2012 Labour Market Plan
April 2012
2012 Labour Market Plan Prepared by: Judy Travis, Workforce Planning Hamilton Background Research: Diane Soucie, Net Success Inc.
Acknowledgements
Workforce Planning Hamilton would like to acknowledge our partners and other key stakeholders for their contributions to this report. The labour market intelligence recorded here is much richer because of your contributions. WPH would also like to thank our partners from across the community for their collective and individual action in support of the priorities.
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.
A member of:
TABLE OF CONTENTS Introduction................................................................................................................................................................. 1 Methodology............................................................................................................................................................... 2 2011 Local Labour Market Indicators.................................................................................................................. 3 2011 Labour Market Highlights for Hamilton.................................................................................................. 9 Workforce Highlights..............................................................................................................................................19 2011 Labour Market Action Plan Update........................................................................................................21 2012 Labour Market Plan for Hamilton............................................................................................................25 Conclusion..................................................................................................................................................................32
INTRODUCTION
Welcome to Workforce Planning Hamilton’s (formerly the Hamilton Training Advisory Board) Labour Market Plan Update for 2012. This is an annual review of the progress on Hamilton’s labour market action plan and up-to-date information on labour market conditions in our community. Our evidence-based process includes analysis of data from Statistics Canada Labour Force Survey, Canadian Business Patterns as well as sector based information from local employers and workforce information from our community partners. We also keep our eye on local media and other new reports or literature. Based on our analysis and community input we look at new priorities for action and revisions to our plan in the area of employment, training and economic development. This is an ongoing process for our organization, scanning and planning for Hamilton’s labour market needs. This plan aims to better align education, training and employment programs with local labour market needs, and establish local commitment to help implement the plan and guide continued planning efforts. This is an update report and documents year over year changes and, based on the data, suggests areas where further attention may be required. The report is divided into five main sections: • Methodology • Local Labour Market Indicators • 2011 Labour Market Highlights • 2011 Progress on Labour Market Priorities • Priorities and Action for 2012
It must be noted that this plan does not belong to government, nor does it belong to any particular group or organization. There is a need for action from education and training institutions, businesses, industry associations, labour, as well as government. Meeting current and future labour market needs requires our collective attention and our absolute efforts. If you have any feedback or are interested in supporting any of the actions outlined in the plan, please contact Workforce Planning Hamilton at 905.521.5777 or info@workforceplanninghamilton.ca .
About Workforce Planning Hamilton Workforce Planning Hamilton (established in 1997) is a catalyst for economic and labour market development, building solutions and engaging multi-stakeholder alliances. To achieve results for our community in the area of labour market development we work in partnership with a broad range of stakeholders including the business, labour and other community partners. In 2011 we formally changed our name to Workforce Planning Hamilton from the Hamilton Training Advisory Board to reflect more closely the work we do in the community. We are a member of Workforce Planning Ontario, a network of twenty five labour market planning regions covering Ontario. WPH is funded by Employment Ontario – the Ministry of Training, Colleges and Universities. Go on-line to www.workforceplanninghamilton.ca to review our many research reports, project activities and other publications.
1
METHODOLOGY
WPH constantly monitors the Hamilton labour market for emerging trends or issues. We view our ongoing involvement in the community on committees and through our Board as a strategy for keeping our finger on the pulse of changing and evolving workforce and industry needs. In addition we review local, provincial and national media coverage of labour market issues along with research reports and websites. Outreach to industry sectors is an important aspect of WPH work in the community. Our outreach occurs in the course of some of our research projects. In 2011 we continued our work developing labour market profiles based on the cluster identified in the City of Hamilton’s Economic Development Strategy. This provided the opportunity to survey employers from the Goods Movement and Manufacturing clusters which spans a number of industry sectors. By means of online surveys and employer interviews we heard from employers about their talent challenges, skills requirements and future demand. WPH has conducted a very short monthly survey of employers exploring the workforce growth and decline. This survey is sent out electronically to a database of approximately 500 employers that is structured to represent Hamilton’s industrial make up. Response rate is routinely between 10% and 15% although with telephone follow we have pushed it to over 20%. While not statistically significant, it does provide a snapshot of labour market demand. Results from June to December were rolled up and examined for this report. To gather more in depth information we also conducted an analysis of job postings found on the Service Canada job bank, www.jobbank.gc.ca, during the months of October and November 2011. This review was conducted based on sectors related to the City’s EDS and again, while having some limitations, provided further insight into occupational trends. The data has been presented in summary in this report but is available in PDF as a separate appendix on our website – www.workforceplanninghamilton.ca. Information from the 2006 census continues to provide in depth information that is background to much of our research. However, the Workforce Planning Boards also use the Local Labour Market Indicators which provides more up-to-date data derived from the Canadian Business Patterns, Labour Force Survey and other Stats Can sources. This allows us to examine trends especially related to the growth and decline of small- to medium-sized businesses in Hamilton and can be compared to the provincial trends. To get a sense of what is happening with the supply side, i.e. the workforce; we reviewed our research and consultation process on youth and key messages about youth employment arising in the course of this work. WPH also chairs the Employment Working Group for the Hamilton Immigration Partnership Council (HIPC) and over a number of meetings we discussed immigrant workforce integration and services needed. In addition we conducted a discussion with front line workers at the Employment Assistance and Resource Network (EARN) to hear about challenges they face in working with specific client groups. Finally, WPH hosted a consultation with a group of employment service providers and Board members to review the data and explore solutions that advance our labour market plan for 2012.
2
2011 LOCAL LABOUR MARKET INDICATORS
Through the Local Labour Market Indicators (LLMI) process WPH shines a spotlight on new and emerging trends in the local labour market. While the census information provides comprehensive data for in depth analysis, the most recent data available is 2006. The LLMI uses Canadian Business Patterns Data (June 2011 for this report) and Labour Force Survey data (2010) to identify more recent changes and trends in the local labour market. This data combined with the census information provide a powerful base for understanding our local labour market. The following provides some evidence and analysis using this data to identify key sectors that may require further discussion, consultation or attention in the coming year. TABLE 1: EMPLOYMENT BY INDUSTRY: TOP 10 SECTORS OF EMPLOYMENT (HAMILTON CMA1) (Statistics Canada - Labour Force Survey)
2011 % of Jobs in all Industries
2001 to 2011 % Growth of Jobs in Industry
Retail and wholesale trade
17.3
17.3
Manufacturing
13.3
-30.8
Health care and social assistance
12.7
32.1
Educational services
6.8
10.3
Finance, insurance, real estate and leasing
6.8
11.3
Construction
6.7
38.4
Professional, scientific and technical services
6.3
34.1
Accommodation and food services
6.1
25.3
Transportation and warehousing
5.3
27.0
Business, building and other support services
4.4
35.8
Most of the largest industries are not the growth industries. For example, the manufacturing sector is the 2nd largest industry, but has declined over the past 10 years. Many of the growth industries – such as professional, scientific, and transportation services – match well with some of the strategic areas identified by the City.
1
3
Hamilton Census Metropolitan Area includes Grimsby and Burlington.
