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How to Adapt to the Labour Shortage Situation

Canada’s current employment numbers disclose that labour shortages are becoming increasingly severe in Canada. The country offers foreign citizens exceptional chances to move there and achieve their permanent status.

As per the global employment agency, in Q3 of 2021, Canada reached an all-time peak of 912,600 vacancies. This is because employers and workers persisted in adapting to relieving public health limitations and rapidly-changing economic situations.

The record-high vacancies met with an increase in general employment and declining unemployment. It is similar to other nations recuperating from the COVID-19 pandemic’s job market effects.

The GTS (Global Talent Stream) of the TFWP (Temporary Foreign Worker Program), which processes Canadian work passes and visa applications in under two weeks, provided speedy staffing solutions for many firms facing labour scarcities.

Express Entry and Global Talent Stream

Established in 2017, the GTS was accepted as a permanent scheme after 24 months, upon showing to be immensely successful with most of Canada’s greatest technological companies.

The Express Entry system is also a fantastic alternative for immigrant employees to come to Canada. It handles Canada’s immigration software intake and enables candidates who fulfill eligibility requirements to give an online identity recognized as an EOI (Expression of Interest). Participants will do so under Canada’s government immigration schemes or a participating regional immigration system to the Express Entry Pool.

Candidates’ resumes are then evaluated against one another using the Comprehensive Ranking System, which is a points-based method. Invitations to apply for permanent residency are given to the top-ranked candidates. Those individuals are applicable for Invitations to apply (ITAs). Within 60 days of getting an ITA, recipients must provide an application form and settle the service charges.

These permanent residency forms are expected to be processed in six months by the national govt.

Job Vacancies Hit All-Time High

Many Canadian firms are in desperate need of employees. In Q3 2021, available jobs in Canada were approximately 62.1% more than the same period two years before, prior to the COVID-19 outbreak.

Throughout that timeframe, the job vacancy level was 5.4%, at a historical high, and 2.1% points more than in Q3, 2019.

Thus, the demand for a federal skilled worker in Canada is felt throughout the nation. Moreover, the need is in practically every area of the economy.

The Prairie state of Saskatchewan witnessed the largest percentage increase in job vacancies from Q3 2019 to Q3 2021, with a rise of 82.7%.

Quebec, a francophone state, placed second with only a 73.1% increase in employment vacancies throughout the time, preceded by Ontario with 64.5%. 18 of the 20 industry sectors experienced an increase in job openings.

The availability of jobs grew the most in five industries.

During that time, the number of employment vacancies in hotels, catering and restaurants grew more than double to 86,400, with an increase of 112.8%. Job openings in medical and social support increased by 78.8%, or 52,100 posts. Construction job opportunities climbed by 83.7%, or 34,300 posts, while commerce job vacancies grew by 45.2 % or 32,400 roles. Simultaneously, manufacturing job vacancies rose by 62.4% or 31,200 job titles.

The Hospitality Sector is in Demand

Nurses and receptionists are in scarcity in Canadian medical centres.

The lack of workers in the food as well as hospitality industry in Q3, 2021 was owing to eateries, pubs, and hotels reopening. It is also due to eateries, pubs, and hotels reopening or expanding operations after COVID-19 global health limitations, notably lockdowns, throughout the epidemic.

Many construction businesses are having difficulty finding a federal skilled worker. Those with the necessary abilities and expertise are just not where the corporations need them to be.

Wages For More Than Half Of Open Jobs Rise Faster Than Consumer Price Index

Because of the scarcities, Canadian firms have little choice but to raise their pay rates. The higher earnings give workers greater purchasing power than they’d have had two years earlier in over half of the available posts in the Q3, 2022.

However, the labour condition is not a one-way path where employers simply give more. Recruiters also want their employees to have good job skills.

As the desire for talents fluctuates, various variables, such as the amount to which roles need specialist knowledge, affect businesses’ capacity to locate individuals to fill vacancies.

Of the 495 jobs in the NOC (National Occupation Classification) for which job profiles exist, 226 need one specialized technical ability for work performance.

For instance, software developers and interactive multimedia programmers need coding and operational analysis abilities. Whereas electricians need diagnosing, restoring, and quality control analysis talents.

In Q3 2021, job openings in those 226 professions together increased by 56.7%, to 242,200, in contrast to Q3, 2020. In 2020, there was a 25.1% of the total two-year rise in job openings.

On the other hand, less-skilled workers have plenty of opportunities in Canada.

As opposed to jobs requiring specialized technical knowledge, 40 NOC professions need no technical expertise and only five non-technical qualifications. In Q3 2021, openings in professions, like food counter personnel, kitchen assistants plus related support, construction trades assistants and manual workers, and light-duty cleaning agents, increased by 73.7% to 234,600. Moreover, this accounted for 28.5% of the overall two-year ramp-up.

The Ontario provincial government has announced to increase the pay to minimum wages of 15 dollars per hour from Jan. 1st, 2022.

Adapting to the Labour Shortage Situation

Flexibility is the key. In Canada, unemployment has returned to its pre-pandemic low levels. That means that many workers have the option of choosing which location they work. The salary and flexibility offered by plans allow working from home. In addition, other plans like a four-day work week are likely to influence their choice. This will require a radical shift in the way that companies conduct business.

The majority of companies are forced to change or be left with a shortage of employees. However, should they make the necessary changes, they can retain and attract talented and dedicated employees.

These Canadian Industries Are Currently Facing The Biggest Labour Shortages

Canadian organizations are still having trouble finding staffing solutions. Many believe that searching for candidates will get worse.

