill Level A University education typically required

0*

12.8%

*The only Skill Level A occupations that are related to sales and service are major group 06- middle management in retail and wholesale trade, not included in skill type level analysis.

8

Grant, Tavia. The real youth jobs crisis: underemployment. The Globe and Mail Economy Lab. October 30, 2012.

9

Almost eighty percent of sales and service workers are either in a Skill Level D occupation – meaning on-the-job training is typically required or Skill Level C – meaning high school or occupation-specific training is usually required. There are less formal educational requirements to enter these jobs, with employers identifying trainability, people skills, motivation and a sound mind as what they most look for in a new hire.

Some organizations may offer professional development opportunities once you have your foot in the door. For example, your employer may help you become a licensed insurance agent while you are working in a related sales or customer service position.

While there are no specific sales and service occupations that identify as needing university education, in order to move up to management or corporate levels of organizations, you will typically need to have a more formal business education background.

“

“You can absolutely grow in these industries.”

- Hamilton employer

What industries employ sales and service workers?

Table 3 Top Industries of Sales and Service Occupations in Hamilton (NAICS), 2011 National Household Survey, June 2013 Canadian Business Patterns % of Sales and Service Occupations

Number of Businesses (June 2013)

1. Retail trade (44-45)

30.5%

2,893

2. Accommodation and food services (72)

20.5%

1,335

3. Administrative and support, waste management and remediation services (56)

9.4%

1,510

4. Other services (81)

6.4%

2,662

5. Finance and insurance (52)

5.2%

1,561

Industry (NAICS)

While sales and service occupations are employed in all industries, just over half of all sales and service workers are found in the retail trade and accommodation and food services industries. We included employers from the top industries for our employer consultations.

10

Being Your Own Boss: Self-Employment in Sales and Service Table 4 Class of Worker of Sales and Service Workers, Hamilton Census Division, 2011 National Household Survey

Employee

Self-Employed

Unpaid Family Worker

6. Sales and Service Occupations

54,295

3,245

135

All Occupations

220,190

22,440

445

While the majority of sales and service workers are employees, 6% are self-employed. In Canada, most self-employed people are freelancers, business owners, commissioned salespeople, and farmers.

Self-employment can give you independence, control and freedom from routine, but can also mean less security. The City of Hamilton’s Small Business Enterprise Centre is a hub for business information, guidance and professional advice on starting and running a successful business.

Find out more information by visiting www.investinhamilton.ca/small-business.

professionalism

11

Career Pathways in Sales and Service One of the great things about sales and service occupations is that there is no one determined career pathway to follow. These careers offer flexibility and are great for people with a variety of backgrounds at all stages of their career. Many people may start in a sales or service position, leave for schooling or work in another industry then return to a sales and service position further along in their career. It is also not uncommon to find top executives in successful retail sales or food service organizations who began their careers on the frontline. Shopfloor level experience allows workers to develop essential skills and knowledge that allows them to be successful at management or executive levels.

One Example of Career Paths in Retail Trade:9 Part-Time or Casual Role • Gain valuable work experience • Earn money while completing education

Full-Time Role • Successfully complete duties • Show initiative • Demonstrate reliability • Have a positive attitude

Supervisory Role • Demonstrate ambition and

Postsecondary study- Check out Mohawk College’s Business-Marketing Diploma Program through which you can earn credits towards your Certified Sales Professional (CSP) Designation

Transfer skills to a career in a different industry - For example, transfer the knowledge you gained selling footwear in to becoming a marketing professional at a shoe company

commitment to the company

Assistant Management or Management Role • Identify and improve weaknesses • Inspire others through excellent leadership skills

Senior Management/ Executive Role

9

12

Adapted from Service Skills SA

Start and manage your own business - Check out the Small Business Enterprise Centre at the City of Hamilton for resources and advice on starting and running a successful business (www.investinhamilton.ca/small-business)

Work as a consultant for businesses in your industry

Help Wanted in and Sales and Service: Help Wanted in Sales Service: Employer Consultations In January 2014 Workforce Planning Hamilton surveyed employers across the city about their

Help Wanted in Sales and Service: Employer Consultations Employer Consultations hiring opportunities and challenges. A total of 89 companies indicated that they employ sales and

In January 2014 Workforce Hamilton surveyed employers across the city about their hiring service workers.