TABLE 2: EMPLOYMENT BY OCCUPATION (HAMILTON CMA) (Statistics Canada - Labour Force Survey)
2011 % Share of all Occupations
2001 to 2011
Sales & Service
25.8
17.1
Business, Finance & Administrative
18.7
19.0
Trades, Transport & Equipment Operators
14.7
1.3
Management
9.5
10.5
Social Science, Education, Government Service & Religion
8.1
7.7
Health
7.4
47.6
Natural & Applied Sciences
5.9
8.3
Occupations Unique to Processing, Manufacturing & Utilities
5.4
-31.8
Art, Culture, Recreation & Sport
2.7
40.5
Occupations Unique to Primary Industry
2.0
32.1
% Growth of Occupation
Sales & Services jobs account for about 25% of all jobs. Some of the highest growth jobs fit in with many of the City’s strategic growth areas – for example, Arts & Culture and Health. TABLE 3: TOP 10 GROWTH OCCUPATIONS, 2006 TO 2016 (CITY OF HAMILTON)
(Custom tabulation: Workforce Planning Hamilton and Centre for Spatial Economics)
Elemental sales and service
20,300
2006 to 2016 New Workers Required 5,700
Clerical
19,200
5,300
Intermediate sales and service
19,400
5,200
Professional occupations in health Professional occupations in social science, education, government services and religion Middle and other management
9,400
4,800
15,500
4,700
15,700
4,100
Skilled administrative and business
11,500
4,000
Skilled sales and service Intermediate occupations in transport, equipment operation, installation and maintenance Assisting occupations in support of health services
10,200
3,000
8,300
2,200
4,900
2,000
2006 Workers
Recent labour force projections completed for the City of Hamilton indicate that from 2006 to 2016 the highest number of new workers will be required in the following types of occupations. Many of the growth occupations fit with some of different strategic areas in the City of Hamilton.
4
Business Growth is Stagnant in Hamilton
••
Between 2008 and 2011 the number of employers overall in Hamilton declined by 120. The only size range that increased was employers with 1 – 4 employees. They grew by just over 5%.
••
Every other size category lost businesses between 2008 and 2011.
••
Business growth in Hamilton is slower than the provincial average.
Small Business Dominates in Hamilton in 2011
5
••
There are 27,569 total registered businesses in Hamilton
••
53% (14,565) of businesses in Hamilton were sole proprietor/owner operated
••
95% of businesses with employees have less than 50 employees and 86% have less than 20 employees.
RECENT INDUSTRY SECTOR GROWTH/DECLINE BY NUMBER OF BUSINESSES - Top 5 Sectors TABLE 4: INDUSTRY GROWTH IN THE TOTAL NUMBER OF EMPLOYERS DECEMBER 2008 TO JUNE 2011 (Statistics Canada: Canadian Business Patterns)
NAICS 621 - Ambulatory Health Care Services 531 - Real Estate 813 - Religious, Grant-Making, Civic, and Professional and Similar Organizations 623 - Nursing and Residential Care Facilities 812 - Personal and Laundry Services
Total Total Employers Employers 1,272 1,458 2,484 2,625
Absolute Change 186 141
857
931
74
122 611
184 658
62 47
Total Employers 1,024 1,060 3,262 493 185
Absolute Change -98 -75 -74 -53 -40
TABLE 5: INDUSTRY DECLINE IN THE TOTAL NUMBER OF EMPLOYERS DECEMBER 2008 TO JUNE 2011
(Statistics Canada - Labour Force Survey)
NAICS 484 - Truck Transportation 551 - Management of Companies and Enterprises 541 - Professional, Scientific and Technical Services 445 - Food and Beverage Stores 447 - Gasoline Stations
Total Employers 1,122 1,135 3,336 546 225
6
RECENT INDUSTRY SECTOR PROFILE BY EMPLOYMENT
This section highlights employment change based on Canadian Business Pattern data. Our focus here is on small to medium-sized (less than 99 employees because they represent a substantial share of total employment. Table 6: Employment Top 5 Industry Sectors with under 99 employees (Statistics Canada - Labour Force Survey)
NAICS 722 - Food Services and Drinking Places 238 - Specialty Trade Contractors 541 - Professional, Scientific and Technical Services 621 - Ambulatory Health Care Services 561 - Administrative and Support Services ••
0
1-4
5-9
Small / 10 - 19 20 - 49 50 - 99 Medium Total
281
716
1,331
2,036
4,832
3,623
12,819
10.26
1,227
1,407
1,808
1,439
1,960
858
8,699
6.96
1,971
1,757
1,020
1,398
1,186
799
8,132
6.51
384
1,363
1,865
1,387
892
208
6,099
4.88
644
692
931
888
1,354
1,424
5,933
4.75
%
The fact that Food Services and Drinking Places has the greatest employment in the small to mediumsized category is not surprising. This aligns with the information from the Labour Force Survey in Table 2 that shows that over 25% of employment is in sales and service.
Table 7: Top 5 Industry Sectors showing Employment Growth 2008 – 2011
(Statistics Canada - Labour Force Survey)
7
NAICS
2008
2011
Absolute Change
623 - Nursing and Residential Care Facilities
1,998
2,488
489
624 - Social Assistance
2,113
2,467
355
523 - Securities, Commodity Contracts, and Other Financial Investment and Related Activities
1,503
1,857
354
621 - Ambulatory Health Care Services
5,853
6,099
246
812 - Personal and Laundry Services
2,789
2,950
161
Table 8: Top 5 Industry Sectors showing Employment Decline 2008 – 2011 (Statistics Canada - Labour Force Survey)
NAICS
2008
2011
484 - Truck Transportation 541 - Professional, Scientific and Technical Services 561 - Administrative and Support Services 445 - Food and Beverage Stores 333 - Machinery Manufacturing
2,638 8,496 6,241 3,577 1,649
2,160 8,132 5,933 3,303 1,396
Absolute Change -478 -364 -308 -274 -253
••
Table 5 and 6 illustrate sectors where employment is growing or declining.
••
Examining the industry sectors where employment is growing show healthcare industries are having a significant impact. This also aligns with the Labour Force Survey information that shows a 47% growth in health in occupations in the last ten year. Furthermore as projections indicate in Table 3, healthcare will continue to grow by an estimated 6800 workers by 2016.
••
Looking at the decline in employment amongst the top 5 sectors, we see Truck Transportation leads the way. This decline is mirrored in the decline in the number of businesses in this industry sector. This sector was impacted significantly by the recent recession. When we look at the data in Table 1 we see that Transportation and Warehousing has grown by 27% over the last ten years.
WORKFORCE CHANGES
••
The unemployment rate in Hamilton CMA continues to fall and is below the provincial average. In December 2010 the unemployment rate in Hamilton was 7.6% (Ontario rate was 8.7%). In December 2011 it had declined to 6.4% (Ontario rate was 7.8%).
••
The labour force and participation rate continues to increase in the Hamilton CMA. The local labour force grew by 7100 workers year over year. Participation grew from 65.2% in December 2010 to 67.2% in December 2011.
••
There is concern, however, that the Ontario Works caseload is not declining as the unemployment rate falls and the participation rate increases. In fact year-over-year (December 2010 to December 2011) the caseload increased from 13,356 to 13,6442.
2
Ontario Works - Caseload. www.hamilton.ca
8
2011 LABOUR MARKET HIGHLIGHTS FOR HAMILTON
In 2009, the Economic Development Office for the City of Hamilton launched an Economic Development Strategy focusing on supporting and building economic clusters in Advanced Manufacturing; Agriculture and Agri-business; Bio-Science, Clean Technology; Creative Industries; and Goods Movement. As part of our Local Labour Market Plan 2011-2012, we are taking a closer look at each of these sectors.
