In the last month of 2018, Canada’s unemployment rate was recorded at 5.8%. This is the lowest it’s been since 1976. More than 90,000 new jobs were created in December alone. And in the construction sector, no topic was more heavily discussed and debated than the tariffs and trade negotiations.
TSheets surveyed 500 respondents in the construction industry across 111 cities in Canada to find out how businesses plan to cope with the levies, if and how hiring will be affected, and how the diversifying and digitizing the workforce can make a difference.
Most business owners are concerned and cautious
In the TSheets survey, 42% of respondents expressed concern about the tariffs, while 51% expect a negative impact on Canada’s overall economic growth. When it comes to career outlook, 45% of those in hiring and managerial positions said the tariffs may reduce the number of construction jobs available in 2019.
Unable to gauge the full impact just yet, the same group also states how promotions and pay raises will be put on hold for the time being. However, 1 in 3 businesses says operations have not been impacted by the tariffs at the time of the survey, with more than 18% going ahead with recruitment as planned. 22% foresee hiring more seasonal workers to offset staffing costs.
Responses extracted from those in British Columbia almost mirror the collective national data:
- 31% say the tariffs have not impacted hiring.
- 20% plan to hire additional workers corroborates with the national data.
- 26% say jobs are secure, but promotions and/or pay raises will be put on hold.
The need to digitize is greater than ever
Business owners also shared possible workarounds to combat the tariffs, including utilizing cheaper materials, loading employees with more responsibilities, and trying to complete projects quicker. Yet TSheets discovered the majority of businesses are still plagued with fundamental pain points.
27% of those in supervisory or ownership roles say they struggle to keep accurate labour and material records, with the root of the problem becoming clear: 85% of employees are still tracking time manually, whether it’s using pen and paper, a physical timesheet, spreadsheet or even having a manager to do it for them.
At a time when policies and politics are uncertain, construction businesses would be remiss not to leverage solutions readily available to them, not just regarding heavy machinery or equipment but also investing in day-to-day operations with the help of technology. Businesses have reported they’re able to save up to five hours per week in time and work just by digitizing their time tracking method.
A national and provincial shortage of skilled labour
It is also imperative to recognize and address the challenges in Canada’s construction industry before tariffs ever came into the equation. The low unemployment rate means the competition for top talent is fierce. But the construction industry also faces an imminent wave of retirements without replacements. In British Columbia specifically, BuildForce Canada predicts more than 40,000 workers will retire by 2027, but only 32,000 new entrants are expected.
There is also a vast gender imbalance when it comes to labour, where women’s participation in construction is the lowest compared to any other industry. But change is coming. There are increasingly more provincial apprenticeships and training programs exclusively for women to join the trade industry. Here are some to consider in British Columbia:
Conducted by the British Columbia Institute of Technology, this program helps women gain hands-on experience in about 20 different trades.
Offered by the Industry Training Authority (ITA), the program provides training, financial assistance, and support for women in British Columbia.
- Diversity in the Workplace Trades — Training Leading to Apprenticeship
In December 2018, UA Piping Industry College of British Columbia was announced as the recipient of a $760,000 investment from the Government of Canada to support key groups such as women, indigenous people, newcomers, and people with disabilities to work in the skilled trades.
About the Author
Prior to joining the copywriting team at TSheets by QuickBooks, Dottie Chong spent 15 years in marketing communications and content management focused on driving engagement and brand affinity. When no one is watching, she indulges in K-pop, knitting, and karaoke, all at the same time.