2013 Labour Market Plan

2013 Labour Market Plan

March 2013

2013 Labour Market Plan Prepared by: Judy Travis, Workforce Planning Hamilton Background Research: Sarah Hosick, Workforce Planning Hamilton

Acknowledgements Workforce Planning Hamilton would like to express thanks to our partners and other key stakeholders for their contributions and support of this report. The insight provided by these individuals and organizations enrich our understanding of Hamilton’s labour market dynamics. We would also like to thank our community partners for their collective and individual action in support of the priorities outlined in this plan.

This Employment Ontario project, program or service is funded by the Ontario government.

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 Employment Ontario.

A member of:

TABLE OF CONTENTS Executive Summary.......................................................................................................................................................1 Introduction.....................................................................................................................................................................2 Methodology...................................................................................................................................................................3 Part I: 2012 Local Labour Market Indicators.........................................................................................................4

Workforce Highlights..........................................................................................................................................7

Employment by Industry...................................................................................................................................10

Employment by Occupation............................................................................................................................11

Employers in Hamilton.......................................................................................................................................12

Top Sectors by Employers.................................................................................................................................13

Part II: Community Overview.....................................................................................................................................15 Cluster Updates...............................................................................................................................................................18 2012 Labour Market Plan Update.............................................................................................................................22 2013 Labour Market Plan for Hamilton..................................................................................................................26 Conclusion........................................................................................................................................................................34 Works Citied.....................................................................................................................................................................35

Executive Summary Workforce Planning Hamilton’s 2013 Labour Market Plan provides a comprehensive overview of local labour market developments in Hamilton since the release of our 2012 Labour Market Plan. Highlighting key industry sectors and workforce issues, this plan is an ongoing process for our community, keeping current with the changing labour market.

Data from Statistics Canada shows that Hamilton has a strong economic presence in Ontario. Ranked fifth in the province for population size, Hamilton is well on its way to recovery from the global economic downturn with one of the lowest unemployment rates of any Ontario cities. Workforce highlights on other key labour market groups such as youth workers, immigrants, and Ontario Works recipients also help complete the picture of Hamilton’s labour market dynamics.

Trade, manufacturing, and health care continue to account for the top industries of employment in Hamilton, while the most common occupations are those related to sales and service, and business, finance and administrative occupations. Employment and business trends are reflected in the City of Hamilton’s six key clusters for economic development. Outreach to key stakeholders in each cluster indicates a positive outlook for future employment prospects in Hamilton.

Key priorities for the 2013 Labour Market Plan continue to build on statistical evidence and local knowledge to ensure we have the proper strategies in place in order to continue to build a strong and resilient workforce.

I

INTRODUCTION Our mission: WPH is a workforce planning organization that is a catalyst for economic and labour market development, building solutions and engaging in multi-stakeholder alliances.

The local labour market is constantly evolving and adapting to economic conditions, opportunities and challenges. Workforce Planning Hamilton (formerly the Hamilton Training Advisory Board) monitors labour market activity for emerging trends or issues and provides the latest research on community workforce development. Through our involvement on committees, our Board, and our collaborative research projects, we actively engage organizations and community partners to gain primary knowledge concerning workforce trends and priorities unique to Hamilton.

WPH’s 2013 Labour Market Plan uses an evidence-based approach to document and prioritize Hamilton’s labour market challenges and opportunities. Using Census, Labour Force Survey, and Canadian Business Patterns data, as well as industry insight from local employers and community organizations, this report acts as an annual update to previous analyses and action plans. 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.

The 2013 Labour Market Plan is organized into four sections to provide a comprehensive overview of the current status of the local labour market, report on any progress of the 2012 labour market priorities, and establish the key actions for 2013.

1. Local Labour Market Indicators are used to highlight recent trends in Hamilton’s labour market.

2. Community and key cluster updates are reported to document any recent economic developments.

3. Progress in the past year on the 2012 labour market priorities is reported.

4. Priorities and action for 2013 are outlined, which were developed with guidance from our partners and members of the community.

Please note this plan is for our community. There is a need for collaborative action from all labour market stakeholders including education and training institutions, businesses, industry associations, labour and government. This is in order to ensure our current and future labour market demands are met.

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 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.

Visit our website www.workforceplanninghamilton.ca to review our many research reports, project activities and other publications.

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METHODOLOGY The 2013 Local Labour Market Plan is a compilation of data analysis, review of local, provincial and national media coverage, as well as outreach to industry sectors. Much of the foundation for our statistical research is derived from Statistics Canada resources. Information from the 2006 Census provides an in-depth look at Hamilton’s labour force, and data from the 2011 Census of Population and the National Household Survey will continue to be released in 2013. Workforce Planning Boards also derive Local Labour Market Indicators from Canadian Business Patterns, Labour Force Survey, Tax Filer, and other sources in order to provide up-to-date information.

Employer outreach is a key component in understanding our labour market. In 2012, we continued to profile key clusters of economic development identified by the City of Hamilton, which gave us the opportunity to conduct surveys and interviews with employers to learn about workforce needs, skill requirements and outlook for future employment. In October and November 2012, WPH distributed surveys through the City of Hamilton’s Economic Development Department to employers across all key clusters with a combined response of 113. Results are discussed in the Cluster Updates section of this report.

On November 22, 2012 WPH hosted Crafting Labour Market Connections: a Labour Market Planning Conversation which engaged approximately 40 participants across community organizations and industry sectors. The collaborative knowledge gained through the brainstorming sessions addressed labour force challenges facing local employers and inspired solutions-based priorities to ensure a resilient and skilled workforce in Hamilton. Key actions from the consultation were used to create and advance key priorities of our labour market plan. More information can be found in the 2013 Key Priorities section of this report.

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Part I: 2012 Local Labour Market Indicators The Local Labour Market Indicators (LLMI) are developed by WPH in order to provide an up-to-date snapshot of Hamilton’s labour market and highlight new and emerging trends for the community. Census information provides comprehensive data for the Hamilton region; however, the figures are dated and many new developments and changes have occurred since 2006. More recent statistics from the 2011 Census and National Household Survey continue to become available from Statistics Canada. The LLMI process synthesizes information from a variety of sources including Canadian Business Patterns (June 2012), Labour Force Survey (2012), and Census (2006 and 2011).

Population and Economic Profile of Hamilton Hamilton had a total population of 519,949 in 2011, a percentage growth of 3.1% from 2006. Table 1 shows that Hamilton’s population is growing at a slower rate than the provincial average of 5.7%. While Hamilton’s growth appears modest compared to many neighbouring regions, Hamilton has traditionally had a long steady growth. Hamilton’s population growth is believed to be fueled by Toronto and GTA residents and businesses relocating because of Hamilton’s lower cost of living and costs of doing business and good quality of life, as well as immigrants1.

Table 1: Population Change of Selected Neighbouring Census Subdivisions Population Census Subdivision Name 2006 2011

Hamilton is ranked fifth in the province and tenth in the country for population size

% Change

HAMILTON

504,560

519,950

3.1%

Burlington

164,415

175,779

6.9%

Grimsby

23,937

25,325

5.8%

London

352,395

366,150

3.9%

St. Catharines

131,990

131,400

-0.4%

Toronto

2,503,280

2,615,060

4.5%

Ontario

12,160,285

12,851,820

5.7%

(Source: Statistics Canada, 2006 and 2011 Census)

Figure 1. Population by Age Group, Hamilton, 2006 & 2011

(Source: Statistics Canada, 2006 and 2011 Census

1

Hamilton population growing slow and steady but still good, Hamilton Spectator, February 9, 2012

4

Figure 1 plots Hamilton’s population by age group for 2006 and 2011. Hamilton’s population is aging, as demonstrated through the increase in population for the age groups 45 to 64 years, and 65 years and over. The census data shows Hamilton has a slightly higher median age at 40.9 years than both Ontario at 40.4 years and Canada at 40.6 years. Canada’s population aging is a mix of longer lives and a growing number of people in their senior years2 .