WhilePlanning the results here are not asurveyed statistically significant representation of their all In January 2014 Workforce Planning Hamilton employers across the city about opportunities and challenges.

A total of 89 companies indicated that they employ sales and service workers. employers in Hamilton, they still provide valuable insight from many employers in the city. hiring opportunities and challenges. A total of 89 companies indicated that they employ salesSee and While the results here are not aofstatistically significant representation of all employers in Hamilton, they still Appendix B for aWhile profile the 89here sales andnot service employers surveyed.

We also heldofan service workers. the results are a statistically significant representation allinprovide valuable insight many employers in thewith city. See Appendix B for atop profile of the 89 sales and service person focus group from and they telephone interviews from theemployers industries that employ employers in Hamilton, still provide valuable employers insight from many in the city.

See employers surveyed.

We also held an in-person focus group and telephone interviews with employers from the these workers more in-depth Appendix B forfor a profile of the 89discussions. sales and service employers surveyed. We also held an intop industries that employ these workers for more in-depth discussions.

person focus group and telephone interviews with employers from the top industries that employ Key Finding positive hiring outlook for sales and service employers workers 1. forGenerally more in-depth discussions.

Keythese Finding 1. Generally positive hiring outlook for sales and service employers  Not unlike all companies surveyed, a large majority of sales and service employers • Not unlike all companies surveyed, a large majority of sales and service employers indicated their organization indicated their organization currently growing or and staying the same size Key Finding 1. Generally positive was hiring outlook for sales service employers was currently growing or staying the same size Only 16% all of employers did not expect to hire any new workers next year Not companies surveyed, aany large majority of sales service • Only16% of unlike employers did not expect to hire new workers over the and nextover yeartheemployers indicated their organization was currently growing or staying the same size  referring When referring specific occupational groups over the31% pastofyear, 31% of theindicated employers • When to specifictooccupational groups over the past year, the employers the number indicated the number of did service andand production workers increased and reported sales of employers not expect to hire any new workers over the35% nextin year  Only of service and16% production workers increased 35% reported sales workers increased their organization workers increased in their occupational organization groups over the past year, 31% of the employers  When referring to specific Figure 4indicated Overall,the is your organization currently growing, workers decliningincreased or staying and the same? number of service and production 35% reported sales Figure workers 4. Overall, is your in organization currently growing, declining or staying the same? (%) increased their organization Figure 4. Overall, is your organization currently growing, declining 43% or staying the same? (%) Growing 44% All Employers 43% Growing 44% 46% Staying about the same All Employers Sales and Service 44% Employers 46% Staying about the same Sales and Service 44% 12% Declining Employers 11% Source: 2014 Hire Learning Survey 12% 11% Figure 5. Over the past year, have the following occupational groups increased, decreased or stayed5about (%) have the following occupational groups increased, decreased or stayed Figure Overthe thesame? past year, about the same? (%) Figure 5. Over the past year, have the following occupational groups increased, decreased or stayed about the same? (%) 31% Increase 35%

Declining

31% 35%

Increase Stay about the same Stay about the same Decrease

10% 7%

10% 7% Source: 2014 Hire Learning Survey

58% 57% 58% 57%

Service (and Production) Sales (and Marketing) Service (and Production) Sales (and Marketing)

Decrease

Source: 2014 Hire Learning Survey

10Survey Source: 2014 Hire Learning 10 13

Key Finding 2 Majority of sales and service employers find recruitment a somewhat challenging issue

ority of sale find recrruitment Key Find ding 2. Maj es and serviicechallenging employe rsand • 66% of sales and service employers indicated recruitment was somewhat a further 24% a ssomewhat ging issue issue indicated recruitment waschalleng a very challenging • Too many unqualified applicants applying, too few qualified candidates, and compensation levels were the  66% of sales and service employers in ndicated reccruitment waas somewhatt challengingg and most commonly cited reasons as to why recruitment is challenging 

“Finding the right fit for the team and [work] culture”

a further 24% % indicated reecruitment was w a very chhallenging isssue Too T many un nqualified applicants app plying, too feew qualified candidates, and co ompensation n levels weree the most co ommonly citted reasons aas to why recruitment is Figure 6 In general, does your organization find ch hallenging employee recruitment a challenging issue?

