Canada’s construction and maintenance industry rebounded strongly in 2021 and is expected to continue growing through 2027 on the strength of strong near-term demand and sustained activity in several key sectors.
BuildForce Canada released its 2022–2027 Construction and Maintenance Looking Forward national forecast today. The report focuses on a six-year horizon for labour market data as opposed to the 10 years studied in previous reports. The shortened forecast period allows the report to focus more clearly on short- and long-term demand and supply pressures impacting Canada’s construction sector.
Construction investment rebounded strongly in 2021 as Canada’s economy recovered from the effects of the COVID-19 pandemic. Total year-over-year construction investment increased by approximately 11% in 2021, as both the residential sector (+14%) and the non-residential sector (+8%) saw gains. Investment is projected to remain at or near current high levels through 2023 and before declining gradually over the remainder of the forecast period.
The rise in construction activity in 2021 lifted employment to approximately 1.1 million workers. That figure is a 7% increase over 2020 levels and a 1% rise over pre-pandemic figures recorded in 2019. The surge in construction activity in both the residential and non-residential sectors is expected to boost employment further to a peak in 2022, before diverging trends take hold thereafter. By 2027, employment is expected to expand by nearly 16,000 workers, or about 1% above 2021 levels.
“The good news story is that construction has rebounded well from the effects of the COVID-19 pandemic, thanks to a strong housing market and public-sector infrastructure investments,” says BuildForce Canada Executive Director Bill Ferreira. “The challenge before the industry, however, is how to manage its labour force. Retirements are expected to reach their highest levels over the next two years. About 156,000 workers, many of whom are from the baby-boom generation, are expected to exit the industry. This represents a significant loss of skills and experience – skills that take time to develop and that are not typically easily replaced by new workers entering the labour force.”
Residential construction activity recorded significant increases in 2021, with housing starts increasing by 21% over 2020 levels. BuildForce Canada expects demands in most provinces to recede from this peak in 2022 or 2023. There appears to be some evidence that Canada is not keeping up with demand for new homes, though in the face of rising interest rates, declines are expected in the rate of new-home construction throughout the forecast period. This in turn should produce corresponding declines in overall employment; declines that are only partly offset by rising demand for renovation work. By the end of the forecast period, residential-sector employment is expected to have declined by 4% (-24,900 workers) from its 2021 starting point.
Non-residential demands are expected to remain strong over the forecast period, driven by increases in spending across the public and private sectors. The largest gains are expected over the near term, peaking in 2024. Employment by 2027 is expected to be 5% higher than 2021 – an increase of 26,300 workers.
Provincial activity varies
Construction activity in all four Atlantic provinces is expected to peak between 2022 and 2024 before receding through the end of the forecast period. Nova Scotia is the only one of the four provinces in which employment is expected to increase through the forecast period, thanks in part to elevated levels of public-infrastructure investment in both civil and health care projects.
Quebec is expected to see strong short-term growth in all segments of construction. Residential demands will be mostly unchanged to 2024 and then ease in the latter half of the forecast period. Similarly, non-residential demands will rise to a peak during this period, but then retreat slightly as work on institutional projects winds down in the latter half of the forecast.
Ontario’s construction market is expected to see labour market challenges throughout the forecast period as sectoral unemployment returns to historically low levels. The pace of residential activity is expected to moderate, but a growing inventory of major infrastructure projects and a projected recovery in commercial building construction is expected to create growth across the forecast period and throughout the province’s discrete regions.
Manitoba’s construction market is set to continue its recovery in 2022, as new infrastructure investments help to offset the winding down of construction activity at Manitoba Hydro’s Keeyask dam project. Although construction demands are expected to moderate, they are expected to remain above 2021 levels by the end of the forecast period.
Saskatchewan appears poised for another extended period of construction expansion. Residential construction is expected to grow through 2022 with growth moderating afterwards, while public- and private-sector non-residential spending plans will be sustained through 2027.
The outlook for Alberta sees heavy-industrial maintenance work and public-sector spending driving employment growth in the near term, while projected increases in oil and gas investment should help to raise non-residential employment later in the forecast period. These should offset expected residential employment declines.
British Columbia’s residential and non-residential demands are poised to rise in 2022 and be largely sustained across the forecast period. The increases will be driven by strong demand in the public sector, as well as a recovery in new housing and renovation work, and commercial building construction.
“Normally, interprovincial mobility would be one solution the industry can deploy to compensate for peak periods of demand,” says Ferreira. “But given that peak demands will be seen across the country at almost exactly the same time, that option appears less viable in the short term. Employee-incurred costs when looking for work outside their home market also creates a strong disincentive to interregional mobility.”
Closing construction’s skills gap
The development of skilled tradespersons in the construction industry takes years, and often requires participation in a provincial apprenticeship program. Replacing retiring workers typically requires several years of pre-planning to avoid the creation of skills gaps. By 2027, overall hiring requirements in the industry are expected to near 172,000 due to the retirement of approximately 156,000 workers (or 13% of the current labour force) and growth in worker demand of nearly 16,000.
Based on historical trends, Canada’s construction industry is expected to draw an estimated 143,000 first-time entrants aged 30 and younger from the local population, leaving the industry with a possible retirement-recruitment gap of 13,000 workers. When coupled with demand growth, the industry may be short as many as 29,000 workers by 2027. Clearly, an ongoing commitment to apprenticeship development in both compulsory and non-compulsory trades will be necessary to ensure there are sufficient numbers of qualified tradespeople to sustain a skilled labour force over the long term.
The pandemic has complicated the training and certification of new workers. The latest Registered Apprentice Information Systems data shows declines in new registrations of at least 20% in nearly every province. Such impacts are likely to reduce the near-term numbers of new certified workers.
“The pandemic undoubtedly caused challenges in the labour force, and its effects will be felt for years to come,” says Ferreira. “The good news, though, is that the number of workers aged 25 or younger in construction grew by 4.7% in 2021. This suggests that the industry’s targeted recruiting efforts are bearing fruit. It will be increasingly important for the industry to build on this success, particularly as the population ages.”
The construction industry remains focused on building a more diverse and inclusive labour force. To that end, efforts are ongoing to enhance the recruitment of individuals from groups traditionally underrepresented in the province’s construction labour force, such as women, Indigenous people, and newcomers to Canada.
In 2021, there were approximately 190,000 women employed in Canada’s construction industry, of which 27% worked directly in on-site construction. However, of the 1 million tradespeople employed in the industry, women made up only 5% of the on-site construction workforce.
The Indigenous population is another underrepresented group that presents recruitment opportunities for the construction industry. In 2021, approximately 63,700 Indigenous people were employed in Canada’s construction sector, or 9% of all Indigenous people in the workforce. Of those in the construction and maintenance industry, 81% work directly on construction projects. As the Indigenous population is the fastest growing in Canada and Indigenous workers seem predisposed to the pursuit of careers within the sector, there may be scope to further increase the recruitment of Indigenous people into the construction workforce.
The construction industry may also leverage new Canadians over the coming decade to meet anticipated labour market requirements. Canada is expected to welcome an average of more than 237,000 new international migrants each year between 2022 and 2027. This will make new Canadians a growing segment of the overall labour force. The national construction labour force is comprised of approximately 20% new Canadians, which is lower than the overall share of new Canadians in the total labour force (26%).
Increasing the participation rate of women, Indigenous people, and new Canadians could help Canada’s construction industry address its future labour force needs.
