Canada Employed

Q3 Labour Outlook: Low Supply, High Demand

• General Labour, Skilled Trades, and Administrative Positions in High Demand

• No One Plans to Eliminate Positions

Contrary to recent talk of a looming recession, a new survey released today by Express Employment Professionals found that 77% of businesses plan to continue hiring in the third quarter of 2019-with especially strong hiring in industrial positions. In the survey, which polled business leaders, 36% of respondents also expect wage growth at their businesses. 

Respondents were asked in which "segments" they planned to hire workers in the third quarter and could choose multiple segments. The top responses include:

• 36% said general labour (industrial).
• 32% said skilled labour (industrial).
• 20% said administrative or office clerical.
• 9% said accounting and finance.
• 6% said healthcare.

Respondents were also asked whether they planned to eliminate any positions in specific "segments," and could once again could choose multiple answers.

• 93% had no plans to eliminate positions.
• 4% said general labour (industrial).

These positive survey results reflect what Express Employment Professionals franchise owners are reporting in their local areas.

"We are expecting an increase in hiring compared to Q2 and about as robust as Q3 of last year," said Colleen Gaudette, an Express franchise owner in Windsor, Ontario. "In our area, there is high demand to fill retail, construction, skilled trades and administration positions."

In Delta, British Columbia, Express franchise owner Niven Lee is seeing the same trend.

"The labour market continues to be tight, so we expect hiring to increase in Q3 compared to Q2 and increase compared to Q3 2018," Lee said.

While hiring is also expected to increase in Q3 compared to Q2 in Pickering, Ontario, "we don't expect hiring to be higher than it was in Q3 of 2018," according to Express franchise owner Daisy Kaur. "Skilled labour roles continue to be most difficult to fill, as number of workers retiring continues to exceed the number of available or new workers."

Respondents were also asked about wages at their companies. 

• 64% expect wages to stay the same.
• 36% expect wages to increase.
• No one expects wages to go down.

"We have already seen wages increase compared to Q3 2018," said Lee. "With a hot labour market and skills mismatch, we are seeing companies willing to pay higher wages to secure those with the right skills."

"Employers continue to recognize the need to remain competitive in wages in order to attract the best talent that is available," Gaudette said. "However, companies also recognize that wages aren't the only tools required to attract workers and are investing in improving things like work environment and benefits."

"Despite the predictions of a recession we were hearing a year ago, the economy continues to plug along, with new jobs being created and businesses hiring," said Bill Stoller, the CEO of Express. "Our franchise owners-the experts on the ground-continue to see signs of economic strength. Cautious optimism remains the prevailing sentiment-and appropriately so."

About the Survey

In June of 2019, Express Employment Professionals surveyed 576 business owners, decision makers, and human resource professionals about the overall national hiring trends in the market today and how their business is impacted. Respondents were current and former Express clients.

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If you would like to arrange for an interview to discuss this topic, please contact Ana Curic at (613) 858-2622 or email ana@mapleleafstrategies.com.

About Bill Stoller

William H. "Bill" Stoller is chairman and chief executive officer of Express Employment Professionals. Headquartered in Oklahoma City, the international staffing company has more than 800 franchises in the U.S., Canada and South Africa. Since its inception, Express has put more than 7.7 million people to work worldwide.

About Express Employment Professionals

Express Employment Professionals puts people to work. It generated $3.56 billion in sales and employed a record 566,000 people in 2018. Its long-term goal is to put a million people to work annually. For more information, visit ExpressPros.com.