Figure 6.. In general, does your organization o n find employyee recruitm ment a challenging issue??

“

- Hamilton employer when asked what makes recruitment a challenging issue

Top FIVE Soource: Hire Learning L Su urvey

1. Word of mouth/employee networks

Source: 2014 Hire Learning Survey

“Fin nding the righ ht fit for the team and [w work] culturee”

2. Online job listing

4. Personal contacts

Very challennging, 24%

Somewhat S challenging, 66%

recruitment methods for sales and service employers

3. Organization’s website

Not at all challengin ng, 9%

‐

Hamilton n employer when w asked what w makes recruitmentt a challenginng issue

Key Finding 3 Word of Mouth and Online Job Listings are the recruitment methods of choice Key Find ding 3. Worrd offor Mouth h and e Jobworkers Listin ngs are the rrecruitmentt methods oof sales andOnlin service choice fo or sales and service worrkers is key to finding unadvertised positions • Networking

as word of mouth/employee networks is the most 5. Social media  Networking N is key to Top cited 5 recru uitment meth hods for sales and servicee employers commonly recruitment method amongst sales (e.g. LinkedIn, Twitter, Facebook) fiinding unadv vertised and service1.employers ofemployee respondents) Word of (76% mouth/e netw tworks positions as word w of • Not all job 2. vacancies are advertised, some companies, line job listing g Onl yee mouth/emplo m especially in retail trade and food service industries, 3. the Org ganization’s w website networks is th he most can receive4.jobPers applications from sonal contactss people walking in to ommonly citted co their establishment, therefore never have to post 5. Soccialand media (e.gg. LinkedIn, T Twitter, Facebbook) reecruitment method m an ad



- Hamilton employer

thinking

“You can’t c just putt an ad in thee back of a nnewspaper aanymore”

14

am mongst saless and servicee employers (76% of resspondents) Not N all job vaacancies are advertised, some s compaanies, especiially in the reetail trade annd fo ood service industries, i caan receive jo ob applicatioons from peoople walkingg in to their esstablishmentt, and therefo fore never haave to post ann ad

“

“You can’t just put an ad in the back of a newspaper anymore”

‐

Hamiltton employerr

11

Online Job Vacancies: Sales and service is the most commonly advertised type of job Starting in April 2013, Workforce Planning Hamilton began subscribing to quarterly job vacancy statistics collected by Vicinity Jobs Inc. Their technology platform collects any data from online job postings including location, industry, occupation, type of employment, duration of employment and job posting source. Job vacancies capture a portion of real-time labour demand in the community, allowing us to see the type of work employers are currently hiring for in Hamilton.

For each of the three quarters available at the time of this report (April- June 2013, JulySeptember 2013, and October-December 2013), sales and services occupations were the most common type of job advertised online. Of the 19,160 job ads during these nine months, 3,564 were sales and service positions, representing 18.6% of all postings.

Occupational Category

% of all Postings

1. Sales and Service

18.6%

2. Management

11.7%

3. Other services

11.3%

4. General help wanted (including warehousing)

9.9%

5. Trades, transport, construction

8.9%

18.6% of Hamilton’s online job postings from

AprilDecember 2013 were for sales and service occupations

communication 15

What the Future forandSales and Service Occupations?

WhatDoes Does the Future HoldHold for Sales Service Occupations?

EMSI’s Analyst tool uses industry data, regional occupation data from the Labour Force Survey

EMSI’s Analyst tool uses industry data, regional occupation data from the Labour Force Survey and regional and regional staffing patterns from the Census to estimate current and future labour market staffing patterns from the Census to estimate current and future labour market trends. As with any projection, trends. As with any projection, caution should be taken when interpreting results and using caution should be taken when interpreting results10and using information here to assess overall trends.10

information here to assess overall trends.

