Introduction
The construction industry in Alberta is facing a significant labour shortage, with a projected need to recruit and train nearly 27,700 additional workers by 2027[1]. This shortage is driven by retirements and new project demands, posing challenges such as project delays, increased costs, and compromised quality.
Economic Impact
The Alberta Construction Industry Profile highlights the sector’s contribution of $23.6 billion to the province’s GDP in 2021[2]. Persistent labour shortages threaten future investments and the overall growth of the industry. For instance, the construction sector accounted for approximately 7.91% of Alberta’s GDP in 2021, a decrease from 9.64% in 2011[2]. This decline underscores the urgency of addressing the labour shortage to sustain economic contributions.
Recruitment and Training Needs
To address this shortage, the industry must focus on recruiting and training a substantial number of workers. This involves not only attracting new talent but also ensuring they receive the necessary training to meet industry standards. According to BuildForce Canada, the construction sector will need to recruit, train, and retain just over 309,000 new workers across Canada over the next decade to replace retiring workers and meet new project demands[3]. In Alberta, this translates to a significant effort in workforce development to maintain industry growth and project timelines.
Labour Shortage Statistics
- As of 2023, the construction industry in Alberta employed approximately 241,500 people, representing 9.8% of the province’s total employment[4].
- The unemployment rate within the construction sector was 5.6%, slightly lower than the overall provincial unemployment rate of 5.9%[4].
- The job vacancy rate in Alberta’s construction industry jumped to 6.7% in the third quarter of 2023. This is a significant increase compared to the pre-pandemic period (2015-2019), where vacancy rates never exceeded 3.5%.
- Alberta’s construction and maintenance industry will need to recruit and retain an estimated 40,400 workers, or 21% of the 2020 construction trades labour force, expected to retire by 2027.
- BuildForce Canada projects 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[3].
Qualimet’s Role
At Qualimet, we are dedicated to bridging the labour shortage gap by providing comprehensive training programs. Our Quality Development services, and coaching programs are designed to equip workers with the skills needed to excel in their roles. We offer a range of training solutions, including:
- Quality Management Training: Ensuring workers are proficient in maintaining high standards in construction projects.
- Welder Qualification Programs: Providing rigorous training and certification to meet industry demands.
- Digital Training Resources: Offering flexible and accessible online training modules and virtual and real world coaching.
Implementation for Success
Companies can implement these solutions to ensure their success by:
- Partnering with Qualimet: Engage with Qualimet to access tailored training programs that address specific industry needs.
- Investing in Training Programs: Allocate resources to continuous training and development of the workforce to maintain high standards and meet project demands.
- Utilizing Digital Resources: Leverage Qualimet’s digital library for flexible and accessible training options, ensuring workers can learn at their own pace and convenience.
- Fostering a Culture of Quality: Promote a culture that values quality management and continuous improvement, ensuring all employees are committed to maintaining high standards.
Case Studies
Case Study 1: Hearthside Food Solutions Hearthside Food Solutions faced significant challenges in employee retention and training due to outdated processes. By leveraging Alchemy Coach technology, they modernized their training development and delivery, resulting in improved employee engagement and retention. This approach helped uncover skill and training gaps, leading to increased positive employee relations and reduced turnover.
Case Study 2: The Standard The Standard, an insurance company, faced a dual challenge of a labor shortage and a digital revolution. They decided to retrain their IT employees to support new systems, which allowed them to retain valuable staff and ensure they had the necessary skills to innovate along with the company. This proactive approach to training helped them navigate workforce disruptions and maintain operational efficiency.
References
[1] How companies are reskilling to address skill gaps | McKinsey
[2] A Case Study in Employee Retention through Better Training and Engagement
[3] Case Study: Meeting the Dual Challenge of a Labor Shortage and a Digital Revolution
[4] Corporate Training Case Studies: Success Stories and Lessons Learned