According to a new study, Canadian Enterprises are still in severe need of labour and find it harder to fill vacancies.

Eighty-four percent of businesses plan to have difficulty recruiting in 2021, with about one-third indicating that they now have unfilled positions that they can’t fill.

Problems assessing prospective candidates’ skills and increased competitiveness in the labour market are two factors cited by employers for the recruiting shortage. Companies also claim to be dealing with a skills shortage, with individuals missing hard and soft abilities. Moreover, some companies claim that none is enrolling at all.

Biggest Industries by Employment

Canada in 2022










Here is a list of industries that are facing the biggest labour shortages.


Employment number for 2022: 651,335

Between 2016 to 2019, the Healthcare sector in Canada, which comprises medical and surgical units, rose sharply. As per CIHI (Canadian Institute for Health Information),  Canada’s medical system is primarily public, with the government providing 70.4 percent of financing to them and the private industry supplying the rest.

Consequently, the business relies largely on federal and provincial funding, mostly distributed through global budgeting systems. These systems assign a preset payment amount to a supplier to meet operational costs for a specified period.

Full-Service Restaurants

Employment number for 2022: 531,399

The COVID-19 eliminated numerous years of consistent progress in the Full-Service Restaurants business in Canada during five years until 2021, resulting in a general fall in performance. Before the outbreak, increased per capita disposable revenue and consumer expenditure drove the business forward.

Nevertheless, the pandemic resulted in an unusual and rapid drop in industry income, resulting in massive layoffs and shutdown. While some operators have reacted to difficult operating parameters by providing takeaway and delivery, many businesses have struggled to profit due to low sales and increased costs.

Supermarkets & Grocery Stores

Employment number for 2022: 431,287

Even during COVID-19, this sector in Canada has remained strong over the five years until 2021. While increasing consumer trust and a minor rise in per capita disposable revenue created an ideal business climate, the expansion of supercentres has hindered sector revenue by increasing price-based rivalry and providing buyers with a one-stop buying experience. Many shoppers saved money by stockpiling on promotional products or switching to private-label businesses at grocery shops.

Fast Food Restaurants

Employment number for 2022: 402,477

Despite increasing internal rivalry, the COVID-19 and shifting customer preferences, Canada’s industry has grown throughout the 5 years till 2021. Customer spending has increased, and fast food establishments have innovated new products, reigniting consumers’ attention to fast food.

Coffee, milkshakes, and salads, which have better profit margins, are becoming more popular at typical fast food joints, resulting in a rise in average industry revenue. Moreover, in the latest years, menu personalization plus high-quality ingredients have grown extremely popular, prompting key industry participants to rethink their overall plan and menu offers.

Colleges & Universities

Employment number for 2022: 321,838

Despite decreased government support and the transmission of COVID-19  in Canada, this sector has risen throughout the five years to 2021. Tight budgets have limited support from the country and global employment agencies for higher education during this time. This forced several institutions to enact hiring and pay freezes to cut costs.

Simultaneously, total enrollment has increased somewhat, and most schools have raised tuition fees. Throughout five years till 2021, sector revenue is expected to rise an annualized 2.2 percent to $42.7 billion, with a 3.2 percent growth in 2021.

IT Consulting

Employment number for 2022: 320,499

Companies that assist private organizations and government agencies in developing, building, and maintaining IT systems make up the IT consulting market in Canada. Growth in company profit and brand confidence have a beneficial impact on the market for industry services.

Companies raise their investment in business services as these forces intensify. Due to the high presence of cloud-based solutions, mobile applications, and other advanced software, there’s been a lot of technical progress in the five years leading up to 2021.

Commercial Banking

Employment number for 2022: 281,293

Despite low-interest figures and some slowing economic development, Canada’s commercial banking business has grown in the 5 years leading up to 2021. Banks have accomplished an outstanding job expanding income streams and managing the restrictions placed by low-interest tariffs and evolving regulations.

The industry makes most of its money from interest-bearing sources like commercial loans and mortgages. However, it also makes money from non-interest-bearing sources, including fees for a range of services and royalties. As a result, industry revenue is predicted to increase by 5.5 percent annually to $221 million.

Janitorial Services

Employment number for 2022: 191,252

Throughout the five years till 2021, the janitorial business in Canada is likely to see modest revenue volatility. Because the corporate world generates the majority of revenue, industry players are heavily reliant on downstream firms and landowners’ cleaning jobs and finances.

Additionally, because the sector is cyclical, economic fluctuations generally influence operators. It is anticipated that industry income will drop in 2020 owing to COVID-19. Nonessential enterprises were compelled to close during the crest of the outbreak.

Pharmacies & Drug Stores

Employment number for 2022: 188,396

This market in Canada has profited from the reality that medicines are recently one of Canada’s major health spending sectors throughout the 5 years to 2021. Rising drug costs have boosted industry growth in the five years leading up to 2021. However, many state drug plans have lowered prescribed pricing to save customers money on healthcare, affecting producers in the process.

Many areas, for instance, have mandated that generic pharmaceuticals be reduced in price by a percent of the patented pharmaceutical equivalent. This is with respect to stifling revenue increase and impeding more strong industry profit development.


The “employment market” is a challenge for employers. That means, at present, potential employees have many options to pick from. Thus, they will be more comfortable rejecting a job that doesn’t completely meet their requirements.

Furthermore, according to employers, many federal skilled workers lack the necessary abilities to perform the job. They’re also blaming government handouts for keeping individuals out of the market who have the necessary skills.

There is a significant disparity between job searchers’ abilities and the skills that employers require. This is particularly in specialized trades and physically demanding professions.


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