Older workers are delaying retirement in Canada. In the Hamilton CMA3, the participation rate for workers aged 55 and older has increased to 33% in 2012 from 25.6% in 20024. The upward trend could continue given that the boomer generation is more highly educated, the coverage rate of defined-benefit pension plans is on a downward trend, and the expected tightening of the labour market due to incoming smaller cohorts5. The delaying of retirement impacts overall labour market dynamics, and as will be shown in the spotlight on youth, young workers are having greater difficulty finding work.

The impact of an aging population on the demand for healthcare services and subsequently on certain healthcare occupations is discussed in greater detail in the cluster updates section.

Unemployment and Participation Rates Figure 2. Participation and Unemployment Rates (Annual Average), Hamilton CMA and Ontario, 2007-2012

(Source: Statistics Canada, Labour Force Survey)

Hamilton had the lowest unemployment rate of all Ontario cities in December 2012

2 3 4 5 6 7

5

Hamilton tends to have both a lower participation rate and unemployment rate than Ontario. Hamilton’s economic recovery is reflected in the low unemployment rate, which, at 5.9% in December, was the lowest of all major cities in the province by the end of 20126 . A diversified economy, affordability, skills development collaboration, and a focus on poverty reduction have all been attributed to Hamilton’s low unemployment rate7 .

Census: Hamilton, you’re getting older, Heather Scoffield, Hamilton Spectator, May 29, 2012 Hamilton CMA includes Burlington and Grimsby Statistics Canada, Labour Force Survey Delayed retirement: A new trend?, Yves Carriere and Diane Galarneau, Statistics Canada, October 26, 2011 Global Toronto, Hamilton Unemployment rate lowest in Ont. Cities Recession Impacts: Unemployment, Social Planning & Research Council of Hamilton, January 2013

The unemployment rate is only one indicator of the well-being of an economy. The unemployment rate only includes those individuals who are part of the labour force – that is, only individuals who are either working or actively seeking work. It does not include individuals who may have given up looking for work.

Therefore, in addition to unemployment rates, Figure 2 also shows participation rates of Hamilton and Ontario in order to see what percentage of the population is part of the labour force. Figure 2 makes it clear that although Hamilton’s unemployment rate is lower than the provincial average, its participation rate is lower as well. This indicates that there might be hidden unemployment caused by those who have become discouraged and exhausted their job search efforts.

Employment Trends It is also useful to compare overall employment trends for Hamilton and surrounding communities. Table 2 shows employment in Hamilton increased by 3% from 2007-2012, just under the provincial average increase of 3.3%.

Table 2. Employment by Selected Census Metropolitan Areas (Annual Average), 2007-2012 Employment (in thousands) 2007 2012 HAMILTON CMA St. Catharines-Niagara Brantford London Toronto Ontario

% Change

370.1

381.2

3.0%

195.8 68.6 254.4 2,836.7 6,564.3

202.6 67.2 247.8 3,008.2 6,783.7

3.5% -2.0% -2.6% 6.0% 3.3%

(Source: Statistics Canada, Labour Force Survey)

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Workforce Highlights Largest Decrease in Ontario Works Caseload since 2008 There was a decrease of 1,300 Ontario Works (OW) cases in the Hamilton region during 2012, a considerable decrease that signifies the well-being of the local economy8. Due to the economic downturn, the number of welfare recipients began to increase in 2008, and grew by 38% over four years. At the peak there were more than 14,100 OW cases in July 2011. City officials are optimistic the downward trend will continue. Hamilton’s unemployment rate continued to decrease, dropping to 5.8% in December 2012.

A decreasing OW caseload, coupled with a low unemployment rate, is a good indicator for the economy.

The impact of a recession on welfare cases occurs about a year after the recession hits, when employment insurance benefits have run out. It also takes longer for OW numbers to decrease after the economy has recovered, as recipients tend to have lower skill and education levels than the general population9.

Figure 3. Ontario Works Annual Average Caseload, Hamilton, 2008-2012

(Source: CBC Hamilton, City of Hamilton)

8 CBC Hamilton, City sees biggest drop in welfare cases since 2008 recession 9 Ibid

7

Youth (Ages 15-24) Figure 4. Youth and 25 Years and Older Labour Force Unemployment Rates, Hamilton CMA, 2007-2012

(Source: Statistics Canada, Labour Force Survey)

As shown in Figure 4, the youth (aged 15-24 years) unemployment rate is typically higher than the unemployment rate of the rest of the labour force. High youth unemployment rates reflect the difficulties faced by younger workers in finding jobs due to relative inexperience and lower skill levels in the job market. Youth composed 15.4% of the total labour force in 2012.

The Hamilton youth unemployment data does not show the depth of the labour market problems faced by young workers. Most of these individuals are working; however, many are underemployed - meaning many young workers are in jobs well below their levels of qualification and often outside their fields10.

Underemployment is apparent in the large disproportion of youth working part-time hours (under 30 hours per week). In Hamilton, 57% of employed youth work part-time, whereas only 20% of the general population works part-time11.

The 2006 census showed that young workers in Hamilton are heavily concentrated in sales and service occupations. Over 53% of workers aged 15-24 in Hamilton were employed in these occupations, compared to 24% of young workers in Ontario12. The prevalence of sales and service occupations in Hamilton contributed to the development of a Key Priority around providing up-to-date labour market information in this action plan. See the key priorities section for more details about the upcoming report focusing on the challenges and opportunities for retail trade in Hamilton.

Immigrants Approximately a quarter of Hamilton’s residents are born outside the country and Statistics Canada anticipates that figure will rise 3% by 203113. Most of Hamilton’s immigrants have lived in Canada for decades, with 66% having arrived prior to 199114. Given the size of its population, Hamilton receives a slightly lower share of the immigrants coming to Ontario.

10 11 12 13 14

The New Underclass, Chris Sorensen and Charlie Gillis, Maclean’s, January 16, 2013 Statistics Canada, Labour Force Survey Statistics Canada, 2006 Census 10 myths about immigration, Danielle Wong, Hamilton Spectator, October 16, 2011 Immigration flows to Hamilton, Hamilton Immigration Partnership Council

8

Figure 5: Immigration Statistics by Type of Migrant, Hamilton, 2006-2011

(Source: Citizenship and Immigration Canada)

Figure 5 shows recent immigration statistics from Citizenship and Immigration Canada. While people typically speak of permanent residents when they reference immigration statistics, it is interesting to note that Hamilton receives a high number of immigrants under other classifications. In recent years, on average, Hamilton has received fewer permanent residents than they had in the past. The report, Immigrant Attraction to Hamilton: Backgrounder notes Hamilton no longer attracts its “fair share� of immigrants, that is, how many settle here compared to the city’s proportion of the overall population15.

On the other hand the number of foreign students has risen significantly in recent years, increasing the potential for more skilled labour market participants upon graduation. Figure 5 shows that Hamilton is also home to a high number of refugee and humanitarian immigrants who often have a greater need for services and assistance in integrating successfully into the community. With the federal government currently undertaking fairly radical policy changes to the immigration system, research is required in order to determine the impact that these different immigration categories may have on the Hamilton community. Work is underway to address this through the Immigrant Attraction Action Plan being developed by the City of Hamilton.

15

9

Immigrant Attraction to Hamilton: Backgrounder, Immigrant Attraction Action Plan, Volume 1, City of Hamilton

Employment by Industry As was shown in Table 2, total employment in Hamilton CMA reached 381,200 in 2012, an increase of 3.0% since 2007. The following table shows the top ten industries of employment in 2012, as classified by the North American Industry Classification System (NAICS). (Please note that employment within an industry includes supporting occupations, in addition to occupations unique to that industry. For example, the educational services industry includes those involved in administrative support, trades, and management roles within the sector.)