BuildForce Canada is a national industry-led organization that represents all sectors of Canada’s construction industry. Its mandate is to support the labour market development needs of the construction and maintenance industry. As part of these activities, BuildForce works with key industry stakeholders, including contractors, proponents of construction, labour providers, governments and training providers, to identify both demand and supply trends that will impact labour force capacity in the sector, and supports the career searches of job seekers wanting to work in the industry. BuildForce also leads programs and initiatives that support workforce upskilling, workforce productivity improvements, improvements to training modalities, human resource tools to support the adoption of industry best practices, as well as other value-added initiatives focused on supporting the industry’s labour force development needs. Visit www.buildforce.ca.
For further information, contact Bill Ferreira, Executive Director, BuildForce Canada, at [email protected] or 613-569-5552 ext. 2220.
Alberta’s construction market showed signs of a long-awaited recovery in 2021, thanks to a strong rise in residential-sector investment and increased major-project requirements. That growth and increasing heavy-industrial maintenance requirements should lead to an even stronger pace in 2022, before moderating through 2027.
BuildForce Canada released its 2022–2027 Construction and Maintenance Looking Forward report for Alberta today. The report focuses on a six-year horizon for provincial labour market data as opposed to the 10 years studied in previous reports. The shortened forecast period allows the report to focus more clearly on short- and long-term demand and supply pressures impacting the province’s construction sector.
“Alberta’s construction market is emerging from a challenging period that saw a downward trend in employment carry through from 2015 to 2021,” says Bill Ferreira, Executive Director of BuildForce Canada. “Our scenario forecast for the province anticipates overall construction employment to strengthen further in 2022, driven by an increase in both residential and non-residential demands. Demands weaken temporarily in 2023 as many current major projects wind down and new housing slows, but modest growth should continue over the remainder of the forecast period.”
Construction employment in Alberta is expected to rise by about 2,400 workers, or 1.4% of the 2021 labour force, by 2027.
In the near term, Alberta employers may face recruiting challenges. The contraction of the province’s construction market in recent years led many workers to leave the industry or look for work outside of the province. Those losses deepened in 2020 as a result of the COVID-19 pandemic and the resulting instability in the oil and gas markets. Labour force declines were most pronounced among the core working-age group of those 25 to 55 years of age. While some of those workers are expected to re-enter the labour force as the economy re-opens, the loss of experienced workers, should they be slow to return or decide to retire, could have a lasting impact.
BuildForce Canada expects that Alberta’s construction industry will need to replace an estimated 22,650 workers, or 12% of the current labour force, who are expected to retire by 2027. The province, however, is well positioned to close any resulting employment gaps, given that approximately 23,000 new workers under the age of 30 are projected to enter the labour force from the local population.
The development of skilled tradespersons in the construction industry takes years, and often requires participation in a provincial apprenticeship program. New registrations in Alberta’s 19 largest construction trade programs experienced a significant decline in 2019, falling 20% from 2018 levels to under 7,800 new registrants, in line with lower levels of provincial employment. The latest Registered Apprentice Information Systems data suggests that new registrations declined by a further 30% in 2020, as COVID-19 imposed obstacles to the delivery of in-school training, testing, and certification. These impacts are likely to reduce the near-term numbers of new certified workers.
Based on projected new registrations and completion trends, several Alberta trades are at risk of potentially undersupplying the number of new journeypersons required by 2027. Trades within this group include Boilermaker, Carpenter, Glazier, Insulator, Powerline Technician, and Welder.
The construction industry remains focused on building a more diverse and inclusive labour force. To that end, efforts are ongoing to enhance the recruitment of individuals from groups traditionally underrepresented in the province’s construction labour force, such as women, Indigenous people, and newcomers to Canada.
In 2021, there were approximately 36,000 women employed in Alberta’s construction industry. Of them, however, only 32% worked directly in on-site construction. As a share of the total, women made up just 7% of the 168,800 tradespeople employed in Alberta’s construction industry in 2021. These figures are virtually unchanged from 2020.
The Indigenous population is another underrepresented group that presents recruitment opportunities for Alberta’s construction industry. In 2021, approximately 63,700 Indigenous people were employed in Canada’s construction sector, or 9% of all Indigenous people in the workforce. As the Indigenous population is the fastest growing in Canada and Indigenous workers seem predisposed to the pursuit of careers within the sector, there may be scope to further increase the recruitment of Indigenous people into the province’s construction industry.
The construction industry is also committed to the recruitment of newcomers to Canada. Alberta is expected to welcome an average of nearly 229,460 new international migrants each year between 2022 and 2027, making the immigrant population a key potential source of labour force growth. Currently, newcomers and more established immigrants make up about 17% of the province’s construction workforce.
Increasing the participation rate of women, Indigenous people, and new Canadians could help Alberta’s construction industry address its future labour force needs.
BuildForce Canada is a national industry-led organization that represents all sectors of Canada’s construction industry. Its mandate is to support the labour market development needs of the construction and maintenance industry. As part of these activities, BuildForce works with key industry stakeholders, including contractors, proponents of construction, labour providers, governments and training providers, to identify both demand and supply trends that will impact labour force capacity in the sector, and supports the career searches of job seekers wanting to work in the industry. BuildForce also leads programs and initiatives that support workforce upskilling, workforce productivity improvements, improvements to training modalities, human resource tools to support the adoption of industry best practices, as well as other value-added initiatives focused on supporting the industry’s labour force development needs. Visit www.buildforce.ca.
For further information, contact Bill Ferreira, Executive Director, BuildForce Canada, at [email protected] or 613-569-5552 ext. 2220.
This report was produced with the support and input of a variety of provincial construction and maintenance industry stakeholders. For local industry reaction to this latest BuildForce Canada report, please contact:
Tyler Bedford
Director of Communications
Building Trades of Alberta
780-298-7626
Paul de Jong
President
Progressive Contractors Association of Canada
403-620-3781
Ken Gibson
President
Alberta Construction Association
780-233-6738
Ron Glen
CEO
Alberta Roadbuilders and Heavy Construction Association
780-436-9860 ext. 225
Dennis Perrin
Prairies Director
CLAC
587-785-1836
British Columbia’s construction market returned to positive growth conditions in 2021, following a brief pause induced by the COVID-19 pandemic. Looking ahead to 2022 and beyond, the industry is bracing for further growth, driven by rising major project requirements and sustained levels of new-home construction.
BuildForce Canada released its 2022–2027 Construction and Maintenance Looking Forward report for British Columbia today. The report focuses on a six-year horizon for provincial labour market data as opposed to the 10 years studied in previous reports. The shortened forecast period allows the report to focus more clearly on short- and long-term demand and supply pressures impacting the province’s construction sector.
“British Columbia’s economic growth recovered strongly in 2021. That trend should continue into 2022 and beyond, supported by strong levels of consumption and continued growth in residential and non-residential investment,” says BuildForce Canada Executive Director Bill Ferreira. “Demands in both sectors should be sustained across the forecast period.”
In the near term, growth will be driven by almost every sub-sector of the construction industry, including major heavy industrial, public transit, education, health care, road, highway, and bridge projects, as well as new housing and renovation work, and strong demand for commercial building construction.
Non-residential employment across the province is expected to peak in 2024, before receding through the end of the forecast period as major projects wind down. Residential employment, meanwhile, is expected to rise through 2022 before concluding the forecast period slightly (-2%) below 2021 levels.
