Employers struggle to deal with tightening N.L. labour market
A shift in the labour market has put employers in Newfoundland and Labrador on the defensive, with many saying they are unable to find qualified applicants despite the largest unemployment queues in Canada.
"We're looking for people with a [high school] education, that have some background and work history," said David Gill, who has been exasperated trying to recruit workers for TerraFootwear in Harbour Grace.
With a need to increase production to fill an order of 53,000 pairs of military boots, the company was surprised to learn it has not nearly enough qualified applicants.
"We're finding more and more there are a lot of people out there with no work history or who don't have high school completion," Gill told CBC News.
Only a year ago, Terra had all the employeesit needed. Gill said he cannot believe he has a hard time finding people to fill jobs in rural Newfoundland.
Gill is attending a Newfoundland and Labrador Employers' Council workshop this week on recruiting labour— a topic that has become critical for many employers, with tough competition from Alberta and an ever-decreasing number of young people moving into the workforce.
Statistics Canada estimates that Newfoundland and Labrador's workforce has grown by about four per cent since the beginning of 2006, with about 9,000 new jobs added to the labour pool.
However, at 14.2 per cent — the rate recorded in October— the province continues to have the highest unemployment rate in Canada.
The St. John's area, though, has an unemployment rate of eight per cent, and employers there say they have been caught off guard by swiftly shifting sands.
'Attitude and commitment'
Janet Kelly, who owns the Auntie Crae's deli and coffee shop in downtown St. John's, said staff turnover has become an increasing issue, as staff leave for other opportunities. She expects the busy Christmas season to be riddled with staffing issues.
"We have on staff people who have agreed in writing to be there until the 24th of December, but we know from experience that they won't," Kelly told CBC News.
That has prompted Auntie Crae's, which exports its roasted coffee and runs a foodservice program, to rethink how it hires.
"We have to interview not for skills but for attitude and commitment, more so," Kelly said.
The Iron Ore Company of Canada— which has been in a cost-containment mode for years with its Labrador City mine— is now looking for large numbers of new workers, for the first time in years.
"The demographics have changed considerably at IOC," said human resources manager Heather Bruce-Veitch, who was pitching the company this week to Memorial University students in St. John's.
"We currently have a third of our workforce eligible to retire, and as a result we, like a lot of other places, are really competing for the talent."
About 80 jobs are already open at IOC, with more expected in the years to come.
Alberta scouting
A wakeup call for many employers came last week, when thousands of job-seekers lined up at a St. John's hotel, eager to find work with the Alberta-based employers scouting for new hires.
Lana Payne, who works with the Fish, Food and Allied Workers union, said employers will need to reconsider the wages and benefits they're prepared to pay.
"I don't think it's the only factor, but it's a big piece. If you look at wages in our province, they're significantly lower on average than anywhere else in the country," Payne said.