Table 3. Top 10 Industries of Employment, Hamilton CMA, 201216 % of Employment in Industry all Industries 2012 Retail and Wholesale Trade 16.3% Key Cluster 12.8% Manufacturing Health Care and Social 12.6% Assistance Key Cluster Educational Services 8.6% Finance, Insurance, Real Estate 7.2% and Leasing Construction 7.1% Professional, Scientific and 6.6% Technical Services Key Cluster Accommodation and Food 5.8% Services Transportation and 4.7% Warehousing Key Cluster Information, Culture and 4.2% Recreation Key Cluster

% Growth 2007 to 2012 15.7% -16.3% 10.1% 12.4% 14.6% 17.4% 13.5% -6.7% -6.3% 4.3%

(Source: Statistics Canada, Labour Force Survey)

Hamilton’s economy is recovering from the economic downturn of recent years. The city’s employment strengths long dominated by the steel industry have become quite diverse, as exemplified in the industries which exhibited the greatest growth. As Hamilton transitions to a more knowledge-intensive community, industries such as finance, insurance, real estate and leasing, professional, scientific and technical services, and educational services are growing at a high rate.

For a comprehensive overview of each of the top industries in Hamilton, including employment trends, top occupations, median incomes and skill levels, see Where are all the Jobs? found on our website

Through their Economic Development Strategy, the City of Hamilton identified six key clusters for business advancement: advanced manufacturing, life sciences, clean technology, creative industries, agribusiness and food processing, and goods movement. Many of the growth industries align with these key clusters. See the cluster updates section later in this report for more details.

16 When Key Cluster is indicated, it refers to the industry or classification as having association with one of the City of Hamilton’s key clusters of economic development.

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Employment by Occupation Human Resources and Skills Development Canada (HRSDC) provides a standardized framework for organizing occupations according to the National Occupational Classification (NOC) system. Through NOC analysis, we can gain a reference as to understanding the jobs found throughout Hamilton’s labour market. Table 4 shows the top 10 occupational categories that are found in Hamilton.

Table 4. Top 10 Occupational Categories, Hamilton CMA, 2012 Occupational Category Sales and Service Business, Finance and Administrative Trades, Transport and Equipment Operators Key Cluster Social Science, Education, Government Service and Religion Management Health Key Cluster Natural & Applied Sciences Key Cluster Occupations Unique to Processing, Manufacturing & Utilities Key Cluster Art, Culture Recreation & Sport Key Cluster Occupations Unique to Primary Industry Key Cluster

% Share of all Occupations 2012 25.5%

% Growth 2007 to 2012 2.0%

17.2%

-1.2%

13.5%

0%

10.3%

16.7%

10.0% 7.3%

10.1% 19.7%

5.5%

-2.8%

5.2%

-13.0%

3.4%

6.5%

2.0%

-9.4%

(Statistics Canada - Labour Force Survey)

Occupations related to sales and service continues to account for the most prevalent occupations in Hamilton. Many of these jobs are part-time and/or entry-level, employing relatively higher percentage of youth labour market participants. However, the occupational categories that experienced the greatest growth over the past five years are those that require higher levels of education, such as health occupations and social science, education, government service and religion. As Table 3 showed Hamilton is becoming more concentrated in knowledge-intensive industries, it follows that the demand for occupations in knowledge-intensive occupational categories has increased.

11

Employers in Hamilton Hamilton was home to 27,322 businesses in 2012. Business growth has been stagnant over the past few years, with a decline of only 0.9% from 2011; comparatively the number of businesses in Ontario declined by 0.49% in the past year.

Even though the number of businesses has remained relatively constant, there has been some movement within the size ranges of businesses. Most of the changes took place within employers with 50 or more employees.

Figure 6. Employers by Employee Size Ranges (50 or More Employees), Hamilton, June 2012

(Source: Canadian Business Patterns)

The number of businesses employing 100-199 workers increased by over 16% from 2011-2012 and the number with 50-99 employees increased by over 8%. Although the Fast Facts about Small Businesses in overall number of employers has declined in the past year, Hamilton the number of businesses that employ a greater number of workers has increased. This could include both new busi- • The number of businesses with nesses to Hamilton and businesses that have increased their fewer than 50 employees stayed employee size.

relatively constant over the past year

The most common industry in which to find businesses that employ 50 or more employees in Hamilton is Foods Services and Drinking Places (NAICS 722), followed by Food and Beverage Stores (NAICS 445), and Administrative and Support Services (NAICS 561). Together, these industries contain 25% of all larger businesses17. These industries, which employ many of the prevalent sales and service occupations found in Hamilton, will be a focus of the upcoming report outlined in labour market information priority on the sales and service industries.

17

• 52% of Hamilton’s registered businesses are sole proprietor/ owner operated • Of businesses with employees:

 86% have fewer than 20 employees

 95% have fewer than 50 employees

Statistics Canada, Canadian Business Patterns

12

Top Sectors by Employers At the 3 digit NAICS level, we can see the sectors that have the highest number of businesses in Hamilton.

The top 5 sectors by number of employers account for 38.8% of all businesses in Hamilton.

By Number of Businesses: Table 5. Top 5 Sectors by Number of Employers18, Hamilton, June 2012 Rank 1 2 3 4 5

Sector 541- Professional, Scientific and Technical Services Key Cluster 238 - Specialty Trade 621 – Ambulatory Health Care Services Key Cluster 722 – Food Services and Drinking Places 561 - Administrative and Support Services

Total Employers

% of Total Employers

1,293

9.9%

1,147 1,097 874 654

8.8% 8.4% 6.7% 5.0%

(Source: Canadian Business Patterns)

By Highest Increase in # of Employers: Table 6. Top 5 Sectors by Greatest Increase in Employers19, Hamilton, 2011-2012 Rank

Sector

1 2

238 – Specialty Trade 531 – Real Estate 621 – Ambulatory Health Care Services

3 4 5

Key Cluster

813 – Religious, Grant-Making, Civic, and Professional and Similar Organizations 484 – Truck Transportation Key Cluster

Total Employers 2011 1,117 412

Total Employers 2012 1,147 436

Change in Employers 2011-2012 30 24

1,074

1,097

23

480

497

17

325

340

15

(Source: Canadian Business Patterns)

Table 7. Sectors with Greatest Decline in Employers20, Hamilton, 2011-2012 Sector 814 – Private Households 532 – Rental and Leasing Services 551 – Management of Companies and Enterprises 447 – Gasoline Stations 419 – Wholesale Electronic Markets and Agents and Brokers (Source: Canadian Business Patterns)

13

18 19 20

Not including sole proprietor/owner-operated businesses Not including sole proprietor/owner-operated businesses Not including sole proprietor/owner-operated businesses

Total Employers 2011 212 121 133 117

Total Employers 2012 173 105 125 109

Change in Employers 2011-2012 -39 -16 -8 -8

54

47

-7

Table 8. Sectors with Greatest Increase in Sole Proprietor/Owner-Operated Businesses Sector 531 – Real Estate 485 – Transit and Ground Passenger 621 – Ambulatory Health Care Services

Total Sole Proprietor/ Owner-Operated Businesses 2011 2,213 245

Total Sole Proprietor/ Change Owner-Operated 2011-2012 Businesses 2012 2,228 15 258 13

Key Cluster

384

395

11

111 – Crop Production Key Cluster 447 – Gasoline Stations

104 68

114 76

10 8

(Source: Canadian Business Patterns)

Industry Sector Profile by Employment In order to gain an estimate of the change in employment at the 3-digit NAICS level, Table 9 uses Canadian Business Patterns to estimate employment. As Hamilton is dominated by small and medium sized businesses, this section focuses exclusively on businesses with under 100 employees.