“British Columbia’s construction market requires looking deeply at not only the province as a whole, but also its Lower Mainland and Vancouver Island sub-markets, both of which have unique conditions,” says Ferreira.
The Lower Mainland construction market, which includes Greater Vancouver, Fraser Valley, Sunshine Coast, Squamish, and Lillooet, accounts for about 60% of British Columbia’s construction market. Regional activity strengthened in 2021, led by a recovery in industrial, commercial, and institutional (ICI) building construction and intensification of major project activity. Employment in the Lower Mainland should reach a peak (5% above 2021 levels) in 2023, before receding as major projects wind down and new-home construction slows.
Meanwhile, Vancouver Island, which includes the Capital Region, Cowichan Valley, Nanaimo, Alberni-Clayoquot, Strathcona, Comox Valley, Powell River, Mount Waddington, and Central Coast, experienced stronger growth in 2021 due to a surge in new-housing construction. The start of a series of major health care and education projects will contribute to a further expansion in 2022, but construction employment is forecast to decline by 4% over 2021 levels by the end of the forecast period in 2027.
BuildForce Canada projects that British Columbia’s construction industry will need to recruit 27,600 additional workers over the forecast period to keep pace with expansion and replacement demands. More than 25,000 of those workers – or 13% of the 2021 construction labour force – are expected to retire during this period. Although the addition of almost 22,000 workers under the age of 30 from local recruitment efforts will help to offset these retirements, the labour force faces a near-term need for large numbers of experienced skilled workers. By 2027, the industry could face a deficit of 5,700 workers unless anticipated recruitment is increased.
The development of skilled tradespersons in the construction industry takes years, and often requires participation in a provincial apprenticeship program. New registrations in British Columbia’s 20 largest construction trade programs peaked in 2018, before declining by 7% in 2019. Based on the latest Registered Apprentice Information Systems data, new registrations declined by a further 18% in 2020, as the impacts of COVID-19 largely halted apprenticeship training and certification in the province.
Based on projected new registrations and completion trends, several trades may be at risk of undersupplying the number of new journeypersons required by 2027. Trades within this group include Boilermaker, Gasfitter, Glazier, Heavy-Duty Equipment Technician, Industrial Electrician, Insulator, Lather, Painter and Decorator, Roofer, and Welder.
The construction industry remains focused on building a more diverse and inclusive labour force. To that end, efforts are ongoing to enhance the recruitment of individuals from groups traditionally underrepresented in the province’s construction labour force, such as women, Indigenous people, and newcomers to Canada.
In 2021, there were approximately 35,200 women employed in British Columbia’s construction industry – an increase of approximately 7% from 2020 levels. Of them, however, about one-third worked directly in on-site construction. As a share of the total, women represented just 6% of the 188,200 tradespeople employed in the industry in 2021. That figure is unchanged from 2020.
The Indigenous population is another underrepresented group that presents recruitment opportunities for British Columbia’s construction industry. In 2021, approximately 63,700 Indigenous people were employed in Canada’s construction sector, or 9% of all Indigenous people in the workforce. As the Indigenous population is the fastest growing in Canada and Indigenous workers seem predisposed to the pursuit of careers within the sector, there may be scope to further increase the recruitment of Indigenous people into the province’s construction industry.
The construction industry is also committed to the recruitment of newcomers to Canada. Historically, newcomers and more established immigrants have accounted for about one-quarter of British Columbia’s construction workforce. With the province expected to welcome an average of just over 55,600 newcomers every year through 2027, the immigrant population will be a key potential source of labour force growth for the construction sector.
Increasing the participation rate of women, Indigenous people, and new Canadians could help British Columbia’s construction industry address its future labour force needs.
BuildForce Canada is a national industry-led organization that represents all sectors of Canada’s construction industry. Its mandate is to support the labour market development needs of the construction and maintenance industry. As part of these activities, BuildForce works with key industry stakeholders, including contractors, proponents of construction, labour providers, governments and training providers, to identify both demand and supply trends that will impact labour force capacity in the sector, and supports the career searches of job seekers wanting to work in the industry. BuildForce also leads programs and initiatives that support workforce upskilling, workforce productivity improvements, improvements to training modalities, human resource tools to support the adoption of industry best practices, as well as other value-added initiatives focused on supporting the industry’s labour force development needs. Visit www.buildforce.ca.
For further information, contact Bill Ferreira, Executive Director, BuildForce Canada, at [email protected] or 613-569-5552 ext. 2220.
This report was produced with the support and input of a variety of provincial construction and maintenance industry stakeholders. For local industry reaction to this latest BuildForce Canada report, please contact:
Kim Barbero
CEO
Mechanical Contractors Association of British Columbia
604-205-5058
Paul de Jong
President
Progressive Contractors Association of Canada
403-620-3781
Kelly Scott
President
BC Road Builders and Heavy Construction Association
604-436-0220
Rob Viccars
Communications & Marketing
Canadian Homebuilder’s Association of British Columbia
604-432-7112 ext. 301
Manitoba’s construction market is set to continue its recovery through 2022, as new provincial infrastructure spending offsets the winding down of activity at the Hydro Manitoba Keeyask dam project. In the long term, however, construction demands are expected to moderate.
BuildForce Canada released its 2022–2027 Construction and Maintenance Looking Forward report for Manitoba today. The report focuses on a six-year horizon for provincial labour market data as opposed to the 10 years studied in previous reports. The shortened forecast period allows the report to focus more clearly on short- and long-term demand and supply pressures impacting the province’s construction sector.
Employment in Manitoba is expected to peak in 2022, corresponding with peak requirements in the residential (+2%) and non-residential (+3.4%) sectors. More moderate growth is expected to the end of the forecast period for the non-residential sector, while employment growth in the residential sector recedes. By 2027, these trends will largely offset, leaving overall construction employment almost unchanged compared to the 2021 labour force.
“Historically, Manitoba has benefitted from a younger workforce more than most provinces, and this fact should stand the province in good stead over the forecast period,” says Bill Ferreira, Executive Director of BuildForce Canada. “If most of the young workers that exited the workforce during the COVID-19 pandemic return as the economy re-opens, and if the industry is able to recruit its fair share of workers from the local population, Manitoba should be able to satisfy its hiring requirements through 2027.”
BuildForce Canada expects that 4,500 workers – or nearly 11% of Manitoba’s current construction labour force – will retire by 2027. At the same time, the industry is expected to attract an estimated 5,400 new workers under the age of 30 from the local population. This trend is extremely positive and shows that industry efforts to boost recruitment to meet future needs is working, and that the industry should be able to meet its anticipated labour force demands throughout the forecast period.
The development of skilled tradespersons in the construction industry takes years, and often requires participation in a provincial apprenticeship program. New registrations in Manitoba’s 15 largest trade programs have trended downward since 2013, reaching a low of 1,009 in 2018. A 20% increase in 2019 was more than offset by the impacts of the pandemic. The latest Registered Apprentice Information Systems data suggests that new registrations declined by 31% to 834 – the lowest level of new registrants since 2005. These impacts are likely to reduce the near-term numbers of new certified workers.
Based on projected new registrations and completion trends, several Manitoba trades are at risk of potentially undersupplying the number of new journeypersons required by 2027. Trades within this group include Boilermaker, Industrial Mechanic (Millwright), Industrial Electrician, Mobile Crane Operator, and Welder.
The construction industry remains focused on building a more diverse and inclusive labour force. To that end, efforts are ongoing to enhance the recruitment of individuals from groups traditionally underrepresented in the province’s construction labour force, such as women, Indigenous people, and newcomers to Canada.