Advanced Manufacturing
The manufacturing sector nationally and globally continues to be volatile. Statistics Canada data during the final months of 2011 show that after a 2.6 percent surge in September, manufacturing sales fell 0.8 percent to $48.7 billion in October. As importantly, new orders foreshadowing future activity fell 2.7 percent and unfilled orders were down 0.3 percent. The backlog of unsold inventories continues to rise, up another 1.4 percent, the highest since early 2009.3 Yet, in January 2012, other early indicators were more positive. The Royal Bank of Canada’s Purchasing Managers Index showed that the pace of manufacturing activity strengthened relative to slowing growth in October and November reflecting increased foreign demand. New export orders rose in December, ending a two-month period of decline.4 Manufacturing, locally, has been equally mixed. In November, 2011, ArcelorMittal Dofasco announced their decision to delay a planned expansion in an effort to cut costs in the face of tough market conditions. Through measures including an immediate hiring freeze, cut-backs in capital spending and changes to employee benefits, the company plans to cut $200 million in costs in response to volatile market conditions.5
“Hamilton still manufactures 60% of Canada’s steel.”
In addition, Max Aicher North America laid off 80 workers hired to revive two closed former Stelco mills citing poor market conditions. Valley City Manufacturing announced it would close at the end of January resulting in the loss of 55 jobs and Siemens closed in July 2011 after work was transferred to North Carolina and Tillsonburg, Ontario.6
Despite these losses, the city still manufactures sixty percent of Canada’s steel and, operations in agribusiness and clean energy manufacturing have been launched strengthening diversification in the local economy.7 The application of advanced research and innovation to manufacturing is critical to sustainability and growth and the McMaster Automotive Research Centre is playing a leadership role. Initiatives like the General Motors of Canada Centre for Automotive Materials and Corrosion; the Initiative for Automobile Manufacturing Innovation; Mechatronics and Hybrid Technologies; the McMaster Manufacturing Research Institute; McMaster Steel Research Centre and the Brockhouse Institute for Materials Research Centre are conducting world-class research into the next generation of materials, advanced manufacturing processes and product quality.8
3 4 5 6 7 8
9
October manufacturing sales dip a signal of economic slowdown ahead, Canadian Press, Hamilton Spectator, December 14, 2011 Manufacturing sees growth – Positive reading posted in December, Financial Times, January 4, 2011 Dofasco’s New Money Saving Move, Steve Arnold, Hamilton Spectator, November 3, 2011 The Best of Times, The Worst of Times, Steve Arnold, Hamilton Spectator, December 31 2011 City Succeeds in Luring New Corporate Investment, Meredith MacLeod, Hamilton Spectator, Sep 8, 2011 http://macauto.mcmaster.ca/research.html
Agriculture and Agri-Business
Some of the most exciting economic development announcements took place in food processing. Toronto-based EarthFresh Foods Inc. launched a $5.5-million potato-washing and packaging plant and Winnipeg-based Richardson-International, a grain-handling firm, announced a $5.5-million expansion.9 The EarthFresh Foods facility is expected to generate 44 new jobs and retain 70 existing positions while the Richardson International expansion will retain 170 positions.10 In February 2011, Canada Bread launched construction of a $100-million manufacturing facility to become the anchor tenant in the Red Hill Business Park. Company leadership indicated that the availability of a skilled workforce was a chief reason for their location decision.11 The facility began operation in the Fall of 2011. This was followed by a second announcement by Maple Leaf Foods in October that a new $395-million state-of-the-art meat processing plant would be built “The city’s economic development office in Hamilton creating approximately 670 new jobs reports that 25% of the current inquires and consolidating several plants across Canada. It is to be one of the largest and most technologically- they receive are from the food industry.” advanced facilities in Canada.12 The launch of both Canada Bread, a subsidiary of Maple Leaf Foods, and the Maple Leaf meat processing facility are part of the company’s “value creation” strategy based on increasing the scale of production and reducing its workforce through new technologies. This translates to Advanced Manufacturing employment opportunities in Hamilton.13 Prior to these significant developments, records show that there were more than a dozen food manufacturers locally employing about 4,000 workers. Many such as Bunge, Parrish and Heimbecker, Cadbury and Adams have recently expanded. The city’s economic development office reports that 25 percent of the current inquiries they receive are from the food industry.14
Life Sciences
BioTalent Canada defines the bio-economy as the research, development, manufacturing and commercialization of technologies, products and services derived from life sciences including Human Health, Agriculture, Food Processing, Natural Resources, Environment, Forestry, Nanobiotechnology, Genomics, Aquaculture, Bioinformatics, Bioenergy, Life Sciences, Biosciences, Pharmaceuticals, and Medical Devices.15 Vantage Greater Toronto (Spring-Summer 2011) cited “key among Ontario’s bioscience strengths are a pipeline of high value, early stage intellectual property and start-up opportunities. In addition, Ontario boasts a strong academic research base with significant investment in intellectual-property generation and research training.”16
9 The Best of Times, The Worst of Times, Steve Arnold, Hamilton Spectator, December 31 2011 10 http://news.ontario.ca/omafra/en/2011/07/potato-operation-expanding-into-flamborough.html and www.investinhamilton.ca 11 Canada Bread on cusp of hiring spree, Hamilton Spectator, February 18, 2011 12 $390m Maple Leaf Plant brings 670 new jobs to Mountain, Emma Reilly, Hamilton Spectator, Oct 20 2011 13 Bring on the meat and bread, Lisa Grace Marr, Hamilton Spectator, October 20, 2011 14 Ibid. 15 http://www.biotalent.ca/default_e.asp?id=11 16 Gail Garland, Ontario’s Bioscience Industry – Translating Strategy Into Action, Vantage Greater Toronto, Spring-Summer 2011, p. 27
10
One of the most important aspects of business growth and job creation is the ability to turn innovative research into commercial products and services. This is the objective of the McMaster Innovation Park, a facility that encourages collaboration between researchers and entrepreneurs. One example of research leading to commercial success is VitaSound Audio, a company that produces a variety of hearing products, and has its roots in a McMaster University neurosciences research project. In September, McMaster University introduced its newly expanded Nuclear Research Building, a new cyclotron facility and improvements to the McMaster Nuclear Reactor (MNR) Building: facilities. Extensive renovations and upgrades include the establishment of the Centre for Probe Development and Commercialization promoting research, development and commercialization of new molecular imaging tools for disease treatment and diagnosis. To better understand the progress of Hamilton’s Bioscience sector, we can look at the number of business establishments working in industries related to bioscience. In 2006, the U.S. based National Biotechnology Advisory Committee identified BioScience industries in terms of North American Industry Classification System (NAICS): 111
Agricultural Biotechnology
311
Food Manufacturing
325
Industrial Biotechnology and Pharmaceutical Manufacturing
334
Medical Devices
339
Medical Equipment and Supplies
541
Research Services
The National Biotechnology Advisory Committee took a very specific look at the industry via the six-digit NAIC taxonomy, but an analysis at the broader 3-digit level will showcase some trends in our region. It’s important to note that other industries are included within these large categories. For our analysis, we’ve also included industries directly related to health services.
BioScience Related Industries 111 Agricultural Biotechnology 311 Food Manufacturing 325 Industrial Biotechnology and Pharmaceutical Manufacturing 334 Medical Devices 339 Medical Equipment & Supplies 541 Research Services 621 Ambulatory Health Care Services 622 Hospitals 623 Nursing and Residential Care Facilities
11
Total Employers Dec. 2008 240 87
Total Employers June 2011 229 76
45 24 130 3,336 1,272 12 122
Absolute Change
Percent Change
- 11 - 11
- 4.58 - 12.64
50
5
11.11
28 133 3,262 1,458 13 184
4 3 -74 186 1 62
16.67 2.31 - 2.2 14.62 8.33 50.82
To get another perspective, we can examine the concentration of these industries in Hamilton as compared with the province of Ontario as a whole.