Figure 7 7.Projected in Sales andand Service Occupations, Hamilton, 2011-2020, Analyst Figure ProjectedEmployment Employment in Sales Service Occupations, Hamilton, 2011-2020,

Analyst

Projected Employment in Sales and Service Occupations Hamilton 2011-2020 64,000 62,000 60,000 58,000 56,000 54,000 2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

Steady Growth Expected Similar to the Hire Learning Survey Table 5. Top Expected Sales and Service Growth Occupations, Hamilton, 2011-2020, Analyst findings, steady employment growth is Food counter attendants, kitchen helpers and related expected through 2020 in sales and Grocery clerks and store shelf stockers service occupations. Employment is Janitors, caretakers and building superintendents expected to increase 11% from 2011Real estate agents and salespersons 2020 in sales and service occupations, Retail salespersons and sales clerks compared to an expected 9% increase in total employment across all industries. Hamilton has a slightly higher concentration of employment in sales and service than Ontario in 2011, and it is projected for Hamilton to have similar concentration though 2020.

Changing Skill Requirements Hamilton employers across each of the top industries noted a fast changing business climate, most notably due to the increased use of technology. For example, in retail the internet has changed the way people shop, and a store needs to be able to differentiate itself in order to get

10

computer use

At the time of this report, Analyst used the 2006 NOC-S occupational system to present data. The NOC underwent significant changes for the 2011 edition; therefore, projected employment in sales and service occupations could include slightly different occupations than presented in Appendix A.

At the time of this report, Analyst used the 2006 NOC-S occupational system to present data. The NOC underwent significant changes for the 2011 edition; therefore, projected employment in sales and service occupations could include slightly different occupations than 13 presented in Appendix A.

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Steady Growth Expected Similar to the Hire Learning Survey findings, steady employment growth is expected through 2020 in sales and service occupations. Employment is expected to increase 11% from 2011-2020 in sales and service occupations, compared to an expected 9% increase in total employment across all industries. Hamilton has a slightly higher concentration of employment in sales and service than Ontario in 2011, and it is projected for Hamilton to have similar concentration though 2020.

Table 5 Top Expected Sales and Service Growth Occupations, Hamilton, 2011-2020, Analyst Food counter attendants, kitchen helpers and related Grocery clerks and store shelf stockers Janitors, caretakers and building superintendents Real estate agents and salespersons Retail salespersons and sales clerks

customerrs through th he door. If a customer caan order whaat they need w with the clicck of a buttonn rather thaan travel an a actual loccation, a storre Changing SkilltoRequirements has to off fferemployers excellentt across serviceeach abo ove and Hamilton of the Figure 8. To what eextent do you beyond th he online ex xperience. top industries noted a fast changing business climate, most notably due Social edia anduse com mputer literaacy was one to them increased of technology. ofFor theexample, mo ost common frrom in retail responses the internet has employer to way whatpeople sk kills requirem ments changedrsthe shop, and a they anticipate e will asetoindifferentiate the futture. From store needs toincrea be able online saales to to manag a comp any itself in order get ging customers through Facebook k Ifpage or Tw witter he use of the door. a customer canfeed, orderth technolog gy need is becom inttegrated what they withing the more click of a within l industries.

Newtopositio ons are being g buttonalrather than travel an actual created to o amanage nd promote a company’ss location, store hasan to offer excellent online serviceprresence. above and beyond the online experience.

e xpect req uirement s to incre ase in yyour orga nization o over the n ext 5 years? ?

To a significannt extent,, 15%

No exttent, 3% %

To a moderate extent, 55%

To a small extent, 25%

Finding employees e th hat are the riight fit for a company y’s culture an nd workliteracy env vironment Social media and computer was asscommon becoming increasingly i y wasalso oneidentified of the most Source: 2014 Hire Learning Survey responses from employers what importan nt. Results fro om thetoHire Learning skills requirements Survey sh howed that they while w anticipate each of o the essentiial skills are Souurce: 2014 H Hire Learningg Survey will increase the an future.

From jo online sales to a company Facebook page or Twitter feed, the use of importan nt for in sales nd service obs, the abili itymanaging to work w with technology is becoming more integrated within all industries.

New positions others an nd oral comm munication sk kills were in n high demannd by emplo oyers. are being created to manage and promote a company’s online presence.

Finding employees that are the right fit for a company’s culture and work environment was also identified as becoming increasingly important. Results from the Hire Learning Survey showed that while each of the essential skills are important for sales and service jobs, the ability to work with others and oral communication skills were in high demand by employers.

Conclusions

Sales and d service is not n only currrently the mo ost prominennt occupatioonal group inn Hamilton, iit is also projeected to continue to rem main so in thee coming yeaars. With thee wide varietty of opportun nities in saless and servicee for workerss of all skill levels, it is iimportant too understand that these job bs do not hav ve to be temp porary; theree are also lonng-term careeer prospectss.