In 2021, there were approximately 5,880 women employed in Manitoba’s construction industry, or about 300 more than in 2020. Of them, however, only 26% worked directly in on-site construction. Women represented just 4% of the 38,700 tradespeople employed in Manitoba’s industry in 2021.
The Indigenous population is another underrepresented group that presents recruitment opportunities for Manitoba’s construction industry. In 2021, approximately 63,700 Indigenous people were employed in Canada’s construction sector, or 9% of all Indigenous people in the workforce. As the Indigenous population is the fastest growing in Canada and Indigenous workers seem predisposed to the pursuit of careers within the sector, there may be scope to further increase the recruitment of Indigenous people into the province’s construction industry.
The construction industry is also committed to the recruitment of newcomers to Canada. Manitoba is expected to welcome an average of just under 10,000 newcomers every year through 2027, making the immigrant population a key potential source of labour force growth. Currently, newcomers and more established immigrants make up about 15% of the province’s construction workforce.
Increasing the participation rate of women, Indigenous people, and new Canadians could help Manitoba’s construction industry address its future labour force needs.
BuildForce Canada is a national industry-led organization that represents all sectors of Canada’s construction industry. Its mandate is to support the labour market development needs of the construction and maintenance industry. As part of these activities, BuildForce works with key industry stakeholders, including contractors, proponents of construction, labour providers, governments and training providers, to identify both demand and supply trends that will impact labour force capacity in the sector, and supports the career searches of job seekers wanting to work in the industry. BuildForce also leads programs and initiatives that support workforce upskilling, workforce productivity improvements, improvements to training modalities, human resource tools to support the adoption of industry best practices, as well as other value-added initiatives focused on supporting the industry’s labour force development needs. Visit www.buildforce.ca.
For further information, contact Bill Ferreira, Executive Director, BuildForce Canada, at [email protected] or 613-569-5552 ext. 2220.
This report was produced with the support and input of a variety of provincial construction and maintenance industry stakeholders. For local industry reaction to this latest BuildForce Canada report, please contact:
Ramona Coey
Executive Director
Mechanical Contractors Association of Manitoba
204-774-2404
Paul de Jong
President
Progressive Contractors Association of Canada (PCA)
403-620-3781
Darryl Harrison
Director, Stakeholder Engagement
Winnipeg Construction Association
204-755-8664 ext. 2249
Sudhir Sandhu
Chief Executive Officer
Manitoba Building Trades
204-956-7425
After reaching a floor in 2020, Saskatchewan’s construction market enjoyed growth in 2021 and appears poised to see another sustained expansion period.
Labour market projections for the construction and maintenance sector released today by BuildForce Canada suggest that a recovery in new-housing construction will combine with a provincial capital investment plan to drive construction employment higher in the near term, followed by new mining opportunities driving longer-term growth opportunities.
BuildForce Canada’s 2022–2027 Construction and Maintenance Looking Forward report for Saskatchewan focuses on a six-year horizon for provincial labour market data as opposed to the 10 years studied in previous reports. The shortened forecast period allows the report to identify short- and long-term demand and supply pressures impacting the province’s construction sector more clearly.
“Saskatchewan’s construction market is expected to remain on an upward trend through 2023, driven by residential activity, major public expenditures, and the anticipated start of a potash mine expansion, a canola processing plant, and a natural gas power plant in Moose Jaw,” says Bill Ferreira, Executive Director of BuildForce Canada. “We anticipate that investment will cycle down slightly in 2024 before ramping back up again through the end of our forecast period.”
Such growth may present recruiting challenges. BuildForce anticipates that nearly 5,000 workers, or 13% of Saskatchewan’s 2021 construction labour force, will exit the workforce through retirement in the next six years. Demand growth during this period will require the addition of 1,100 workers, bringing the total recruitment requirement to 6,100 workers between 2022 and 2027.
Given Saskatchewan’s younger age demographics, most of the industry’s hiring requirements could be met by an estimated 5,260 first-time new entrants under the age of 30 from the local population. This would leave a gap of about 860 workers that will need to be recruited from outside the local construction labour force. In the non-residential sector, new entrants are expected to exceed the number of exits to retirement.
The development of skilled tradespersons in the construction industry takes years, and often requires participation in a provincial apprenticeship program. Registrations in Saskatchewan’s sixteen largest construction trades programs have declined over the past decade, falling by 54% from 2012 to 2019. The latest Registered Apprentice Information Systems data suggests new registrations slowed in 2020, resulting in a further 22% decline from 2019 levels.
At the current pace of new apprenticeship registrations and completions, several trades could be at risk of undersupplying the number of new journeypersons required by 2027. These trades include Boom Truck Operator, Carpenter, Insulator (Heat and Frost), Refrigeration and Air Conditioning Mechanic, Scaffolder, Sheet Metal Worker, Steamfitter/Pipefitter, and Welder.
The construction industry remains focused on building a more diverse and inclusive labour force. To that end, efforts are ongoing to enhance the recruitment of individuals from groups traditionally underrepresented in the province’s construction labour force, such as women, Indigenous people, and newcomers to Canada.
In 2021, there were approximately 5,720 women employed in Saskatchewan’s construction industry; a figure that is almost unchanged from 2020. Of them, however, only 39% worked directly in on-site construction. As a share of the total, women made up just 6% of the 35,300 tradespeople employed in the industry in 2021. That figure is also unchanged from 2020.
The Indigenous population is another underrepresented group that presents recruitment opportunities for Saskatchewan’s construction industry. In 2021, approximately 63,700 Indigenous people were employed in Canada’s construction sector, or 9% of all Indigenous people in the workforce. As the Indigenous population is the fastest growing in Canada and Indigenous workers seem predisposed to the pursuit of careers within the sector, there may be scope to further increase the recruitment of Indigenous people into the province’s construction industry.
The construction industry is also committed to the recruitment of newcomers to Canada. Saskatchewan is expected to welcome an average of more than 5,800 newcomers every year through 2027, making the immigrant population a key potential source of labour force growth.
Increasing the participation rate of women, Indigenous people, and new Canadians could help Saskatchewan’s construction industry address its future labour force needs.
BuildForce Canada is a national industry-led organization that represents all sectors of Canada’s construction industry. Its mandate is to support the labour market development needs of the construction and maintenance industry. As part of these activities, BuildForce works with key industry stakeholders, including contractors, proponents of construction, labour providers, governments and training providers, to identify both demand and supply trends that will impact labour force capacity in the sector, and supports the career searches of job seekers wanting to work in the industry. BuildForce also leads programs and initiatives that support workforce upskilling, workforce productivity improvements, improvements to training modalities, human resource tools to support the adoption of industry best practices, as well as other value-added initiatives focused on supporting the industry’s labour force development needs. Visit www.buildforce.ca.
For further information, contact Bill Ferreira, Executive Director, BuildForce Canada, at [email protected] or 613-569-5552 ext. 2220.
This report was produced with the support and input of a variety of provincial construction and maintenance industry stakeholders. For local industry reaction to this latest BuildForce Canada report, please contact:
Paul de Jong
President
Progressive Contractors Association of Canada
403-620-3781
Warren Douglas
Executive Director
Construction Labour Relations Association – Saskatchewan
306-352-7909
Karen Low
President of Merit Canada
Merit Saskatchewan
306-961-7346
Dennis Perrin
Prairies Director
CLAC
587-785-1836
Labour market challenges could be an ongoing preoccupation across Ontario as unemployment rates return to pre-pandemic lows, and construction demand in the residential and non-residential sectors is sustained through at least 2026.