BioScience Related Industries 111 Agricultural Biotechnology 311 Food Manufacturing 325 Industrial Biotechnology and Pharmaceutical Manufacturing 334 Medical Devices Manufacturing 339 Medical Equipment & Supplies Manufacturing 541 Research Services 621 Ambulatory Health Care Services 622 Hospitals 623 Nursing and Residential Care Facilities
229
Percent of Total Enterprises in Hamilton 0.83
76
11,537
Percent of Total Enterprises in Ontario 1.29
0.28
2,560
0.29
50
0.18
1.221
0.14
28
0.10
1,417
0.16
133
0.48
3,666
0.41
3,262 1,458
11.83 5.29
134,364 36,327
15.04 4.07
13 184
0.05 0.67
323 4,272
0.04 0.48
Total No. of Enterprises in Hamilton
Total No. of Enterprises in Ontario
A new occupation “Pharmers” has been identified as one of the top five careers in 2020. These bioscience professionals are responsible for developing new foods that are both safe and therapeutic, helping to protect you from disease.17
“One of the most important aspects of business growth and job creation is the ability to turn innovative research into commercial products and services.”
17 Nick Bontis, Top Five Careers in 2020, Hamilton Spectator, November 26, 2010
12
Clean Technology
Clean electricity technologies are typically defined as energy derived from wind, solar and geothermal sources. In Ontario, the wind and solar industries have been kick-started by incentives that support a domestic industry. There are currently no active geothermal projects in Canada.18 “The Future of the Green Economy: Grand Erie, Hamilton and Niagara”, a report published in February 2011 and compiled by three regional local boards including Workforce Planning Hamilton (WPH), defined companies impacted by the clean tech industry as those who “design develop or manufacture products or services which reduce negative environmental impacts”. A full copy of the report is available on the Workforce Planning Hamilton website, www.workforceplanninghamilton.ca. A City of Hamilton study showed that the region does not get enough strong wind to make the technology economically viable. However, as recently as last summer, Samsung was in talks with Six Nations to develop a 55-turbine wind farm on Crown land near Dunnville and the province approved the construction of a five-turbine farm in Smithville, southeast of Hamilton.19 Hamilton council recently passed a motion calling for a moratorium on wind energy development until further studies are conducted into potential health effects from wind turbines.20 Capitalizing on Ontario’s Green Energy Act which provides competitive prices for solar-generated power as long as some of the hardware is manufactured in the province, several companies have announced plans to manufacturing solar technology in the region including Canadian Solar in Guelph and Salcon in Burlington. In Hamilton, the city has approved a pilot project to test solar panels on ten city-owned buildings. Energy derived from wind currently generates 2 percent of consumption while solar energy produces 1 percent. Bioenergy is another source of energy that has seen activity locally. Producing less than one percent of national consumption, bioenergy is created when biogas is harvested from decomposing plant and animal waste and burned in an engine. The gas can be trapped either above ground, in the case of sewage emissions, or in wells below the surface, in the case of landfills. It is much cleaner to burn biogas than fossil fuels, such as coal or natural gas and, unlike solar or wind power; bioenergy can be harvested just about anywhere using local materials. Like solar and wind power, the province has committed to expanding bioenergy as part of its green energy initiative. Locally, Hamilton Renewable Power is considering a second engine at its Woodward plant, an addition that could potentially double the site’s output.21 The current facility consists of one generating unit with a rated capacity of 1,600 kilowatts. The digester gas is a by-product of the wastewater treatment process at Hamilton’s Woodward Avenue wastewater treatment facility.22
“In Hamilton, the city has approved a pilot project to test solar panels on ten city-owned buildings. Energy derived from wind currently generates 2 percent of consumption while solar energy produces 1 percent.”
A number of studies have been conducted examining the impact of renewable energy on job creation. Employment opportunities are generally cited in 1. Planning, Engineering and Design; 2. Installation; and 3. Operations and Maintenance. The impact on job creation and employment, however, is often found in expanded knowledge and skill requirements within existing occupations rather than the creation of new occupations. 18 Richard Blackwell, Clean Tech Poised for Breakthrough Year, Globe and Mail, January 1, 2011 19 Teri Pecoskie, Comparing our Energy Sources, Hamilton Spectator, March 18, 2011 20 Chris Forrest, Wind Energy Safe, Cleaner and Jobs, Hamilton Spectator, Oct 23, 2011 21 Teri Pecoskie, Comparing our Energy Sources, Hamilton Spectator, March 18, 2011 22 Hamilton (Digester Gas) Co-generation Plant (1.6 MW) Hamilton, (2006) Ontario Power Generation, http://www.powerauthority.on.ca/bio-energy/hamilton-digester-gas-cogeneration-plant-16-mw-hamilton
13
Creative Industries
The importance of Creative Industries as an economic driver in the area was most recently demonstrated by the shift of responsibility for Hamilton’s Arts and Culture department from Community Services to the city’s Economic Development and Planning division. The department, which includes museums, public art installations, heritage, festivals and other special events is increasingly viewed as a tool to attract businesses and build Hamilton’s employment base.23 Creative Industries – Creative Skills, a study completed by Workforce Planning Hamilton in partnership with Hamilton Economic Development and Real Estate was released March 2011, and defines the creative cluster as “those industries that focus on creating and leveraging value from the intellectual property products such as music, books, film and games, or providing business-to-business creative services including design, architecture, advertising, public relations, broadcasting, printing, computer programming, publishing, multimedia, audio-vision, photographic digital media as well as crafts. This sector also includes festivals, visuals and performing areas. The study differentiates between Creative Industries and the broader term Creative Class made popular by Richard Florida’s groundbreaking work, Rise of the Creative Class (2002). Florida examines labour markets by classes defined as Working, Service and Creative. The WPH study notes that, “According to this framework, creative professionals are classic knowledge-based workers who draw on complex bodies of knowledge to solve specific problems, using high degrees of education to do so. Creative industries, on the other hand, focus on occupations and industries that are creative in nature and often require more artistic abilities than education based knowledge. This is not to say that occupations in the creative industries do not require high levels of education. However, as many employers have indicated, creativity is an innate ability that cannot be taught. All other skills needed to maintain a business can be learned in time. The creative industries and occupations examined in this report emphasize the importance of creativity and artistry as a way of meaningful employment in our local economy.”24 The key sectors within Hamilton’s Creative Industries include: •• •• •• •• •• •• ••
Publishing Industries (Except Internet) Motion Picture and Sound Recording Industries Broadcasting (Except Internet) Other Information Services Professional, Scientific and Technical Services Performing Arts, Spectator Sports and Related Industries Heritage Institutions25
“The Creative Industries are a tool to attract businesses and build Hamilton’s employment base.”
23 Hamilton Arts and Culture Department to be run by Economic Development, Emma Reilly, Hamilton Spectator, December 29, 2011 24 Ibid, p. 6 25 Creative Industries – Creative Skills, Hamilton Training Advisory Board, March 2011, p. 4
14
We can utilize Canadian Business Pattern Data to take a closer look at these Creative Industries. Creative Industries 511 – Publishing Industries (Except Internet) 512 – Motion Picture and Sound Recording Industries 515 – Broadcasting (Except Internet) 519 – Other Information Services 541 – Professional, Scientific and Technical Services 711 – Performing Arts, Spectator, and Related Industries 712 – Heritage Institutions Total
Total Employers Dec. 2008 62 102
Total Employers June 2011 62 116
11 27 3,336
Source: Canadian Business Pattern Data, June 2011
Absolute Change
Percent Change
0 14
0.00 13.73
12 28 3,262
1 1 - 74
9.09 3.70 - 2.22
208
227
19
9.13
11 3,757
10 3,717
-1 - 40
- 9.09 - 1.06
To get another perspective, we can compare the concentration of these industries locally with Ontario as a whole.