Table 9. Top 5 Sectors under 100 Employees by Employment Estimates, Hamilton, 201221 Sector 722 - Food Services and Drinking Places 238 - Specialty Trade Contractors 541 - Professional, Scientific and Technical Services Key Cluster 621 - Ambulatory Health Care Services Key Cluster 561 - Administrative and Support Services

Owner Operated

1-4

288

654

5-9

10-19

2049

5099

1,419 2,159 4,982 3,887

%

13,888

10.79%

8,977

7.24%

1,190

1,486 1,717 1,399 2,194

1,939

1,752 1,111 1,171 1,335 1,132

8,441

6.80%

395

1,425 1,845 1,296 1,032

6,132

4.94%

638

N/A21

5,302

4.27%

814

990

Small / Medium Total

139

1,140 1,354 1,356

(Source: Canadian Business Patterns)

21

Values were suppressed by Statistics Canada

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Part II. Community Overview Hamilton’s economic and workforce outlook is linked to the well-being of both the provincial and national economies. In October 2012, the Bank of Montreal reported that one in four Canadian businesses plan to increase their workforce in 2013 and the number one challenge businesses face is finding and retaining skilled employees, particularly in the manufacturing and retail sectors22. The country is facing a skill gap in its current labour market, with traditional occupations such as butchers, bakers, tailors, labourers in manufacturing, office managers, clerks, and elementary and secondary school teachers experiencing an oversupply of labour, while occupations with skill shortages include those in traditional health care roles such as doctors, nurses and dentists23. The skilled labour mismatch could hinder the growth potential of both the labour market and the whole economy. The demographic shift from an aging population and a growing disparity between skill requirements and those available have resulted in a critical issue for the Canadian economy – RBC Economics Research forecasts the overall gap that will develop between workers needed to maintain economic growth and workers available will worsen over the next two decades24.

Provincial employment trends are also reflected within the local labour market, although Section 1 showed Hamilton’s unemployment and participation rates are both typically lower than those of Ontario. Ontario’s December 2012 employment gains led the way for other provinces, with an increase of 32,900 jobs, mostly in the retail and wholesale sector. The Deputy Chief Economist at BMO Economics projects Ontario will experience even greater job gains in 2013, due in part to a gradual U.S. economic turnaround25.

The Conference Board of Canada ranked the Hamilton-Burlington economy as the fastest growing in 2012 among Ontario cities at 2.5%

As shown through the LLMI, Hamilton’s economy is well on the way to recovery after the economic downturn of recent years, with 2012 achieving the best investment year on record in Hamilton26. Site Selection Magazine ranked Hamilton the number one city in Canada for attracting industrial and commercial development27. This magazine from Atlanta, Georgia reviewed construction and employment data to find Hamilton had 20 new or expansion projects with at least $1 million invested and at least 50 new jobs created. Comparatively, Quebec City had 16 projects, and Toronto received only 15.

As well, for the second consecutive year, the Real Estate Investment Network (REIN) ranked Hamilton as the best place to invest in Ontario28. The REIN analyzed cities, towns and regions posed to outperform other regions of the province over the next 5 years.

The Conference Board of Canada forecasts that the Hamilton CMA economy will grow an average of 2.5 per cent over the next four years, due largely in part to increases in the manufacturing and construction sectors29. Table 3 in the previous section may have shown that construction is only the 6th largest industry in terms of employment, but it has experienced the highest growth (17%) over the past five years. Further exemplifying the strength of the growing industry is the record almost $1.5 billion worth of building

22 23 24 25 26 27 28 29

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One in four businesses plan to hire next year: survey, Hugh McKenna, The Globe and Mail, Oct. 19, 2012 The Haves and Have Nots of Canada’s Labour Market, Benjamin Tal, CIBC World Markets Inc., December 3, 2012 Canada’s Skills Crisis: What We Heard, Canadian Chamber of Commerce, 2012 Canadian Employment Defying Gravity, BMO Economics, January 4, 2013 City of Hamilton, Economic Development City of Hamilton, Economic Development City of Hamilton, Economic Development Report suggests Hamilton area will lead province in growth this year, Meredith MacLeod, September 19, 2012

permits issued in 201230. Among the 8,125 permits issued were: a $26 million hotel at 40 Bay St. S to Champlain Development Corp., a $7.6 million retail plaza at 1267 Barton St E., $21 million alteration to Maple Leaf Food’s food processing plant, and St. Joseph’s Mountain Health Centre.

Positive news for Hamilton’s economy also stemmed from the Conference Board of Canada’s Diversity index which calculates how diverse the economic structure of a city is (1 being “Highly Diverse” and 0 being “Not Diverse”). The index gave Hamilton a 0.92 rating, which contributes to the resilience of our economy to market fluctuations and encourages a broad spectrum of employment opportunities.

30

Hamilton breaks its building permit record, Meredith MacLeod, Hamilton Spectator, January 15, 2013

16

Surveying Employer Outlook Workforce Planning Hamilton partnered with the Hamilton Immigration Partnership Council and the Francophone Immigration Network to survey 318 employers in the community about their attitudes surrounding hiring immigrants. Part of the interview questioned the company’s current and future employment outlook. The report will be released later in 2013; however the following is a brief summary of the responses collected: •

58% of businesses indicated they are very likely to hire at least one new employee over the next 12 months

•

When asked if their organization is currently growing, declining or staying the same, 39% of respondents stated it was growing, 38% indicated it was staying the same, 18% stated it fluctuated depending on the part of the organization, and only 4% said their organization was declining

•

38% of respondents stated they find employee recruitment a somewhat challenging issue for their organization in general

The City of Hamilton conducts annual telephone surveys with employers to determine the state of Hamilton’s business climate. Through this workforce assessment, Hamilton’s economic well-being was reflected in the following highlights: •

61% of companies plan to expand in the next three years

•

Hamilton’s labour supply is of high quality

•

92% ranked general labour quality as good to very good

•

84% of companies ranked management employees as good to very good

•

79% ranked technical/skilled employees as good to very good

•

Vast majority of companies ranked the retention/stability of these workers to also be good to very good

Combined, the results of the surveys align with the overall well-being of the Hamilton economy reported through the local labour market indicators and community updates. The two surveys show a similar positive outlook for Hamilton’s future employment prospects, supporting the Conference Board of Canada’s forecast that the Hamilton economy will continue to grow over the next several years.

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Cluster Updates As previously mentioned, with the release of the Economic Development Strategy 2010-2015, the Economic Development Office for the City of Hamilton identified six key industry clusters for business advancement:



Advanced Manufacturing



Agribusiness and Food Processing



Life Sciences



Goods Movement



Creative Industries



Clean Technology

Both small and large businesses see benefits from clustering, including: a local specialization in labour skills, higher density of supplier networks, and knowledge spillovers (knowledge that spills across firms working in the same industry in the same location)31 . The following section provides updates on current developments within each of Hamilton’s clusters since our 2012 Local Labour Market Plan.

1.

Advanced Manufacturing

The manufacturing sector remains a critical component of both the local and national economy, contributing to the overall competitiveness and well-being of our economy. Advanced manufacturing involves innovative methods of manufacturing both new and existing products, as well as improved approaches to designing and coordinating operations.

Labour trends continued to be volatile in the broad manufacturing sector, with a decline in employment from 50,500 workers in 2011 to 48,800 in 2012 in the Hamilton CMA. There were 972 employers as of June 2012, compared to 1,029 the year previous. Shown in Table 3, the broad manufacturing sector is Hamilton’s second largest sector in terms of employment, and occupations unique to processing, manufacturing and utilities comprised 5.2% ArcelorMittal Dofasco is of all occupations in 2012. These occupations have been in decline in Hamilton, decreasing by 13% over the past 5 years. operating at 100% capacity, There were both positive and negative developments within the sector. Near the end of 2012 all remaining unionized workers at Max Aicher North America Inc were laid off citing the supply of steel32. U.S. Steel has a first claim on supplying the mills, but has not made steel in Hamilton since October 2010.

whereas the North American industry currently runs at about 75% -Hamilton Spectator

With a more positive outlook, ArcelorMittal Dofasco celebrated its 100th anniversary of incorporation in September 2012. It is expected to go into production with a range of advanced high-strength steels for the auto sector during the fourth quarter of 2013- a line worth $120 million33.