BuildForce Canada published its 2022–2027 Construction and Maintenance Looking Forward report for the province today. The scenario focuses on a six-year horizon for provincial labour market data as opposed to the 10 years studied in previous reports. The shortened forecast period allows the reports to focus more clearly on short- and long-term demand and supply pressures impacting the province’s construction sector.
Ontario’s construction and maintenance sector experienced a slight decline in employment in 2020 due to the COVID-19 pandemic, but bounced back in 2021 on the strength of a surge in new-housing construction and a significant rise (+5%) in non-residential investment. These increased demands alongside supply chain disruptions and sluggish labour force growth contributed to recruiting challenges across all regional markets throughout the province. Demands are unlikely to change through the remainder of the forecast period, and labour challenges may result.
Total construction employment in Ontario is anticipated to reach a peak in 2023 when it rises by 13,400 workers (+3%) compared to 2021 levels. Following that period, the residential and non-residential sectors will pull labour demands in different directions. As demand for new-home construction recedes after 2023, employment in the residential sector is forecasted to decline by more than 11,000 workers, or approximately 5% of the 2021 workforce, to 2027.
Meanwhile, demands created by major infrastructure projects will increase the non-residential construction workforce by 23,000 (an increase of 12% of the 2021 labour force) through 2026. Recent career promotional activities are showing early signs of success. In the non-residential sector, the number of new entrants to the industry are expected to exceed the number of workers exiting due to retirements throughout the forecast period.
“Ontario’s construction and maintenance industry showed tremendous resilience throughout the pandemic in 2020,” says Bill Ferreira, Executive Director of BuildForce Canada. “By shifting resources, effectively managing risk and new health protocols, as well as expectations, the industry quickly rebounded in 2021. However, ongoing strong employment demands and a lag in the return to the labour force of some older workers contributed to labour supply constraints for most trades and occupations and pushed unemployment rates in the province’s construction labour force to near record-low levels.”
BuildForce Canada projects that these market challenges could persist through the forecast period due to strong residential construction markets and a growing inventory of current and proposed major projects that are not expected to wane until 2026.
Although interconnected, Ontario’s five regions – Central, Eastern, Greater Toronto Area, Northern, and Southwestern – each feature discrete labour market conditions and can create complementary and competing demands for workers.
Central Ontario is home to some of the fastest-growing communities in the province. The combination of improved rail transportation, an increase in telecommuting, and low lending rates helped to fuel in-migration to the region, driving increased demand for new housing and renovation activity in both 2020 and 2021. Regional construction activity is expected to reach a peak in 2022 before moderating through the end of the forecast period. Construction employment in the region is expected to rise by 2%, or by just over 2,400 workers, by 2027.
Eastern Ontario was among the tightest provincial labour markets in 2021 and recruiting challenges are expected to intensify over the next few years, as several infrastructure and institutional projects ramp up simultaneously. Construction employment in the region is expected to reach a peak in 2024 and remain elevated through the remainder of the forecast period. By 2027, a rise in overall employment alongside an estimated 7,000 retirements will require the local industry to recruit an additional 9,800 workers.
The Greater Toronto Area (GTA) market returned to pre-pandemic levels in 2021, led by strong gains in the residential sector. While residential demands are expected to ease over the short term, non-residential activity continues to expand to 2026, driven by investments in large-scale public transportation, nuclear refurbishment, new hospital, and other government building restoration projects. Regional construction employment is estimated to increase by some 9,900 workers (+6.2%) by 2027 compared to 2021.
Northern Ontario is expected to see a peak in construction employment in 2022 and 2023, as demand for major mining and utility projects are complemented by increased institutional-sector investment and a moderate increase in residential activity. By the end of the forecast period, regional construction employment is expected to fall by nearly 950 workers (-4%) compared to 2021 levels, although that figure could change pending final investment decisions on a long list of proposed resource development projects that are not currently included in this forecast.
Southwestern Ontario was among the strongest construction markets in Canada in 2020 and 2021. Labour demands will peak in 2022 as commercial building activity recovers from the pandemic and residential demands continue to increase. Ongoing work on the Gordie Howe bridge in Windsor, Bruce Power’s nuclear refurbishment, and industrial maintenance work in Sarnia help to keep demand levels elevated. Overall, as current projects are completed, construction employment is expected to decline by some 2,800 workers (-4%) over the forecast period, but recruitment pressures will remain due to the need to replace slightly more than 7,000 workers.
Ontario’s large pipeline of major infrastructure projects, combined with sustained levels of new-housing and renovation activity, is projected to increase construction employment by 15,500 workers over the 2021 labour force. The retirement of more than 56,300 workers – 13% of the current labour force – will increase the recruitment requirements for the industry to approximately 71,800 workers over the six-year forecast period.
Recent heightened promotional and recruitment activities are bearing fruit. Over the forecast period, the non-residential sector is expected to draw in more new-entrant workers under the age of 30 than it loses to retirement. The industry as a whole, however, is expected to add only 53,000 new entrants during this period, creating a projected recruitment gap of some 18,800 workers that will need to be filled from outside the province’s existing construction labour force to meet increased demands.
The development of skilled tradespersons in the construction industry takes years, and often requires participation in a provincial apprenticeship program. New registrations in the province’s 20 largest trade programs have been on the rise since 2016 and increased by 32% to nearly 11,000 in 2019. Registration dropped by one-third in 2020, however, as public health measures relating to the pandemic imposed significant obstacles to the delivery of in-school training and negatively impacted apprentice employment. These impacts are likely to reduce the near-term numbers of new certified workers.
Based on the current pace of new apprenticeship registrations and completion trends, several trades may be at risk of undersupplying the number of new journeypersons required by 2027. They include bricklayers, glaziers, industrial electricians, residential air conditioning systems mechanics, and welders.
The construction industry remains focused on building a more diverse and inclusive labour force. To that end, efforts are ongoing to enhance the recruitment of individuals from groups traditionally underrepresented in the province’s construction labour force, such as women, Indigenous people, and newcomers to Canada.
In 2021, Ontario’s construction industry employed approximately 67,730 women. That figure is virtually unchanged from 2020. Of them, only 23% worked directly in on-site construction. As a share of the total, women represented just 4% of the more than 422,000 tradespeople employed in Ontario in 2021. That figure is also unchanged from 2020.
The Indigenous population is another underrepresented group that presents recruitment opportunities for Ontario’s construction industry. In 2021, approximately 63,700 Indigenous people were employed in Canada’s construction sector, or 9% of all Indigenous people in the workforce. As the Indigenous population is the fastest growing in Canada and Indigenous workers seem predisposed to the pursuit of careers within the sector, there may be scope to further increase the recruitment of Indigenous people into the province’s construction industry.
The construction industry is also committed to the recruitment of newcomers to Canada. Ontario is expected to welcome an average of nearly 152,000 newcomers every year through 2027. This fact could make the immigrant population a key source of labour force growth. As of 2018, newcomers and more established immigrants accounted for 27% of Ontario’s construction workforce.
Increasing the participation rate of women, Indigenous people, and new Canadians could help Ontario’s construction industry address its future labour force needs.