Creative Industries 511 – Publishing Industries (Except Internet) 512 – Motion Picture and Sound Recording Industries 515 – Broadcasting 519 – Other Information Services 541 – Professional, Scientific and Technical Services 711 – Performing Arts, Spectator and Related Industries 712 – Heritage Institutions
15
62
Percent of Total Enterprises in Hamilton 0.22
116
3,177
Percent of Total Enterprises in Ontario 0.36
0.42
7,192
0.81
12 28 3,262
0.04 0.10 11.83
626 989 134,364
0.07 0.11 15.04
227
0.82
8,240
0.92
10
0.04
402
0.05
Total No. of Enterprises in Hamilton
Total No. of Enterprises in Ontario
It is also interesting to note the predominance of small to medium-sized businesses in the Creative Industries with less than 100 employees as well as the percentage of small businesses in the sectors with less than five employees. No. of Business Establishments Employing Less than 100
Total Number of Business Establishments
SMEs as a % of the Local Economy
62
62
100.0%
116
116
100.0%
515 Broadcasting (Except Internet)
11
12
91.7%
519 Other Information Services
27
28
96.4%
3,257
3,262
99.8%
226
227
99.6%
10
10
100.0%
Creative Industries 511 Publishing Industries (Except Internet) 512 Motion Picture and Sound Recording Industries
541 Professional, Scientific and Technical Services 711 Performing Arts, Spectator Sports and Related Industries 712 Heritage Institutions
Source: Canadian Business Pattern Data, Statistics Canada, June 2011
No. of Companies with Less than Five employees
Total Number of Business Establishments
Percentage of Companies with Less than Five Employees
48
62
77.4%
105
116
90.5%
515 Broadcasting (Except Internet)
5
12
41.7%
519 Other Information Services
13
28
46.4%
3,262
90.2%
227
92.1%
Creative Industries 511 Publishing Industries (Except Internet) 512 Motion Picture and Sound Recording Industries
541 Professional, Scientific and 2,943 Technical Services 711 Performing Arts, Spectator Sports 209 and Related Industries 712 Heritage Institutions
5
10
50.0%
Total
3,328
3,717
89.5%
Source: Canadian Business Pattern Data, Statistics Canada, June 2011
16
Goods Movement
The Hamilton Economic Development Office highlights Hamilton’s geographic location and strategic partnerships between air, port, trucking and rail as contributors to making the City a leading North American gateway for goods movement. Currently the John C. Munro Hamilton International Airport is the country’s largest intermodal cargo airport. While passenger flights are expected to double in the next 20 years, air cargo volumes are projected to triple in growth over the same time period and create more jobs than passenger flights.26 Recommendations made in a 2009 study completed by the McMaster Institute for Transportation and Logistics (MITL), were the catalyst leading to the formation of TransHub Ontario in March 2011. This membership-based economic development corporation has been established to promote Hamilton, Burlington and Niagara and Southern Ontario as a hub for the movement of goods, leveraging the area’s proximity to port, rail lines, airport and major highways. The 2009 MITL study projected that a fully-developed Hamilton-Niagara hub could boost regional Gross Domestic Product (GDP) by $4.8 billion by 2031, create industry “clusters”, attract skilled workers and create a more prosperous and sustainable community. Job projections are for 35,000 direct and 24,500 indirect jobs as the gateway is fully developed.”27 Most recently, courier Purolator Inc. undertook a significant expansion of the aircraft parking area surrounding its airport cargo centre, seen as a move to expand the company’s business moving cargo to and from the United States. The Hamilton Port Authority also saw growth in 2011 when, in addition to the Richardson-International expansion, Parrish and Heimbecker constructed two nine-storey grain storage facilities.28 Using Canadian Business Pattern data, we can get a perspective on the current status of growth in the Goods Movement sector as well as the concentration of activity as compared to Ontario. Goods Movement Industries 481 – Air Transportation 482 – Rail Transportation 483 – Water Transportation 484 – Truck Transportation 485 – Transit and Ground Passenger Transportation 486 – Pipeline Transportation 487 – Scenic/Sightseeing Transportation 488 – Support Activities for Transportation 491 – Postal Service 492 – Couriers and Messengers 493 – Warehousing and Storage Total
Source: Canadian Business Pattern Data, June 2011
Total Employers Dec. 2008 14 1 3 1,122 240
Total Employers June 2011 11 0 2 1,024 286
3 4 171 6 143 66 1,773
3 3 170 4 119 56 1,678
Absolute Change
Percent Change
-3 -1 -1 - 98 46
- 21.43 - 100.00 - 33.33 - 8.73 19.17
0 1 -1 -2 - 24 - 10 - 95
0.00 - 25.00 - 0.58 - 33.33 - 16.78 - 15.15 - 5.36
26 Think Gateway, think hub, think cargo, Richard Koroscil, Hamilton Spectator, June 14, 2011 27 http://www.transhub.ca/the-research/summary/ 28 The Best of Times – the Worst of Times, Steve Arnold, Hamilton Spectator, December 31 2011
17
Goods Movement Industries 481 – Air Transportation 482 – Rail Transportation 483 – Water Transportation 484 – Truck Transportation 485 – Transit and Ground Passenger Transportation 486 – Pipeline Transportation 487 – Scenic and Sightseeing Transportation 488 – Support Activities for Transportation 491 – Postal Service 492 – Couriers and Messengers 493 – Warehousing and Storage
Source: Canadian Business Pattern Data, June 2011
11 0 2 1,024 286
Percent of Total Enterprises in Hamilton 0.04 0.00 0.01 3.71 1.04
3 3
465 62 80 28,157 8,169
Percent of Total Enterprises in Ontario 0.05 0.01 0.01 3.15 0.91
0.01 0.01
47 159
0.01 0.02
170
0.62
5,874
0.66
4 119 56
0.01 0.43 0.20
211 3,388 1,534
0.02 0.38 0.17
Total No. of Enterprises in Hamilton
Total No. of Enterprises in Ontario
“The Hamilton Economic Development Office highlights Hamilton’s geographic location and strategic partnerships between air, port, trucking and rail as contributors to making the City a leading North American gateway for goods movement.”
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WORKFORCE HIGHLIGHTS
In this section we will highlight ongoing and emerging workforce sector issues. These are mainly identified through our work in the community and in consultation with employment and service provider groups since there is little new statistical data to draw on.
Immigrants
Service providers note that immigrants continue to have challenges to accessing Hamilton’s labour market. Numbers of immigrants arriving and staying in our community have dropped off. Anecdotally we hear that immigrants are leaving Hamilton to seek employment in the west or in other communities where it is perceived that there are greater job opportunities. In 2011, WPH acquired data from Citizenship and Immigration Canada for our Winning Strategies for Immigrant Entrepreneurship project that provided more recent data and a profile of recent immigrants to Hamilton. Here are the highlights from this profile: ••
The number of immigrants arriving in Hamilton has increased from a low of 2890 in 2008 to 3175 in 2010. Earlier in this decade we were regularly receiving over 4000 immigrants a year.
••
Close to 30% of recent immigrants are refugees while 25% are economic class immigrants and their families.
••
Just over half of new arrivals intend to work. This loosely corresponds to the percentage of entrants in prime working age (considered to be between the ages of 25-54).
••
Slightly less than 30% of those arriving have a university degree. Another 12% have a non-university or trades certificate.
••
Nearly 70% can speak English.