31 32 33

Study: Influence of urban clustering on the productivity of firms, 1989 to 1999, Statistics Canada, February 6, 2013 Rest of MANA union workers laid off: official, Michael Cowden, American Metal Market, January 8, 2013 Still a role for steel in Hamilton’s future, Steve Arnold, Hamilton Spectator, January 5, 2013

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Workforce Planning Hamilton administered a survey to employers in the advanced manufacturing sector to get a sense of hiring needs and future skill requirements. Combined with survey results from our Hiring Immigrants Project, we heard from 31 employers in the cluster. Several companies indicated a difficulty in recruiting for skilled positions such as welders and machinists, citing the right skill set and the right attitude as the most difficult requirements to find. Companies surveyed seemed optimistic about future employment levels, with 68% of respondents indicating they are likely to either increase their workforce in the next year or keep the same employment levels. Comments from respondents included:

2.

•

“More entry level candidates with manufacturing experience [will be needed]”

•

“A higher level of formal education will be needed…strong computer/math skills”

•

“High schools push skilled kids into white collar jobs”

Agribusiness and Food Processing

Approximately 49% of the City of Hamilton’s land base is used for agriculture, and the majority of its 227,000 acre agricultural land base qualifies as prime agricultural land34. Local production is benefiting from innovative practices and technologies that are leading to new products, processes and improvements.

The number of employers in the agriculture and food processing sectors has increased in the past year.

As of June 2012, there were 581 businesses in the agricultural and food processing industries, compared to 572 the year previous. While the majority of these companies are small and medium sized enterprises, Hamilton has some of the country’s largest food processing employers. Combined, the agriculture and food manufacturing sectors had a labour force of 9,415 as of the 2006 census, approximately 3.6% of the total labour force.

There are several exciting developments occurring within the cluster. In 2011, Hamilton was selected by Maple Leaf Foods Inc. as the home for Canada’s largest commercial bakery, representing a $100 million investment and up to 300 full-time jobs and 30 seasonal hourly positions. Construction for a 400,000 square foot Maple Leaf plant is underway that will be the country’s largest hot dog and sliced meat facility.

Set to open in 2014, Maple Leaf plans to hire 670 salaried and hourly staff at that time35.

Look for a detailed workforce report on Hamilton’s agribusiness and food processing sector to be released in 2013.

3.

Life Sciences and Health Care

The City of Hamilton defines life sciences (also commonly referred to as biosciences or biotechnology) as “the branches of science that involve living organisms and the use of scientific tools and techniques in research, development and manufacturing activities36”. Hamilton has a prosperous history in drug discovery and validation, gene therapy, clinical trials and health economics, attracting the attention of many of the world’s leaders in health and life sciences.

There are almost 300 life sciences related companies in Hamilton, employing almost 3000 workers.

Putting Hamilton on the life science global radar is Dr. Salim Yusuf, founder and executive director of the Population Health Research Institute (PHRI) at Hamilton General Hospital, run by both McMaster University and Hamilton Health Sciences. In a ranking by ScienceWatch Dr Yusuf is the second most read and cited scientist in the world, giving Hamilton an advantage in recruitment and retention of other top researchers37.

34 35 36 37

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The Rural Hamilton Profile, City of Hamilton, January 2006 City of Hamilton, Economic Review 2011 City of Hamilton Economic Development Strategy McMaster’s Salim Yusuf is hot stuff, Joanna Frketich, Hamilton Spectator, April 11, 2012

Much of the life science research takes place in the broad healthcare sector. The healthcare sector is one of the Hamilton CMA’s largest and fastest growing sectors, with an increase in employment of 21.5% from 2006-2012. The combination of Hamilton’s aging population and the Ontario budget decision to allocate funding to home-care programs suggests that the demand for health services outside of the hospital setting will increase in the future. As shown in the top industries of employment in previous sections, health care (with social assistance) is the third largest industry in Hamilton, and grew over 10% from 2007-2012. In Table 4, it was shown that health occupations experienced the highest percentage of growth of any occupational category, growing by almost 20% since 2007. Much of the growth has taken place within ambulatory health care services and nursing and residential care facilities.

In development news, the new 796,000 square foot St. Joseph’s mental health campus is expected to be completed by the end of 2013 and consist of 305 beds, an auditorium, gymnasium, library, workshop, café, salon and courtyards. The existing hospital is only 398,000 square feet and has 175 beds38.

Workforce Planning Hamilton released two reports: Growing the Potential of Life Sciences in Hamilton and Checking the Pulse: A Labour Market Profile of the Healthcare Industry to provide more detail about the top occupations, workforce needs and challenges of each of the key sectors. Visit our website at www.workforceplanninghamilton.ca to access these documents.

4.

Goods Movement

The five key sectors driving the goods movement cluster in Hamilton include: air transportation, rail transportation, marine transportation, truck transportation, and supply chain management and logistics.

In January 2012, Workforce Planning Hamilton released Make It Move It Ship It: Careers in the Goods Movement and Supply Chain & Logistics Sector in Hamilton, a report which outlined the many employment opportunities the sector has to offer. More than 15,000 workers are employed within the cluster.

There have been several recent economic advancements within the cluster. The Port of Hamilton has been the recipient of investments totaling $100 million in recent years from tenants such as Lafarge, Aecon/ Dufferin, Parrish & Heimbecker, Fluke Transport, Biox, and others. John C. Munro Hamilton International Airport, the largest intermodal cargo handling facility in Canada, announced plans for a $12 million cargo terminal in January 2013. The facility is expected to generate approximately 400 direct and indirect jobs at the airport when it begins operations in 201439.

September 2012 brought good news when Navistar, a truck, bus, recreational vehicle and diesel engine manufacturer announced it will set up in the Red Hill Business Park with a new 250,000 square foot parts distribution centre. The centre will be completed by May 2014, estimated to employ 50-60 workers40.

As an update to Make It Move It Ship It, Workforce Planning Hamilton distributed an employer survey in November 2012. Combined with survey results from the Hiring Immigrants Project, we heard from 19 employers within the cluster. Businesses were optimistic about future employment opportunities, with 63% indicating plans to grow their business in the next year. Occupations that employers expected to be in the greatest demand included drivers, tradesmen and owner operators.

5.

Creative Industries

In 2011, Workforce Planning Hamilton released Creative Industries – Creative Skills, a study in partnership with Hamilton Economic Development and Real Estate. Creative industries include design and digital media, film, video and broadcasting, music, visual arts, performing arts, festivals, and events.

38 39 40

5 economic stories to watch in 2013, Hamilton Spectator, January 5, 2013 Hamilton Airport to get $12 million cargo facility, Lisa Grace Marr, Hamilton Spectator, January 11, 2013 A year of highs and lows in Hamilton, Steve Arnold, Hamilton Spectator, January 2, 2013

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The creative cluster in Hamilton employed a total of 7,100 workers as of the 2006 census including specialist artists, support staff in creative industries, and embedded creative staff (those working in creative occupations in industries not defined as creative or culture). It is likely that the release of the 2011 occupational statistics will show significant growth in this cluster. There were 3,684 employers in the cluster as of 2012, with most comprised of small and medium sized enterprises.

The 2012 rankings for the Canadian Creativity Index developed by the Martin Prosperity Institute placed Hamilton as the 16th most creative city in Canada41. Many artists and creative businesses are gathering in Hamilton, due to its relatively inexpensive living costs and its supportive artistic community.

As an update to Creative Industries – Creative Skills, Workforce Planning Hamilton distributed a survey among employers within the creative industry. There were a total of 69 respondents. Many workers in the creative industries are freelance, and therefore do not have the typical human resource demands of other sectors. Comments about the future workforce from both freelance workers and businesses that hire employees within the cluster included:

6.