BuildForce Canada is a national industry-led organization that represents all sectors of Canada’s construction industry. Its mandate is to support the labour market development needs of the construction and maintenance industry. As part of these activities, BuildForce works with key industry stakeholders, including contractors, proponents of construction, labour providers, governments and training providers, to identify both demand and supply trends that will impact labour force capacity in the sector, and supports the career searches of job seekers wanting to work in the industry. BuildForce also leads programs and initiatives that support workforce upskilling, workforce productivity improvements, improvements to training modalities, human resource tools to support the adoption of industry best practices, as well as other value-added initiatives focused on supporting the industry’s labour force development needs. Visit www.buildforce.ca.
For further information, contact Bill Ferreira, Executive Director, BuildForce Canada, at [email protected] or 613-569-5552 ext. 2220.
This report was produced with the support and input of a variety of provincial construction and maintenance industry stakeholders. For local industry reaction to this latest BuildForce Canada report, please contact:
Mark Arsenault
Business Manager and Secretary Treasurer
Provincial Building and Construction Trades Council of Ontario
647-402-0390
Mike Carter
Executive Director
London & District Construction Association
519-453-5322
Giovanni Cautillo
President
Ontario General Contractors Association
905-671-3969
Ian Cunningham
President
Council of Ontario Construction Associations
416-968-7200 ext. 224
John A. DeVries
President & GM
Ottawa Construction Association
613-236-0488, ext. 10
Paul de Jong
President
Progressive Contractors Association of Canada
403-620-3781
Tony Fanelli
Executive Director
Construction Labour Relations Association – Ontario
647-296-3402
Andrew Pariser
Vice-President
RESCON
416-970-7665
Wayne Peterson
Executive Director
Construction Employers Coordinating Council of Ontario
905-516-6693
Construction employment in Prince Edward Island enjoyed a recovery in 2021 and should continue to growth through 2022 on the strength of increased residential and non-residential demands. Activity will moderate after 2023 and through 2027, however, as key projects wind down and labour markets will return to more balanced conditions.
BuildForce Canada’s labour market forecast for Prince Edward Island projects that employment in the province’s construction and maintenance industry will gain 400 workers (7%) through the end of 2022 before retreating moderately (3.6% below 2021 levels) through 2027.
BuildForce Canada released its 2022–2027 Construction and Maintenance Looking Forward report for Prince Edward Island today. The forecast focuses on a six-year horizon for provincial labour market data as opposed to the 10 years studied in previous reports. The shortened forecast period allows the reports to focus more clearly on short- and long-term demand and supply pressures impacting the province’s construction sector.
“Construction employment in Prince Edward Island will peak in 2022 as the province’s housing market continues its recent strong performance and the non-residential sector ramps back up with increased institutional and engineering investments,” says Bill Ferreira, Executive Director of BuildForce Canada. “Labour markets will return to more balanced conditions between 2023 and 2027 as the province’s housing market cools off and most active non-residential projects wind down.”
Prince Edward Island’s construction industry has adapted to higher sustained levels of activity in recent years by depending on the mobility of skilled trades from outside of the province and by the scaling up of local recruitment and training capacity. However, the COVID-19 pandemic has resulted in a sharp decline in the participation of older workers in the province’s construction labour force, while unemployment rates have fallen to historic lows.
The major challenge currently facing the industry is the immediate requirements for large numbers of skilled and experienced workers across almost all of its key trades and occupations, which cannot be met solely by new or young, inexperienced workers.
This short-term rise in labour demands is likely to complicate existing recruiting challenges. The province’s construction industry will need to recruit 975 additional workers through 2027 to keep pace with labour force demands and to replace almost 950 retiring workers, or 14% of its 2021 construction labour force.
Although as many as 855 workers under the age of 30 from the local population could enter the construction labour force through 2027, an estimated gap of some 120 workers may emerge. Addressing this gap will require a broadening of local recruitment and training efforts, including expanded recruitment of groups traditionally underrepresented in the construction industry, available skilled workers locally not presently working in the construction industry, and during peak levels of activity, drawing in available construction workers from neighbouring provinces.
The development of skilled tradespersons in the construction industry takes years, and often requires participation in a provincial apprenticeship program. Registrations in Prince Edward Island’s seven largest construction trades programs increased by more than 70% over the six-year period between 2013 and 2019. The latest Registered Apprentice Information Systems data suggests new registrations slowed in 2020, but despite the training challenges created by COVID-19, the province managed to push forward with ongoing apprenticeship development throughout the year.
Based on the current pace of new apprenticeship registrations and completion trends, only the Carpenter trade is projected to be at risk of possibly undersupplying the number of required journeypersons by 2027.
The construction industry remains focused on building a more diverse and inclusive labour force. To that end, efforts are ongoing to enhance the recruitment of individuals from groups traditionally underrepresented in the province’s construction labour force, such as women, Indigenous people, and newcomers to Canada.
In 2021, there were approximately 850 women employed in Prince Edward Island’s construction industry; a slight increase over the 790 employed in 2020. Of them, 42% worked on site, directly on construction projects, while the remaining 58% worked off site, primarily in administrative and management-related occupations. Women accounted for just 6% of the 6,000 tradespeople employed in Prince Edward Island in 2021, compared with 7% of the total in 2020.
The Indigenous population is another underrepresented group that presents recruitment opportunities for Prince Edward Island’s construction industry. In 2021, approximately 63,700 Indigenous people were employed in Canada’s construction sector, or 9% of all Indigenous people in the workforce. As the Indigenous population is the fastest growing in Canada and Indigenous workers seem predisposed to the pursuit of careers within the sector, there may be scope to further increase the recruitment of Indigenous people into the province’s construction industry.
The construction industry is also committed to the recruitment of newcomers to Canada. The province is expected to welcome an average of 2,800 newcomers to Canada every year through 2027. This fact could make the immigrant population a key source of labour force growth. As of 2017, newcomers and more established immigrants made up about 3% of the province’s construction workforce.
Increasing the participation rate of women, Indigenous people, and new Canadians could help Prince Edward Island’s construction industry address its future labour force needs.
BuildForce Canada is a national industry-led organization that represents all sectors of Canada’s construction industry. Its mandate is to support the labour market development needs of the construction and maintenance industry. As part of these activities, BuildForce works with key industry stakeholders, including contractors, proponents of construction, labour providers, governments and training providers, to identify both demand and supply trends that will impact labour force capacity in the sector, and supports the career searches of job seekers wanting to work in the industry. BuildForce also leads programs and initiatives that support workforce upskilling, workforce productivity improvements, improvements to training modalities, human resource tools to support the adoption of industry best practices, as well as other value-added initiatives focused on supporting the industry’s labour force development needs. Visit www.buildforce.ca.
For further information, contact Bill Ferreira, Executive Director, BuildForce Canada, at [email protected] or 613-569-5552 ext. 2220.
This report was produced with the support and input of a variety of provincial construction and maintenance industry stakeholders. For local industry reaction to this latest BuildForce Canada report, please contact:
Sam Sanderson
General Manager
Construction Association of Prince Edward Island
902-628-5421
The new labour market forecast prepared by BuildForce Canada suggests that Newfoundland and Labrador’s construction and maintenance industry will reach an employment peak in 2023 before contracting by about 16%, or nearly 2,300 workers, to the end of 2027.
The province’s construction labour market enjoyed a recovery in 2021, after experiencing a steep decline in employment in 2020. The sector’s recovery was led by a strong surge in new-home construction, which is expected to be sustained in the near term.
