Canadian Immigration News

Job Vacancies in Canada Remain High This Past August

2 minute read
"In August 2021, the job vacancies in the Canadian job market remained above pre-Covid levels, especially in sectors like food services, healthcare, and Information technology. According to Statistics Canada, the job vacancies in August increased to 871,000 from 805,500 in September."
Written by My Visa Source Team
Published on:  Dec 3, 2021
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In August 2021, the job vacancies in the Canadian job market remained above pre-Covid levels, especially in sectors like food services, healthcare, and Information technology. According to Statistics Canada, the job vacancies in August increased to 871,000 from 805,500 in September. 

The report states that while the job vacancies indicate growing employment, they also indicate increasing turnover rates, labor shortages, and mismatch between vacant positions, and availability of workers eligible to fill those vacancies. 

Which Sectors Experienced Increased Job Vacancies In Canada?

In August, job vacancies in professional, scientific, and technical occupations, basically highly skilled occupations, reached an all-time high at 61,100. This is a 66% increase compared to the 3rd quarter of 2019. Since these sectors were least affected by the Covid-19 related social restrictions, employment in these sectors continues to grow. 

There were a record-breaking 156,800 job vacancies in the food services sector which are still struggling to recover from the impact of the pandemic-related restrictions. With the relaxation of public health restrictions and reopening of restaurants, the sector experienced a lack of workers returning to work and difficulty in hiring new workers. Around 42% of the businesses in the foodservice sector reported 1 additional vacancy compared to before the pandemic, according to the Canadian Survey on Business Conditions. 

Job vacancies in the healthcare and social assistance sector nearly doubled to 121,300 in August compared to 66,100 in the 3rd quarter of 2019. Since the workforce in the healthcare sector was nearing the retirement age before the pandemic, the sector was already experiencing an upward trend of vacancies. However, the pandemic has led to a lot of fluctuations in employment in the sector which went low in May 2020 and surpassed pre-Covid levels in February 2021. 

Occupations such as registered nurses and registered psychiatric nurses experienced the most vacancies in the 2nd quarter of 2021 compared to 2019. Half the vacancies in these occupations were open for more than 90 days.

Why Is There a Labor Shortage in the Canadian Job Market?

While Canada is not new to experiencing labor shortages, the pandemic certainly increased the urgency to fill the growing vacancies. Even before the pandemic, Canada experienced a shortage of labor in various sectors due to an aging population and declining birth rates. These 2 factors are not changing anytime soon. The pandemic also accelerated the retirement of workers in many sectors.

Baby boomers are leaving the workforce faster than the sector can find new workers to replace them. Also, young people are taking longer to join the workforce as they are focused on completing their education and acquiring skills. While immigration can meet the deficit of workers, it is nearly not enough to ensure labor growth in Canada. 

According to the report by Statistics Canada, Canada has the opportunity to add almost 2 million workers to the workforce if it introduces better policies to support the integration of youth and immigrants and offers incentives to older workers to stay on the job like phased recruitment options and workplace flexibility.

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