•

“Affordable studio and office space is a great asset”

•

“Collaboration is key”

•

“There aren’t enough large clients here to support a lot of companies that do Hamilton based work… wish there were more opportunities here to work with local businesses doing video, audio, internet projects, etc.”

•

“More production support services are needed”

•

“Encourage audio and visual post production”

Clean Technology

The clean technology cluster includes activities related to reducing the use of fossil fuels, decreasing pollutants and greenhouse gas emissions, increasing the efficiency of energy usage, recycling materials, and developing and adopting renewable sources of energy. Global markets for clean technology are at $1 trillion and projected to expand to $3 trillion by 202042. In March 2012, the Hamilton Chamber of Commerce unveiled its new policy theme of growing Hamilton’s economy through green infrastructure.

For new investment the focus is mainly in two areas: power generation, and water and wastewater.

The City of Hamilton is a member of the Ontario Clean Technology Alliance, an association which recently announced a $60 million Southern Ontario Water Consortium (SOWC) - a research and development platform for new water technologies and facilities for the testing and development of drinking water solutions, wastewater purification, ecotoxicological analysis, watershed management, and sensor development43. Expected to be fully operational by 2014, SOWC will include Sensor Development Labs at McMaster University in Hamilton.

Workforce Planning Hamilton distributed a survey to green employers to gauge current and future workforce demands, garnering a response of 18 employers. In recognition of the overall emerging environmental issues such as climate change, companies that are focused on green energy are becoming more widespread. Employers anticipated their workforce either growing in size or staying at the same level in the next 3-5 years, with particular demand for engineers, business developers and technical support.

41 Most Creative Cities in Canada 2012, Hamilton Reporter, July 13, 2012 Most Creative Cities in Canada 2012, Hamilton Reporter, July 13, 2012 42 Ontario Clean Technology Alliance 43 $60 million water consortium supports innovation across Ontario Clean Technology Alliance communities, Ontario Clean Technology Alliance, October 1, 2012

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2012 LABOUR MARKET PLAN UPDATE Recognizing that the solutions to labour market issues are complex and require ongoing investment of time and effort along with a phased approach, WPH worked with the community to establish these key priorities in 2010. Work driven by a number of key workforce development stakeholders has continued to make progress on these priorities. WPH continue to revise and modify these priorities based on local labour market information and activity establishing new action items annually.

In 2012 our Labour Market Plan identified these priorities as key: Priority 1:

Understanding the impact of the City of Hamilton’s Business Development Strategy

Priority 2:

Increasing and evolving skills requirement – skills alignment

Priority 3:

Youth attraction, retention and integration

Priority 4:

Immigrant skills integration

Below you will find an update on community actions related to these priorities either completed or underway.

KEY PRIORITY: UNDERSTANDING

HAMILTON’S BUSINESS DEVELOPMENT STRATEGY

Activities related to this priority seek to address the lack of labour market information about the key clusters indentified in the City of Hamilton’s Economic Development Strategy and how growth in these sectors may influence future career opportunities.

Make It, Move It, Ship It In early 2012, WPH released a profile of the goods movement – supply chain sector in Hamilton, Make It, Move It, Ship It, which highlighted employer skills requirements and future demand. One of the key recommendations was to increase the promotion of traditional goods movement careers. The report identified that many employers, specifically in marine and rail, have difficulty with recruiting workers largely due to the unglamorous image associated with the nature of work in these sectors.

On October 26th, 2012 WPH hosted a networking event that highlighted this report and its findings. The focus was on the growing career opportunities in this sector and increasing and evolving skills requirements. The approximately sixty attendees included job seekers, career counsellors and employers. They heard brief presentations from key representatives from the sector, viewed displays and had the opportunity to network with the employers present.

MAKE IT MOVE IT SHIP IT

Careers in the Goods Movement and Supply Chain & Logistics Sector in Hamilton

January 2012

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Spotlight on Manufacturing An event for manufacturing employers was planned for the past year; however, this has been delayed to consider the research project that is currently underway exploring manufacturing in Hamilton. The City of Hamilton’s Planning & Economic Development Department is working with Deloitte on a study to define the current state of Hamilton’s advanced manufacturing cluster, and identify key realistic and implementable recommendations to formulate strategic objectives and initiatives that will assist the City and its economic development partners to establish Hamilton as a destination for investment and a supportive environment for industrial growth. The study will be completed by March/April 2013. WPH will reconsider the need for a forum upon review of this report.

A Taste of Agribusiness: A labour market profile of agriculture and food processing cluster in Hamilton This cluster shows strong results in Hamilton’s economy. In the last two years the food processing sector has attracted several new employers contributing over 1000 new jobs to the local economy. On the other side of this cluster, agriculture is evolving with new skills requirements and different economic models. Using census data and employer interviews this project profiled the agriculture and food processing cluster in Hamilton, highlighting employer skills requirements and future demand.

Checking the Pulse: A labour market profile of the healthcare industry With an increase in employment of over 10% between 2007 and 2012 the healthcare sector is one of Hamilton’s fastest growing areas. Not only does Hamilton’s healthcare industry serve our residents, Hamilton is a regional hub for surrounding communities offering specialized care.

The healthcare industry faces unique workforce challenges. The 2012 provincial budget saw hospital funding frozen in order to invest more heavily in home and community based care. All of this has implications for the skill sets required both now and in the future. Using census data and employer surveys this report profiles the healthcare industry in Hamilton, highlighting employer skills requirements and future demand.

Growing the Potential of Life Sciences in Hamilton: A labour market profile The Life Sciences cluster draws on Hamilton’s strengths in healthcare and education. The strong research base, combined with industry support through organizations such as McMaster Innovation Park makes Hamilton a recognizable life sciences hub. Our report examines the workforce implications of this cluster for Hamilton’s economy.

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KEY PRIORITY: 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.

Labour Market Transitions in the Manufacturing Sector Research and consultation continued to look at the skills requirements of workers displaced from the manufacturing sector focusing on technology skills. Consultations were held with literacy and employment services organizations to explore the particular needs of their clients with this background. This resulted in an updated listing of computer training programs. This listing is available through the Adult Basic Education Association.

KEY PRIORITY: 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.

Youth Attraction and Retention Strategy Strategy sessions were held in the fall of 2011 for this project, and a six month plan was created by an advisory group. A funding application to Trillium was unsuccessful; however, we continue to explore other funding options. WPH is supporting the Hamilton Youth Collaborative under development by the United Way of Hamilton – Burlington along with key youth-serving agencies to support priorities around youth employment.

Hamilton Employment Crawl In the spring of 2012 McMaster University initiated the Hamilton Employment Crawl to engage McMaster students and support student retention efforts. This event brings McMaster students off campus and shows them what Hamilton has to offer as a place to live, work and play. A key element of this event is workplace tours/information sessions that showcase Hamilton’s vibrant economy. WPH staff worked with McMaster University to develop Employment in Hamilton: Yours to Discover, a labour market information handout that highlights the local economy and career opportunities. This event was a great success and will be repeated in 2013.

Connect to Careers Mohawk College and McMaster University will host their first ever joint job fair for students of these institutions in March 2013. They anticipate participation of 3000 students and close to 200 employers with job vacancies. If successful, this event will be offered in future years.

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Access Strategy Mohawk College has launched a multi-faceted outreach initiative to work with youth who traditionally have not pursued post secondary education. College in Motion is a mobile team of advisors who works with students in identified schools in key neighbourhoods to help youth identify goals and career pathways. This outreach has met with over 2000 youth and has directly engaged approximately 25% of these youth with information on post secondary applications, financing, etc. Adjunct to this program is the Future Ready card, a loyalty card that allows students to earn points by attending college sponsored events. These points convert to funding to offset tuition costs. In addition Mohawk has established an Access and Transition Advisor who work with students to ensure that first year, first semester students are supported and linked to appropriate services as they transition to the college environment. The Access Strategy will continue to explore initiatives going forward.