BuildForce Canada published its 2022–2027 Construction and Maintenance Looking Forward report for the province today. The scenario focuses on a six-year horizon for provincial labour-market data as opposed to the 10 years studied in previous reports. The shortened forecast period allows the reports to focus more clearly on short- and long-term demand and supply pressures impacting the province’s construction sector.
“The outlook for 2022 to 2024 has strengthened with the surge in housing starts expected to be sustained near recent highs, and with the expected start of work on a key mining project and the restart of the West White Rose offshore platform,” says Bill Ferreira, Executive Director of BuildForce Canada. “The longer-term outlook for the province, however, remains constrained by older age demographics, slowing population growth, and the wind down of current major projects.”
An aging workforce presents a significant challenge for Newfoundland and Labrador’s construction industry. The province is expected to lose as many as 3,380 workers (or 17% of its current labour force) to retirement between 2022 and 2027. Over the same period, it is expected to recruit just 1,800 new workers aged 30 or younger from the local population.
Although there are a number of proposed projects being tracked, with no new major projects currently scheduled to start during the forecast period, the province’s labour-supply challenge may exacerbate skills shortages, as training opportunities for younger workers will be limited.
The development of skilled tradespersons in the construction industry takes years, and often requires participation in a provincial apprenticeship program. New registrations in the province’s 13 largest construction trade programs have been falling at an average rate of 14% per year since 2016.
In 2019, the number of certified workers completing their program was less than half compared to peak levels reported in 2015. The pool of newly certified workers was further diminished in 2020 due to the impacts of COVID-19. Based on the latest Registered Apprentice Information Systems data, new registrations declined by nearly 50% to 225 new registrants in 2020, as apprenticeship training and certification was largely placed on hold.
Based on projected new registrations and completion trends, several trades are at risk of potentially undersupplying the number of new journeypersons required by 2027. Trades within this group include Heavy Equipment Operator, Industrial Mechanic (Millwright), Plumber, and Welder.
The construction industry remains focused on building a more diverse and inclusive labour force. To that end, efforts are ongoing to enhance the recruitment of individuals from groups traditionally underrepresented in the province’s construction labour force, such as women, Indigenous people, and newcomers to Canada.
In 2021, there were approximately 1,500 women employed in Newfoundland and Labrador’s construction industry; an increase of 400 over 2020. Of them, 54% worked on site, directly on construction projects, while the remainder worked off-site, primarily in administrative and management-related occupations. Of the 14,400 tradespeople employed in the industry, women made up only 6% of the total.
The Indigenous population is another underrepresented group that presents recruitment opportunities for Newfoundland and Labrador’s construction industry. In 2021, approximately 63,700 Indigenous people were employed in Canada’s construction sector, or 9% of all Indigenous people in the workforce. As the Indigenous population is the fastest growing in Canada and Indigenous workers seem predisposed to the pursuit of careers within the sector, there may be scope to further increase the recruitment of Indigenous people into the province’s construction industry.
The construction industry is also committed to the recruitment of newcomers to Canada. The province is expected to welcome an average of approximately 2,745 newcomers to Canada every year, making the immigrant population a key source of labour force growth. As of 2016, newcomers to Canada and established immigrants made up about 1% of the province’s construction workforce.
Increasing the participation rate of women, Indigenous people, and newcomers to Canada would go a long way to help Newfoundland and Labrador’s construction industry address its future labour force needs.
BuildForce Canada is a national industry-led organization that represents all sectors of Canada’s construction industry. Its mandate is to support the labour market development needs of the construction and maintenance industry. As part of these activities, BuildForce works with key industry stakeholders, including contractors, proponents of construction, labour providers, governments and training providers, to identify both demand and supply trends that will impact labour force capacity in the sector, and supports the career searches of job seekers wanting to work in the industry. BuildForce also leads programs and initiatives that support workforce upskilling, workforce productivity improvements, improvements to training modalities, human resource tools to support the adoption of industry best practices, as well as other value-added initiatives focused on supporting the industry’s labour force development needs. Visit www.buildforce.ca.
For further information, contact Bill Ferreira, Executive Director, BuildForce Canada, at [email protected] or 613-569-5552 ext. 2220.
This report was produced with the support and input of a variety of provincial construction and maintenance industry stakeholders. For local industry reaction to this latest BuildForce Canada report, please contact:
Terry French
President
Construction Labour Relations Association – NL
709-753-5770
Darin King
Executive Director
Trades NL: Building Trades of Newfoundland & Labrador
709-726-4560
New Brunswick’s construction market strengthened in 2021, and should reach a peak in 2022, before receding modestly through 2027.
The new labour market forecast released today by BuildForce Canada suggests that near-term demand for construction services will come in the new-home and industrial, commercial, and institutional building sectors. Residential demands will remain at or near recent highs through 2024, while the completion of major institutional projects will lower non-residential demands through 2026.
BuildForce Canada’s 2022–2027 Construction and Maintenance Looking Forward report for New Brunswick focuses on a six-year horizon for provincial labour market data as opposed to the 10 years studied in previous reports. The shortened forecast period allows the report to focus more clearly on short- and long-term demand and supply pressures impacting the province’s construction sector.
BuildForce Canada anticipates overall construction employment in New Brunswick to reach a peak in 2022 before moderating and eventually declining by an estimated 684 workers (-3.4% of the 2021 workforce) by 2027.
“As is the case in many of the Atlantic Provinces, New Brunswick’s construction labour force is challenged with peak demands now, and potentially a lower availability of workers by 2027,” says Bill Ferreira, Executive Director of BuildForce Canada. “Although construction employment in the province surpassed pre-pandemic levels in 2021, labour force growth has been more sluggish. A pullback in labour force participation during the pandemic, particularly among older workers, has contributed to a decline in available workers and rates of industry unemployment that the province has not experienced since its 2011 peak in construction activity.”
New Brunswick’s construction industry will need to recruit 3,600 new workers to offset the outflow of 4,200 workers (17% of the 2021 labour force) to retirement. This challenge could be complicated by the shrinking pool of available new entrants as population growth slows and fewer youth are available to enter the labour force.
This hiring requirement could be partly addressed through the recruitment of a potential 2,710 workers under the age of 30 from the local population, but based on current analysis, a gap of some 930 workers may emerge. Addressing this gap will require a broadening of local recruitment and training efforts, including expanded recruitment of groups traditionally underrepresented in the construction industry, available skilled workers locally not presently working in the construction industry, and during peak levels of activity, drawing in available construction workers from neighbouring provinces.
The development of skilled tradespersons in the construction industry takes years, and often requires participation in a provincial apprenticeship program. Registration levels in New Brunswick’s 16 largest trade programs have fluctuated significantly over recent years. Following a period of modest growth, new registrations fell 5% in 2019 to just under 780 new registrants. In 2020, new registrations dropped by a further 40% to approximately 470 new registrants, as the COVID-19 pandemic imposed significant obstacles to the delivery of in-school training, testing, and certification.
Based on the current pace of new apprenticeship registrations and completion trends, several may be at risk of undersupplying the number of new journeypersons required by 2027: Bricklayer, Carpenter, Heavy-Duty Equipment Technician, Sheet Metal Worker, Sprinkler Fitter, and Welder.
The construction industry remains focused on building a more diverse and inclusive labour force. To that end, efforts are ongoing to enhance the recruitment of individuals from groups traditionally underrepresented in the province’s construction labour force, such as women, Indigenous people, and newcomers to Canada.