Top 10 Occupations of Immigrants Intending to Work, 2006-10 Average (%) 4122 - Post-Secondary Teaching and Research Assistants 6474 - Babysitters, Nannies and Parent's Helpers 4121 - University Professors 3111 - Specialist Physicians 4131 - College and Other Vocational Instructors 3152 - Registered Nurses 0611 - Sales, Marketing and Advertising Managers 1111 - Financial Auditors and Accountants 2133 - Electrical and Electronics Engineers 3112 - General Practitioners and Family Physicians 0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
Percent Share
CIC Custom Data 19
In our consultation with service providers they noted the prevalence of health care sector occupations and suggested the need to do further research on the health care sector with a view to understanding how immigrant skills could be better utilized in this sector. Service providers have also noted the challenge of addressing the demand for Canadian experience as a persistent problem. Apart from the demand being used as an exclusionary or discriminatory mechanism, it needs further attention in addressing the skills needed to succeed in the Canadian job market. It was suggested that employment training and support services need to give more attention to imparting the “soft skills”. Concerns about migrant workers were also raised and further research was suggested.
Displaced and Older Workers
Menial No More, a discussion paper on advancing our Workforce through digital skills,29 notes the challenges that increasing skill requirements creates. The fundamental shift in our labour market has created two challenges regarding job skills demand and job skills supply. Skills-biased technological change has fundamentally altered our labour market to favour skilled workers over those who are perceived as unskilled. This new and evolving reality creates particular challenges for workers displaced from the manufacturing sector. Service providers in Hamilton expressed considerable concern about the labour market outcomes for older, displaced manufacturing employees. As last year’s labour market plan noted there has been a steady increase in the proportion of people employed in manufacturing aged 45 years and older. At the same time we are seeing significant job loss in this sector. Past research has shown that workers in the manufacturing sector are less likely to have a high school diploma than the workforce as a whole. Although education levels are improving, in 2006 one in five workers did not have a high school diploma. Anecdotally we hear that some manufacturing workers displaced in the recent downturn have found employment in lower paying contract or service sector jobs. We are also hearing that there is an increase of workers applying for Ontario Works. Workers in this category, low-skilled with a long tenure in manufacturing, are used to learning on the job and have very limited and in most cases, no computer skills. There is limited access to programs that support this particular learning need.
Youth
Canadians under 25 lost just over half of all the jobs that evaporated between October 2008 and July 2009.30While the unemployment rate for youth edged downwards we continue to see youth unemployment at a rate that is double the workforce as a whole. The Conference Board of Canada urges youth to train and notes that post recession employment for youth ages 15 – 24 with post secondary education has recovered to pre-recession levels.31Consultations undertaken through our youth research show that a post secondary education does not guarantee a job. Employment service providers report that youth with post secondary credentials are showing up for job search assistance in increasing numbers.
29 30 31
Ontario Literacy Coalition. Menial No More. October 2011. Yalnizyan, Armine. Who’s a bigger drag on Canada’s future? The old or the young? Canadian Centre for Policy Alternatives. Adès, Julie. Today’s High Youth Unemployment: A solution for skill shortages? Conference Board of Canada. February 29, 2012
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2011 LABOUR MARKET ACTION PLAN UPDATE The 2011 Labour Market Plan continued to work on four key priorities:
Priority 1: Assessing and understanding the impact of the City of Hamilton’s Business Development Strategy Priority 2: Increasing skills requirement and greater technical skills are required for many occupations Priority 3: Retaining and attracting youth with higher skills to Hamilton Priority 4: Immigrant skills integration Below you will find an update on these priorities identifying community work completed or underway. Where a report is available on the Workforce Planning Hamilton website an asterisk appears next to the project name. Go to www.workforceplanninghamilton.ca.
KEY PRIORITY #1
UNDERSTANDING HAMILTON’S BUSINESS DEVELOPMENT STRATEGY Activities related to this priority seek to address the lack of community knowledge about the key clusters indentified in the City of Hamilton’s Business Development Strategy and how they may impact future career opportunities. ACTION 11-01-1 GOODS MOVEMENT LABOUR MARKET RESEARCH* This project profiled the goods movement – supply chain sector in Hamilton highlighting employer skills requirements and future demand. A survey to employers and consultation with key informants yielded the following recommendations: 1. Increase the promotion of traditional goods movement careers
Many employers, specifically in marine and rail, report difficulty with recruiting workers largely due to the unglamorous image associated with the nature of work in these sectors. Increased promotion of traditional goods movement careers would serve to educate young and displaced workers.
2. Create mentorship opportunities for senior management to connect with new entrants and youth
Interviews with key professionals in the supply chain and logistics industry identified the need for senior management to connect and share their knowledge of the industry with younger workers. Mentorship would provide the supply chain and logistics workforce with the opportunity to share firsthand knowledge of the industry. Open discussions around best practices, lessons learned, education, and the skills needed to work and excel in the supply chain and logistics industry would benefit the entire workforce.
3. Engage local school boards about Specialist High Skills Major with a focus on supply chain and logistics careers
Specialist High Skills Majors allows high school students to customize their education to fit their career interests. As the local and global economy shifts towards increased logistical and supply chain operations it is imperative that youth are prepared for careers in this field. The Specialist High Skills Major would help increase awareness of the opportunities available in this emerging and expansive industry among youth in Hamilton.
4. Pursue public transit authorities to accommodate the lack of transportation for workers in the air transportation sector
The John C. Munro Hamilton International Airport is positioned on the southern fringes of the city and most freight and cargo companies operate outside of normal business hours. Interviews with local employers indicated the need for increased public transit routes and hours of operation to assist workers in this sector commute to and from work.
21
KEY PRIORITY #2
INCREASING AND EVOLVING SKILLS REQUIREMENTS – SKILLS ALIGNMENT Across many sectors the use of technology is increasing in many workplaces that traditionally relied on labour- or production-based skills. Furthermore workers who have been displaced in the 2008-09 down-turn in the economy do not necessarily have skills competitive in the current labour market. ACTION 11-02-1 SKILLS ASSESSMENT AND CONSULTATION WITH MANUFACTURING SECTOR* This research focused on the manufacturing sector. Five manufacturing subsectors were identified as key in Hamilton’s economy including: •• Food manufacturing •• Primary metal •• Fabricated metal •• Machinery •• Transportation equipment Labour market information profiles for each of these sectors were developed. This information was enhanced by in depth interviews with key informants from these subsectors. Based on these interviews here are some of key findings: •• Employers who employ industrial trades occupations have significant difficulty in attracting and retaining these trades; •• Individuals with advanced IT skills are also challenging for employers to find; •• Automation in workplaces is eliminating jobs. Employers note, however, that they have little difficulty in training long term employees to use the new technology; •• Based on our sample there are still jobs available that require no high school diploma, however, these jobs are not particularly well paid; •• Most employers noted that they provide skills update and training in their workplaces. •• Employers were most interested in meeting and sharing recruitment and workforce challenges and an employer forum for manufacturing employers will be developed. See 2012 – 13 Action Plan. ACTION 11-02-03 LABOUR MARKET TRANSITIONS IN THE MANUFACTURING SECTOR Looking at the manufacturing sector from the supply side it was proposed that the labour market transitions for workers displaced from the manufacturing sector be researched. Informal discussions have occurred suggesting that data would be difficult to obtain until the latest census information from Statistics Canada becomes available. Anecdotally we know that these workers continue to have difficulty based on service provider reports. See Workforce Updates above for greater details. ACTION 11-02-04 SKILLS ASSESSMENT AND CONSULTATION WITH HEALTHCARE SECTOR As noted in last year’s report, an aging workforce; a growing and aging population; increased demand for services; and tightening budgets and skills challenges will continue to be a problem in the healthcare sector. The need for this research continues and will be considered in this year’s plan. 22
KEY PRIORITY # 3
YOUTH ATTRACTION, RETENTION AND INTEGRATION Hamilton struggles to attract and retain skilled youth for our labour market. Furthermore there are youth who struggle to attain and sustain employment due to low skills and other issues. ACTION 11-03-1 YOUTH ATTRACTION AND RETENTION STRATEGY* This project provided in depth research on youth projects and initiatives in Hamilton. Key stakeholders were engaged to develop a six month action plan that would secure funding for longer term work in this area. Key community issues for youth identified in the report and confirmed by key stakeholders: Overall •• Absence of strategic vision towards youth ••
Absence of coordinated efforts working towards a specific vision
Attraction •• Absence of coordinated marketing strategy working towards youth attraction ••
Absence of specific demographic information integral to driving such a strategy
Retention •• Perception that Hamilton offers little in quality employment and careers ••
Transplant students do not develop a positive relationship with the city while here
Engagement •• Absence of effective communication of engagement opportunities and reasons why/incentives to be engaged Development •• Absence of career assistance for skilled youth ••
Absence of a broad developmental vision, a continuum guiding youth from at-risk to young professional
This work continues in 2012-13 with the support of key stakeholders identified through our engagement and consultation process.