KEY PRIORITY:

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.

On Track: Employment Tips and Advice for Newcomers Seven tip sheets for immigrant job seekers have been developed in partnership with the Hamilton Immigration Partnership Council Employment Working Group, and in consultation with the Employment Ontario Employment Service Providers. Topics of the stand alone tip sheets range from The Process of Getting a Job, to Resume and Cover Letter Tips, to Workplace Communication, and Know and Protect Your Rights. Advice from employers was also included in the sheets. The resources will be shared via Employment Ontario Employment Services as well as by informal networks in Hamilton. The sheets are also available in French.

Hiring Immigrants Project WPH in partnership with HIPC and Francophone Immigration Network, will determine the readiness of local employers to hire newcomers in Hamilton, including francophone immigrants, and the need for bilingual staff. A research team has completed over 300 telephone surveys and four focus groups with employers will expand our understanding of the employer experience. All employers participating in the research will receive an employer ‘road map’ that offers tips and advice for bringing more immigrants into their workforce. The end products of the project will be a report that includes recommendations for employers and the community that will to support and promote hiring newcomers along with targeted summaries for each group. These recommendations will assist the Employment Working Group of HIPC to develop an employer outreach strategy.

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2013 LABOUR MARKET PLAN FOR HAMILTON The following charts capture our labour market action plan for 2013 in support of our community labour market priorities. Note that our priorities continue year over year as many of them require extensive work across the community to create change. This work plan will be further developed in the months ahead.

We will continue to work with key stakeholders to identify partners and support for these priorities.

KEY PRIORITY: UP-TO-DATE

LABOUR MARKET INFORMATION Over the past several years WPH has developed and released a series of labour market profiles on the key clusters identified in the City of Hamilton’s Economic Development Strategy. This information was designed to complement and enhance our labour market report, Charting Hamilton’s Labour Market – Past, Present and Future. This report, released in 2010, estimated that Hamilton would have significant skills shortage across all job categories by 2016 but this estimate did not account for any growth that might occur as a result of growth of our key economic clusters. Our reports on the clusters were designed to answer that question. We have now completed profiles on all of the clusters.

An ongoing refrain in our research and consultations across the community is the need for up-to-date local labour market information to assist job seekers and others in career transition to find employment or training in our community. With the completion of cluster profiles, we will turn our attention to this specific need.

Healthcare/Life Sciences Launch Event Priority Issue

To promote a better understanding of key sectors in our economy

Past Action

Checking the Pulse report on Healthcare and Growing the Potential of Life Sciences report were released in early 2013

Proposed Action

Building on the success of our Make It, Move It, Ship It event, this one day event will highlight key findings from our related reports on Life Sciences and Healthcare Labour Market Profiles. It will be presented in two parts. The morning session will focus on Life Sciences and afternoon session will focus on Healthcare. The events will provide information on the sector and career opportunities for job seekers and others in career transition. In addition to presenting our information we will engage employers to talk about the opportunities in these sectors as well as educational institutions to talk about the necessary training.

Proposed Partners

Workforce Planning Hamilton (lead) Healthcare employers

Timelines

Event to be held by June 2013

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•• •• Expected Outputs/ •• Outcomes •• ••

One day event with anticipated participation of 150 Engagement of both key employers and training institutions as presenters and exhibitors A brief labour market profile to be distributed at the event.

Better job seekers will be better informed on the areas of greatest demand and related skills requirements in the healthcare sector.

Create awareness of training opportunities and Second Career funding.

Employer One Survey Priority Issue

There is ongoing demand for current, local labour market information.

Past Action

In 2011-12 WPH initiated a monthly survey of local employers inquiring about job growth and decline. Capacity to complete this activity with meaningful results on a monthly basis proved onerous for WPH.

The Workforce Planning Board for the London area has implemented an annual survey process (the Employer One survey) to gather information from employers on their evolving skills requirements. This annual survey allows employers a Proposed chance to communicate their combined workforce needs to stakeholders including Action colleges, universities, school boards, and employment service providers, who can provide solutions. Working with partners such as Chamber of Commerce, Economic Development and employment service providers WPH will implement this survey process in Hamilton.

Workforce Planning Hamilton (lead) Proposed Employment Service Organizations Partners Chambers of Commerce Business Associations May to December 2013: Partnership building Timelines January 2014: Survey distributed February 2014: Survey analysis and final results •• •• • Expected • Outputs/ Outcomes ••

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Annual survey distributed to Hamilton employers A report on key findings from the survey An annual report that combines results from the Employer One survey and vacancy reports (see action following) that highlights occupational and skills demand in Hamilton Job seekers and employment counsellors will have a better understanding of the evolving labour market in Hamilton

Quarterly Job Vacancy Reports for Hamilton Priority Issue

There is ongoing demand for current, local labour market information

Past Action

None

On a quarterly basis WPH will release a report on job vacancies in Hamilton. This report will identify occupations posted in online forums like the Job Bank, Workopolis, Monster, Proposed Kiijii, and others and will also include online postings from key employers in Hamilton.

Action It provides a snapshot of ongoing labour market demand and demand will be tracked over time. A roll up report released in March 2014 will highlight in demand occupations.

Proposed Workforce Planning Hamilton (lead) Partners Employment Service Organizations June, September, December, March: Quarterly reports Timelines March 2014: A report that combines the Employer One survey results and vacancy reports will summarize key occupational demand from the past year •• Expected •• Outputs/ Outcomes ••

Quarterly report on job vacancies An annual report that combines results from the Employer One survey (preceding) and vacancy reports that highlights occupational and skills demand in Hamilton Job seekers and employment counsellors will have a better understanding of occupations in demand

Sales and Service Labour Market Profile Priority Issue

Community requires up-to-date labour market information on growing sectors in Hamilton

Past Action

None

WPH will develop a labour market profile of the primary sectors comprising sales and service including retail trade and accommodation and food services. These two sectors account for approximately 25% of the local labour force with retail trade being the Proposed top employment sector in Hamilton. The research will include our usual look at key Action occupations and subsectors but will also include information on key skills development opportunities that this sector represents. There will be a special focus on youth and their role in this sector Workforce Planning Hamilton (lead) Proposed Economic Development Partners BIAs Sales & Service Sector employers Timelines

October 2013 to January 2014: Research and employer engagement will take place March 2014: Final report available

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•• Expected Outputs/ Outcomes ••

29

A report that documents key aspects of the sector including: • Occupational profiles; • Skills requirements; • Recruitment/retention challenges; • Career path / skills development opportunities Greater awareness of careers in retail and accommodations and food services sector including the opportunity to build skills

KEY PRIORITY:

SKILLS ALIGNMENT

An ongoing issue is the constantly evolving and increasing skills requirements of employers across many sectors. Our unemployment rate continues to decline which means that our local labour market is tightening. At the same time we note that our participation rate is also lower than the provincial average.

As noted in our labour market update, national data shows that older workers are delaying retirement.

Anecdotally we hear about displaced workers many of whom would be classed as mature workers who are dropping out of the labour market because they feel that they cannot compete in the knowledge economy. Service providers note that there is a lack of motivation to upgrade their skills or explore new career opportunities.

Working with Displaced Workers Priority Issue

Displaced workers are having difficulty in transitioning to new jobs in the current economy

Past Action

Ongoing discussion at community consults highlight the needs of these workers

Proposed Action

Proposed Partners Timelines

Expected Outputs/ Outcomes

Displaced workers many of whom would be classed as mature workers are often amongst the long-term unemployed. Anecdotally we know that one of their problems is a general lack of motivation to pursue employment that may be at a lower level than previous occupation or their disinterest in pursuing further training. In talking to service providers, their teams are struggling to work with this group. WPH will develop a profile of the experienced worker and their related job search issues through interviews and focus groups. We will present this information at a forum for front line workers. The event will feature a key note presenter that will provide motivational techniques for this group. The forum will be repeated in the morning and afternoon to maximize the attendance of frontline workers.