Over agaain, employeers indicated soft skills were w the mosst important attributes foor sales and

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Conclusions Sales and service is not only currently the most prominent occupational group in Hamilton, it is also projected to continue to remain so in the coming years. With the wide variety of opportunities in sales and service for workers of all skill levels, it is important to understand that these jobs do not have to be temporary; there are also longterm career prospects.

Over again, employers indicated soft skills were the most important attributes for sales and service workers.

These jobs are all concerned with working directly with consumers and providing the best possible experience.

Being able to form strong relationships with other people is crucial for these roles. Employers will invest in training the right employee on how to perform their job well, but to truly succeed in these roles workers must be willing and eager to learn.

continuous learning 18

Appendix A Complete List of Occupations in Sales and Service (NOC 2011) Skill Level D (on-the-job training is usually provided) 6611 Cashiers 6621 Service station attendants 6622 Store shelf stockers, clerks and order fillers 6623 Other sales related occupations 6711 Food counter attendants, kitchen helpers and related support occupations 6721 Support occupations in accommodation, travel and facilities set-up services 6722 Operators and attendants in amusement, recreation and sport 6731 Light duty cleaners 6732 Specialized cleaners 6733 Janitors, caretakers and building superintendents 6741 Dry cleaning, laundry and related occupations 6742 Other service support occupations, N.E.C.

Skill Level C (secondary schooling or occupation-specific training typically required) 6411 Sales and account representatives –wholesale trade (non-technical) 6421 Retail salespersons 6511 Maîtres d’hôtel and hosts/hostesses 6512 Bartenders 6513 Food and beverage servers 6521 Travel counselors 6522 Pursers and flight attendants 6523 Airline ticket and service agents 6524 Ground and water transport ticket agents, cargo service representatives and related clerks 6525 Hotel front desk clerks 6531 Tour and travel guides 6532 Outdoor sport and recreational guides 6533 Casino occupations

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Skill Level C (continued) 6541 Security guards and related security service occupations 6551 Customer services representatives – financial institutions 6552 Other customer and information services representatives 6561 Image, social and other personal consultants 6562 Estheticians, electrologists and related occupations 6563 Pet groomers and animal care workers 6564 Other personal service occupations

Skill Level B (College or vocational schooling typically required) 6211 Retail sales supervisors 6221 Technical sales specialists – wholesale trade 6222 Retail and wholesale buyers 6231 Insurance agents and brokers 6232 Real estate agents and salespersons 6235 Financial sales representatives 6311 Food service supervisors 6312 Executive housekeepers 6313 Accommodation, travel, tourism and related services supervisors 6314 Customer and information services supervisors 6315 Cleaning supervisors 6316 Other services supervisors 6321 Chefs 6322 Cooks 6331 Butchers, meat cutters and fishmongers 6332 Bakers 6341 Hairstylists and barbers 6342 Tailors, dressmakers, furriers and milliners 6343 Shoe repairers and shoemakers 6344 Jewellers, jewellery and watch repairers and related occupations 6345 Upholsterers 6346 Funeral directors and embalmers

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Appendix B Profile of Sales and Service Employers Surveyed through the Hire Learning Survey Industries Represented Industry

Number of Businesses Surveyed

Accommodation and food services

3

Agriculture

0

Business, building and other support services

5

Construction

4

Educational services

4

Finance, insurance, real estate, leasing

10

Health care and social assistance

16

Information, culture and recreation

7

Manufacturing

11

Professional, scientific and technical services

3

Public administration

1

Retail and wholesale trade

6

Transportation and warehousing

5

Utilities

0

Other services

10

All industries are represented in the sample, except for agriculture and utilities.

Employers by Employee Size Range Employee Size Range

Number of Businesses Surveyed

1-4

9

5-9

10

10-19

11

20-49

11

50-99

10

100-199

15

200-499

16

500-999

3

1000+

3

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Workforce Planning Hamilton

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WPH is a member of Workforce Planning Ontario, a network of 25 labour market planning areas across ontario.

Our evidence-based approach relies on key industry sector and demographic data combined with local intelligence from employers and other local partners to develop a strategic vision for hamilton.

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