23
KEY PRIORITY # 4
IMMIGRANT SKILLS INTEGRATION The challenges and barriers experienced by recent immigrants are well documented and continue both in Hamilton and in other communities – credential recognition, accreditation, language skills, and lack of Canadian experience cover the main challenges. The Hamilton Immigration Partnership Council (HIPC) has developed a strategic vision and action plan that deals with immigrant employment and other settlement issues. In 2012 HIPC established working groups to support their plan. WPH chairs the Immigrant Employment Working Group and they advised on the development of the attraction and retention tool as well as taking a close look at employment services. ACTION 11-04-1 IMMIGRANT ATTRACTION AND RETENTION RESOURCE* Using landing data from Citizenship and Immigration Canada WPH examined the alignment of immigrant skills relative to the skills and occupations associated with the City’s Business Development Strategy and other key sectors to determine the sectors offering the greatest promise for newcomers to Hamilton. Based on this research a user-friendly guide to Hamilton’s labour market was developed that is targeted at recent immigrants or those considering immigration to Hamilton. It includes: •• information on Hamilton’s assets, •• a profile of the local economy, •• labour market services and supports •• tips and advice on conducting a job search. As always, it must be noted that Hamilton has a very active and innovative employment and training sector. Some labour market/workforce development work may have been overlooked in the results outlined above. ACTION – UNRECORDED WISE 5 – WINNING STRATEGIES FOR IMMIGRANT EMPLOYMENT* Working with Workforce Planning Boards from Windsor, London, Waterloo Wellington Dufferin and Niagara, WPH lead a project that examined the experience of immigrant entrepreneurs across these five regions. Over 100 interviews were conducted with key stakeholders including over 60 immigrant entrepreneurs. In addition to a report on the findings, a community guide was developed offering advice to communities across Ontario. This guide was distributed to all the Small Business Centre in Ontario. As well, local community guides to entrepreneur supports were developed for all five communities. Five videos were also developed that were used at local launch events. For more information please refer to www.wise5.ca. Key recommendations found in the Final Report are grouped into six theme areas: 1. Offering a range of supports to accommodate different needs and readiness for business start-up 2. Ensuring accessibility to services 3. Promoting existing services 4. Improving access to finance 5. Creating opportunities for networking and professional development 6. Developing entrepreneur-friendly policies
24
2012 LABOUR MARKET PLAN FOR HAMILTON
In the following pages we once again present an action plan for community labour market priorities. This work plan will be explored in the coming month to determine the community appetite for actions in these areas. Consultation with key stakeholders will provide better definition and shape to projects. The key priorities have remained the same for 2012 with new actions identified for each priority.
KEY PRIORITY #1
UNDERSTANDING HAMILTON’S BUSINESS DEVELOPMENT STRATEGY Workforce Planning Hamilton continues to work with the City of Hamilton to promote a better understanding of the key clusters identified in the City of Hamilton’s Business Development Strategy. The strategy approved in June 2010 by Hamilton City Council identifies the following clusters as the priority areas for retention and attraction: ► Advanced Manufacturing ► Agriculture and Agri-business ► Clean-Technology (Green economy) ► Creative Industries ► Goods Movement ► Life sciences As we have for the last two years, WPH continues to develop labour market profiles using census and other data including employer surveys/interviews identifying key sectors and skills requirements that assist job seekers and those in career transition to make informed choices as they explore future employment opportunities in Hamilton.
MAK E IT M OVE IT SH IP IT
In 2011, WPH partnered with the City’s Economic Development Department to develop labour market profiles for two clusters, Goods Movement and Manufacturing. In 2012, WPH is developing in-depth profiles of Life Sciences and Agriculture and Agri-Business clusters. These profiles will finalize this cycle of work. Caree
rs in and S the Goods upply M Chain ovement Secto & Logistic s r in H amilto n
Januar
y 2012
25
ACTION 12-01-01 SPOTLIGHT ON MANUFACTURING: A FORUM FOR EMPLOYERS
Priority Issue
In 2011-12 WPH completed research on the manufacturing sector identifying key labour market challenges and skills requirements. In the course of our interviews employers identified the value of coming together as a sector to discuss and share workforce challenges.
Past Action
Spotlight on Manufacturing report highlighting the evolving labour market needs of the manufacturing sector in Hamilton.
Proposed Action
Using census, other data and employer surveys this project will profile manufacturing in Hamilton highlighting employer skills requirements and future demand.
Proposed Partners
Workforce Planning Hamilton Hamilton Skilled Trades Advisory Committee Mohawk College
Timelines
To be completed by July 2012
Expected Outcomes
•• •• •• •• ••
Opportunity to network with peers Highlights of Spotlight report Presentation on working with a multi-gen workplace Round-table discussions on topics of critical concern to manufacturing employers Employers will be more aware of community supports
“One of the most important aspects of business growth and job creation is the ability to turn innovative research into commercial products and services.”
26
ACTION 12-01-02 LIFE SCIENCES LABOUR MARKET PROFILE FOR HAMILTON
Priority Issue
This project will profile the life sciences in Hamilton highlighting employer skills requirements and future demand. Life Sciences previously identified as Biotechnology is the research, development, manufacturing and commercialization of technologies, products and services derived from life sciences. It builds on Hamilton’s strong health care sector and university research capacity. It requires highly skilled and educated workers, and represents the growth of the knowledge economy in Hamilton. Employment counsellors and job seekers need greater awareness of this sector and the opportunities it presents. In conjunction with this work, WPH will also look at challenges and opportunities in the health care sector itself. LLMI shows that this area is growing but at the same time has an older than average workforce.
27
Past Action
Nothing to date
Proposed Action
This action will have two streams. Using census, other data and employer surveys this project will profile the Life Sciences cluster in Hamilton highlighting employer skills requirements and future demand. As many of these occupations overlap with the healthcare sector, this research project will also explore the skills shortages in health care more broadly and, as identified in our section on immigrants, specifically look at the work of healthcare institutions and businesses in integrating immigrants into their workforce.
Proposed Partners
Workforce Planning Hamilton City of Hamilton – Economic Development Healthcare Employers
Timelines
To be completed by Fall 2012
Expected Outcomes
A report that documents : •• Occupational profiles •• Skills requirements •• Recruitment challenges •• Career path opportunities •• Future demand
ACTION 12-01-03 AGRICULTURE & AGRIBUSINESS LABOUR MARKET PROFILE FOR HAMILTON
Priority Issue
Agri-business presents a significant job creation opportunity in Hamilton. As noted earlier, 25% of business development inquiries to the City’s Economic Development department relate to agribusiness sector. The newly opened Canada Bread plant and Maple Leaf meat processing plant will add substantially to employment in this sector. Interviews with employers have highlighted the increasing skills requirements in these new operations. Employment counsellors and job seekers need greater awareness of this sector and the opportunities it presents.