Workforce Planning Hamilton (lead) EO Employment Service Agencies City of Hamilton – Community Services May – July 2013: Research phase August – October 2013: Report development September – November 2013: Event planning January 2014: Event delivery •• Focus groups/interviews with displaced workers •• A report that highlights this research including data from OW and EO data •• An event for front line workers that shares research findings and features a keynote speaker who will provide techniques and suggestions for motivating this workforce sector.

•• Greater participation by this workforce sector in training and employment

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Employment and Training Community Services Mapping Priority Issue

This does not strictly address an issue identified in the data, however, it does, broadly speaking, work to ensure that the service options are aligned to job seeker clients

Past Action

WPH has worked with City of Hamilton – Community Services and the Skills Development Flagship to establish the Workforce Information Network – WINHamilton. ca in 2009 and has maintained and enhanced the site for public use in the interim

This project will revisit our community mapping work initiated in 2009. Using the WIN Hamilton site and the special client data received from MTCU plus information on OW Proposed clients WPH will 'map' employment, training and literacy services in Hamilton. The result Action will provide the service provider community with in-depth information about service alignment in Hamilton.

Workforce Planning Hamilton (co-lead) Proposed Adult Basic Education Association (co-lead) Partners City of Hamilton – Community Services (co-lead) Skills Development Flagship April - June 2013: Step 1 - Gather detailed program information.

Timelines June - July 2013: Step 2 Analyse client data.

July -September 2013: Step 3 Develop report and visual representation.

•• Expected •• Outputs/ Outcomes ••

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A user-friendly visual representation or mapping pathways and relationships of all employment related services in the community including literacy A report that identifies service relationships and linkages and the alignment between client service needs and services in the community Greater connectivity, awareness and alignment of programs and services in Hamilton

KEY PRIORITY: YOUTH

ATTRACTION, RETENTION AND INTEGRATION Access to labour market for youth labour market continues to be an issue for Hamilton. Nationally research shows that youth are postponing labour market entry to pursue advanced or different post secondary credentials. We are also seeing increasing numbers of youth working in sales and service occupations while they try to find employment related to their educational background. For the Hamilton CMA, 53.3% of those working sales and service jobs are youth. Our labour market profile on Sales and Service sectors will be paying particular attention to the youth working in this sector.

WPH will also continue to support the Hamilton Youth Collaborative in the coming year. As their plan becomes available we will update our labour market plan with priorities related to youth employment.

KEY PRIORITY:

IMMIGRANT SKILLS INTEGRATION

WPH continues to work in partnership with HIPC and chair their Immigrant Employment Working Group.

Where possible we attempt to align priorities and action to increase opportunities for immigrants to work at a skill level commensurate with their education and experience. There are three key objectives: 1.

Increase newcomers’ awareness of employment and training services

2.

Improve newcomers’ access to the local labour market

3.

Engage employers to support the hiring and integration of newcomers in the workplace

Our ON TRACK employment tips and other resources will continue to be evaluated as we distribute them into the broader community to neighbourhood hubs, ethno-cultural organizations and faith communities to ensure that they reach a broader audience and that immigrants are aware of the employment services available in Hamilton.

In partial support of improving immigrant’s access to the local labour market, WPH has submitted an application for funding to provide mentorship opportunities for skilled immigrants. Our research in the Hiring Immigrants project has identified well over 100 employers who would be interested in further exploring mentorship.

The results of the Hiring Immigrants project will be reviewed and used to craft an Employer Engagement Strategy. As a first step we will host the event outlined below.

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Employer Engagement Event Priority Issue

Employers need to be actively engaged in hiring and integration of immigrants

Past Action

The Hiring Immigrants project has engaged over 300 employers in a survey to determine their attitudes and experience in hiring and retaining recent immigrants.

The Hiring Immigrants research project will set the stage for this event. At this event we will release the final report and custom resources for the employer community. The Proposed event will include networking opportunities, displays by employment service providers Action (80% of survey respondents identified the need for information on where to source immigrant talent) and presentations. Evaluation of the outcomes of this event will attempt to determine the impact on employer hiring decisions.

Proposed Immigrant Employment Working Group – includes EO agencies and other employment Partners service providers, Economic Development, Chamber of Commerce Timelines Date to be determined

Expected •• Outputs/ Outcomes

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Employers will actively seek out employment services in Hamilton to source immigrant talent.

CONCLUSION As a key stakeholder in the labour market planning process, WPH hopes that you and your organization will review this plan closely. We encourage you to be in touch with information about labour market initiatives and activity that we may have overlooked. We remain open to learning about new priorities, issues or actions that may require our attention or response.

We invite you to provide feedback on the data and analysis as well as priorities and actions. If you are interested in working on any of these initiatives, please be in touch. As always WPH looks forward to providing updates and timely labour market information that supports workforce development in Hamilton.

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Arnold, Steve. “Still a role for steel in Hamilton’s future.” Hamilton Spectator, January 5, 2013.

BMO Economics. “Canadian Employment Defying Gravity.” January 4, 2013.

Bogart, Nicole. “Hamilton Unemployment rate lowest in Ont. Cities.” Global News, January 4, 2013.

Canadian Chamber of Commerce. “Canada’s Skill Crisis: What We Heard.” 2012.

Carriere, Yves and Diane Galarneau. “Delayed retirement: A new trend?” Statistics Canada, October 26, 2011.

City of Hamilton. “Economic Review 2011.”

City of Hamilton. “Rural Hamilton Profile.” January 2006.

City of Hamilton Economic Development. <www.investinhamilton.ca> Cowden, Michael. “Rest of MANA union workers laid off: official.” American Metal Market, January 8, 2013.

Davy, Denise. “City sees biggest drop in welfare cases since 2008 recession.” CBC Hamilton, January 11, 2013.

Frketich, Joanna. “McMaster’s Salim Yusuf is hot stuff.” Hamilton Spectator, April 11, 2012.

Gillis, Charlie and Chris Sorenson. “The New Underclass.” Macleans, January 16, 2013.

Hamilton Immigration Partnership Council. “Immigration flows to Hamilton.” 2006.

MacLeod, Meredith. “Hamilton breaks its building permit record.” Hamilton Spectator, January 15, 2013.

MacLeod, Meredith. “Report suggests Hamilton area will lead province in growth this year.” Hamilton Spectator, September 19, 2012.

Marr, Lisa Grace. “Hamilton Airport to get $12 million cargo facility.” Hamilton Spectator, January 11, 2013.

McKenna, Hugh. “One in four businesses plan to hire next year: survey.” The Globe and Mail, October 19, 2012.

Ontario Clean Technology Alliance. <www.ontariocleantechalliance.com> Ontario Clean Technology Alliance. “$60 million water consortium supports innovation across Ontario Clean Technology Alliance Communities.” October 1, 2012.

Scoffield, Heather. “Census: Hamilton, you’re getting older.” Hamilton Spectator, May 29, 2012.

Social Planning & Research Council of Hamilton. “Recession Impacts: Unemployment.” January 2013.

Statistics Canada. “Study: Influence of urban clustering on the productivity of firms, 1989 to 1999.” February 6, 2013.

Tal, Benjamin. “The Haves and Have Nots of Canada’s Labour Market.” CIBC World Markets Inc., December 3, 2012.

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Unknown author. “5 economic stories to watch in 2013.” Hamilton Spectator, January 5, 2013.

Unknown author. “Hamilton population growing slow and steady but still good.” Hamilton Spectator, February 9, 2012.

Unknown author. “Most Creative Cities in Canada 2012.” Hamilton Reporter, July 13, 2012.

Wong, Danielle. “10 myths about immigration.” Hamilton Spectator, October 16, 2011.

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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 WPHâ&#x20AC;&#x2122;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