Skill Dearth in Canadian Construction Industry

This article speaks about the expected growth of the Canadian construction industry and its implications on the labor supply-demand market. - Identification of the labor shortage problem - Reasons for skilled labor shortage - Remedial steps to address the problem Introduction Construction being one of the largest industries in Canada's; it contributes around 6% to the country's GDP. Canadian construction industry is expected to enter into the second decade of strong growth. The industry employs more than a million workers, who engage in more than USD 130 Billion worth of contracts. This industry has shown a steady growth since 1995 and it is expected to grow at a greater pace in the future. Megaprojects in resource sectors like oil and gas, energy and minerals are the prime drivers of the construction industry. This table shows the state wise compound annual growth rate of the construction between 2011 and 2016. It is observed that states like Alberta, Manitoba, Newfoundland, Labrador, Ontario and Prince Edward Island show more than 2% growth in construction investment. This accelerated growth of the industry increases the demand for skilled labor force, updated technology and raw materials. This article speaks about the difficulties in meeting the demand for skilled labor force and the ways of addressing the problem. Author: Swathi Ilango