Past Action
A small number of Food and Beverage Manufacturing employers were contacted in the course our Manufacturing research project. This project will explore their needs in greater depth as well as looking at the agri-business sector broadly.
Proposed Action
Using census, other data and employer surveys this project will profile the Agriculture and Agribusiness cluster in Hamilton highlighting employer skills requirements and future demand.
Proposed Partners
Workforce Planning Hamilton City of Hamilton – Economic Development Others TBD
Timelines
To be completed by Winter 2013
Expected Outcomes
A report that documents : •• Occupational profiles •• Skills requirements •• Recruitment challenges •• Career path opportunities •• Future demand
“25% of business development inquiries to the City’s Economic Development department relate to agribusiness sector.”
28
KEY PRIORITY #2
INCREASING AND EVOLVING SKILLS REQUIREMENTS – SKILLS ALIGNMENT The use of technology and the skills and knowledge required to work in this environment is increasing in many workplaces across all sectors. We continue to hear about the disconnect between skills of workers who have been displaced through plant closures and lay-offs throughout the recession but lacking basic computer skills required by so many workplaces across all sectors. Many of these workers would be classed as mature workers. ACTION 11-02-03 SUPPORTING SKILLS ACQUISTION FOR MATURE WORKERS
Priority Issue
As noted earlier in this report, mature workers, especially those displaced from manufacturing, often lack computer skills to meet employer demands in the current labour market.
Past Action
There have been some specialized programming offered in the past to support displaced manufacturing workers, e.g. Project New Skills. Because this was a pilot project, it had limited impact.
Proposed Action
Partners will research and explore effective models for service delivery to this client group. In particular the Employment Track Express program piloted in 2008 will be reviewed. Through this program custom computer training curriculum was developed for laid off workers. Learnings from the New Skills project will also be reviewed. The goal will be to explore the feasibility of offering training that will assist these workers.
Proposed Partners
Workforce Planning Hamilton Adult Basic Education Association Mohawk College EO Service Providers Literacy providers
Timelines
TBD
Expected Outcomes
A program will be identified, promoted and delivered that meets the needs of mature workers requiring skills enhancement for re-employment.
“As last year’s labour market plan noted there has been a steady increase in the proportion of people employed in manufacturing aged 45 years and older.” 29
KEY PRIORITY # 3
YOUTH ATTRACTION, RETENTION AND INTEGRATION To meet future skills requirements and fuel our local labour force Hamilton needs to attract and retain skilled youth. The Youth Strategy Report (WPH released 2012) identified issues related to attraction, retention, development and engagement of youth. ACTION 12-03-1 YOUTH STRATEGY FOR HAMILTON: DEVELOPMENT & ENGAGEMENT
Priority Issue
Two priority issues identified in the 2012 research and consultation were: •• The need to create opportunities for greater opportunities for youth serving initiatives to connect and collaborate creating pathways to youth services for youth. •• To learn more about how to connect with youth and promote Hamilton as a place to live, learn, work and play.
Past Action
Youth Strategy Report (WPH released 2012) identified issues related to attraction, retention, development and engagement of youth. It identified a six month plan for further development.
Proposed Action
Key stakeholders will continue to meet to guide the strategy. An application for Trillium funds will be made to hire a youth coordinator to focus on the engagement and development of youth and to support collaboration and coordination of services for youth across the system.
Proposed Partners
Workforce Planning Hamilton Community Centre for Media Arts HWDSB Mohawk College McMaster University Hamilton HIVE United Way
Timelines
July 2012 to June 2013
Expected Outcomes
Funding will be secured More collaborative work undertaken between youth serving initiatives Greater awareness and better perspective on youth needs A targeted outreach strategy that will support and connect programs and youth themselves Greater engagement of youth in services and community initiatives
30
KEY PRIORITY # 4
IMMIGRANT SKILLS INTEGRATION The challenges and barriers experienced by recent immigrants have been noted in previous labour market reports by WPH and others and include credential recognition, accreditation, language skills, and lack of Canadian experience. Broadly across the community there has been significant investment in programs and other initiatives to support and integrate recent immigrants into jobs in Hamilton. Hamilton’s Immigration Partnership Council (HIPC) has completed an Immigration Strategy for Hamilton. In 2011 HIPC formed a number of working groups including an Immigrant Employment Working Group. The Employment Working Group will continue to meet in 2012 – 13 and has developed a work plan and deliverables. The actions outlined below align with their work plan. ACTION 12-04-1 IMMIGRANT EMPLOYMENT RESOURCES
31
Priority Issue
Recent immigrants often lack awareness of the services that are available to support job search, credential recognition, employment, etc.
Past Action
In 2011 the Employment Working Group reviewed and developed a comprehensive inventory of services that support immigrant employment.
Proposed Action
Develop a marketing tool based on a series of one page scenarios describing various situations of newcomers in need of employment and outlining the services available to help them reach their specific goal Develop a strategy for dissemination of products and information including the scenarios.
Proposed Partners
Workforce Planning Hamilton in partnership with HIPC Employment Working Group
Timelines
Complete Fall 2012
Expected Outcomes
One page scenarios will be developed and tested with a newcomer audience Broad distribution of newcomer resources will occur both within formal and informal immigrant serving networks
ACTION 12-04-2 EMPLOYER OUTREACH RESOURCE
Priority Issue
On the other side of the coin, employers also need support in working to hire and integrate recent immigrants in their workforce.
Past Action
A comprehensive on-line employer toolkit was developed for use by Hamilton employers several years ago. Unfortunately due to funding changes this toolkit no longer exists.
Proposed Action
Research existing employer toolkits that support hiring and integrating internationally trained individuals. Develop and pilot an employer engagement strategy.
Proposed Partners
Workforce Planning Hamilton in partnership with HIPC Employment Working Group
Timelines
Winter 2013
Expected Outcomes
A toolkit or tools are identified that meet employers’ needs in an accessible format The toolkit is piloted with employers
CONCLUSION
Workforce Planning Hamilton urges our partners from across the community to review this plan carefully. It is critical to understand that the priorities presented here represent a response to the data available to us at the time that this report was prepared. There may be other priorities or issues that arise in the course of the year that may require our urgent attention and response. There may be other labour market issues or activities planned or undertaken by the community that should be included in this plan. WPH constantly monitors labours market activity and changes throughout the year as we prepare for partnerships and projects and in preparation for next year’s plan. Please check in with our website, www.workforceplanninghamilton.ca or sign up for our regular newsletter to track the progress on these actions. At all times, WPH welcomes your feedback on the contents of this report and other labour market issues, concerns and ideas. We have an ongoing interest in working with all labour market stakeholders to achieve a skilled and productive workforce for Hamilton.
32
Workforce Planning Hamilton
Business, Labour & Community: Planning for Prosperity Since 1997 Workforce Planning Hamilton has provided planning, partnerships and projects that highlight local labour market trends and support workforce development. 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.
Log on to WPH’s website at www.workforceplanninghamilton.ca and you will: Discover our community Projects and Partners that promote labour force development Learn about local labour market trends, opportunities, and priorities in our Publications. Connect to Links on training, employment, and labour market information.
117-77 James Street North Hamilton, Ontario, L8R 2K3 Telephone: 905- 521-5777 Fax: 905- 521-9309 Email: info@workforceplanninghamilton.ca Website: www.workforceplanninghamilton.ca
Workforce Planning Hamilton is funded by Employment Ontario