In 2021, there were approximately 2,180 women employed in New Brunswick’s construction industry; a slight increase over the 2,100 employed in 2020. Of them, however, only 32% worked directly in on-site construction. As a share of the total, women represented just 3% of the 21,200 tradespeople employed in the provincial industry in 2021. That figure is unchanged from 2020.
The Indigenous population is another underrepresented group that presents recruitment opportunities for New Brunswick’s construction industry. In 2021, approximately 63,700 Indigenous people were employed in Canada’s construction sector, or 9% of all Indigenous people in the workforce. As the Indigenous population is the fastest growing in Canada and Indigenous workers seem predisposed to the pursuit of careers within the sector, there may be scope to further increase the recruitment of Indigenous people into the province’s construction industry.
The construction industry is also committed to the recruitment of newcomers to Canada. The province is expected to welcome an average of 6,600 newcomers every year through 2027. This fact could make the immigrant population a key source of labour force growth. As of 2018, newcomers and more established immigrants accounted for 2% of New Brunswick’s construction workforce.
Increasing the participation rate of women, Indigenous people, and newcomers to Canada could help New Brunswick’s construction industry address its future labour force needs.
BuildForce Canada is a national industry-led organization that represents all sectors of Canada’s construction industry. Its mandate is to support the labour market development needs of the construction and maintenance industry. As part of these activities, BuildForce works with key industry stakeholders, including contractors, proponents of construction, labour providers, governments and training providers to identify both demand and supply trends that will impact labour force capacity in the sector and support the career searches of job seekers wanting to work in the industry. BuildForce also leads programs and initiatives that support workforce upskilling, workforce productivity improvements, improvements to training modalities, human resource tools to support the adoption of industry best practices, as well as other value-added initiatives focused on supporting the industry’s labour force development needs. Visit www.buildforce.ca.
For further information, contact Bill Ferreira, Executive Director, BuildForce Canada, at [email protected] or 613-569-5552 ext. 2220.
This report was produced with the support and input of a variety of provincial construction and maintenance industry stakeholders. For local industry reaction to this latest BuildForce Canada report, please contact:
Tom McGinn
Executive Director
New Brunswick Road Builders and Heavy Construction Association
506-454-5079
John Ryan Morrison
Executive Director
Construction Association of New Brunswick
506-459-5770
Nova Scotia’s construction market is in the midst of a period of sustained growth propelled by major public-sector investments and rising demands for new residential construction. These factors will combine to bring sectoral employment to a peak in 2023, before receding sightly through 2027.
BuildForce Canada published its 2022–2027 Construction and Maintenance Looking Forward report for the province today. The scenario focuses on a six-year horizon for provincial labour-market data as opposed to the 10 years studied in previous reports. The shortened forecast period allows the reports to focus more clearly on short- and long-term demand and supply pressures impacting the province’s construction sector.
BuildForce Canada anticipates overall construction employment in Nova Scotia to rise by 1,900 workers (7%) to a peak in 2023 before receding, leaving employment higher by 250 workers by 2027.
“Nova Scotia’s economy experienced a more moderate decline in real GDP in 2020 compared to other provinces, and we estimate that growth will surpass pre-pandemic levels in 2022, driven by increased exports and strong residential, non-residential, and government capital expenditures to 2024,” says Bill Ferreira, Executive Director of BuildForce Canada. “Our longer-term outlook sees non-residential demand ease as major projects wind down, while activity in the residential sector shifts from housing starts to renovation work.”
A significant challenge facing Nova Scotia’s construction industry is the need to address imminent labour force demands. Many large projects that are underway, or will soon be, will require large numbers of skilled and experienced tradespersons, as opposed to newer, less experienced workers. While provincial directives have helped to recruit young workers into construction throughout the COVID-19 pandemic, the province has seen a decline in the participation of older workers and declines in the availability of skilled workers, with unemployment rates falling to historic lows.
Nova Scotia is expected to lose as many as 5,200 workers (16% of its 2021 workforce) to retirement between 2022 and 2027. Coupled with the anticipated rise in employment demands, the industry will need to recruit an estimated 6,200 additional workers by 2027. Over the same period, it is expected to recruit a potential 3,800 new workers aged 30 or younger from the local population, leaving a gap of 2,500 workers that will need to be recruited and retained from other sectors, from non-traditional employment sources, or from outside of the province.
The development of skilled tradespersons in the construction industry takes years, and often requires participation in a provincial apprenticeship program. Apprenticeship registrations in Nova Scotia’s 18 largest trade programs reached a peak of 1,280 in 2015 and have remained around 900 per year since. Based on the latest Registered Apprentice Information System data, new registrations dropped by 60% in 2020, as the pandemic created significant obstacles to the delivery of in-school training, testing, and certification.
At the current pace of new apprenticeship registrations and completions, several trades could be at risk of undersupplying the number of new journeypersons required by 2027. These trades include Bricklayer, Carpenter, Heavy-Duty Equipment Technician, Industrial Electrician, Industrial Mechanic (Millwright), Gasfitter, Mobile Crane Operator, Roofer, Steamfitter/Pipefitter, and Welder.
The construction industry remains focused on building a more diverse and inclusive labour force. To that end, efforts are ongoing to enhance the recruitment of individuals from groups traditionally underrepresented in the province’s construction labour force, such as women, Indigenous people, and newcomers to Canada.
In 2021, Nova Scotia’s construction industry employed approximately 3,880 women; 230 more than in 2020. Of them, 26% worked on site, directly on construction projects. Women made up just 4% of the 28,800 tradespeople employed in the province’s construction industry.
The Indigenous population is another underrepresented group that represents potential recruitment opportunities for Nova Scotia’s construction industry. In 2021, approximately 63,700 Indigenous people were employed in Canada’s construction sector, or 9% of all Indigenous people in the workforce. As the Indigenous population is the fastest growing in Canada and Indigenous workers seem predisposed to the pursuit of careers within the sector, there may be scope to further increase the recruitment of Indigenous people into the province’s construction industry.
The construction industry is also committed to the recruitment of newcomers to Canada. The province is expected to welcome an average of 6,700 new international migrants each year between 2022 and 2027, making the immigrant population a key source of labour force growth. As of 2018, newcomers and more established immigrants accounted for about 6% of Nova Scotia’s construction workforce.
Increasing the participation rate of these groups would go a long way to help Nova Scotia address its future construction industry labour force needs.
BuildForce Canada is a national industry-led organization that represents all sectors of Canada’s construction industry. Its mandate is to support the labour market development needs of the construction and maintenance industry. As part of these activities, BuildForce works with key industry stakeholders, including contractors, proponents of construction, labour providers, governments and training providers, to identify both demand and supply trends that will impact labour force capacity in the sector, and supports the career searches of job seekers wanting to work in the industry. BuildForce also leads programs and initiatives that support workforce upskilling, workforce productivity improvements, improvements to training modalities, human resource tools to support the adoption of industry best practices, as well as other value-added initiatives focused on supporting the industry’s labour force development needs. Visit www.buildforce.ca.
For further information, contact Bill Ferreira, Executive Director, BuildForce Canada, at [email protected] or 613-569-5552 ext. 2220.
This report was produced with the support and input of a variety of provincial construction and maintenance industry stakeholders. For local industry reaction to this latest BuildForce Canada report, please contact:
Trent Soholt
Executive Director
Nova Scotia Construction Sector Council – ICI
902-832-4761
Duncan Williams
President and CEO
Construction Association of Nova Scotia
902-468-2267
Funded by the Government of Canada’s Sectoral Initiatives Program.
