Analysing Job sectors in Canada. Identify trends in employment and occupational demand patterns for two job positions in two industries (each) for two different provinces.

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Culminating Activity for Unit 1

Select three jobs:  one knowledge-based, one manufacturing, and one in the service sector.  Based on your search of the websites of Human Resource Development Canada, Stats Canada, and other relevant Web sources, what patterns in employment and job vacancies do you see?  What are the implications for large human resource departments in these industries?

Identify trends in employment and occupational demand patterns for two job positions in two industries (each) for two different provinces.

The OECD (Organization for Economic Co-operation and Development) economies are increasingly based on knowledge and information. Knowledge is now recognized as the driver of productivity and economic growth, leading to a new focus on the role of information, technology and learning in economic performance. Canada's economy is increasingly a knowledge-based economy. Two-thirds of all the new jobs being created require some kind of post-secondary education. Over the next decade, Canada will need 3 million health-care professionals and 1.7 million schoolteachers and more than 900,000 engineers, including aerospace, biomedical, civil, computer software, and environmental engineers. Canada will also need workers in other high-growth industries including nanotechnology, geospatial technology, and the life sciences, to name a few.

Employment in the knowledge-based economy is characterized by increasing demand for more highly-skilled workers, along with investment in infrastructure, is driving further specialization of jobs, which is leading to a higher level of demand for professional services such as accountants, engineers, doctors. Higher-skilled jobs that require more education are clearly the future for Canada in the worldwide economy. And acquiring the skills and training to access these jobs is absolutely critical to the success of individual workers. From 2001 through 2006, high-paying occupations grew almost three times as much as lower-paying occupations. There is a "skills gap" in Canada’s economy that has kept lower-skilled workers from seeing their wages rise as quickly as workers in higher-skilled occupations. It's not just temporary public sector infrastructure projects driving demand for jobs in areas such as mechanical and civil engineering, but a broader trend toward highly skilled, service-based professionals. Services are routinely outsourced to specialized companies, and that trend is expected to continue in health care, law, accounting, architecture, engineering and construction. As the population ages, health-care specialists of all kinds will continue to be a huge growth area in employment. Other professionals are seeing similar levels of demand. Alberta, which has seen layoffs in the oil patch recently, still projects a long-term demand for more engineers, and companies are increasingly using their services as oil sands projects begin to get underway following a period of delays. The high level of regulation, such as the recently introduced specified gas emitter regulation in Alberta, is compounding the demand for engineers and accountants, giving rise to entirely new specializations.

With the new school year starting, students need to be aware that high school dropouts make about $522 per week for full-time work and their unemployment rate is about 7.1 percent. Meanwhile, workers with a high school diploma average $704 weekly, and this segment of the work force has a 4.4 percent unemployment rate. Workers with associate degrees average about $846 per week, and this group's unemployment rate is 3.5 percent. But workers with a bachelor's degree or higher average $1,393 per week and have an unemployment rate of 2.1 percent. Employment patterns for postsecondary students who work during the school year changed significantly during the recent economic downturn.

During the 2009/2010 school year, about 542,000 postsecondary students aged 15 to 24 held jobs. This represented an employment rate of 45%, down from 48% in 2007/2008, just before the economic downturn. Nevertheless, these rates were well above those during the 1970s when 25% of students were employed. Almost all students employed during the 2009/2010 school year worked in the service sector (96%), with 36% in retail trade and 18% in food services. The 200,000 students working in retail trade represented 10% of all jobs in that industry.

It is skilled labour that is in highest demand in the OECD countries.  The average unemployment rate for people with lower-secondary education is 10.5 per cent, falling to 3.8 per cent for those with university education.  Although the manufacturing sector is losing jobs across the OECD, employment is growing in high-technology, science-based sectors ranging from computers to pharmaceuticals.  These jobs are more highly skilled and pay higher wages than those in lower-technology sectors (e.g. textiles and food-processing).  Knowledge-based jobs in service sectors are also growing strongly.  Indeed, non-production or “knowledge” workers – those who do not engage in the output of physical products – are the employees in  most demand in a wide range of activities, from computer technicians, through physical therapists to marketing specialists.  The use of new technologies, which are the engine of longer-term gains in productivity and employment, generally improves the “skills base” of the labour force in both manufacturing and services.  And it is largely because of technology that employers now pay more for knowledge than for manual work.

Manufacturing and Knowledge-Based Industries are drivers of Economic Growth and are a new path to prosperity. Manufacturing is also compared as an engine of economic growth with high-paying, knowledge-based industries such as information, financial activities, professional and technical services, and management of companies. People who belong to professional organizations with regulatory authority and federal or provincial licensing requirements tend to become specialized within a specific area, and their knowledge as subject matter experts yields higher pay. Those jobs are also highly mobile and offer more flexibility in the job market. Studies in some countries show that the more rapid the introduction of knowledge-intensive means of production, such as those based on information technologies, the greater the demand for highly skilled workers.  Other studies show that workers who use advanced technologies, or are employed in firms that have advanced technologies, are paid higher wages.  This labour market preference for workers with general competencies in handling codified knowledge is having negative effects on the demand for less-skilled workers;  there are concerns that these trends could exclude a large and growing proportion of the labour force from normal wage work.


It's a more competitive labour market and likely a more balanced one. Gone are the days of wildly lucrative perks, but that doesn't mean companies aren't willing to pay for the professional talent they need to make money. For example
in the accounting field, the newly introduced International Financial Reporting Standards are creating more demand for accountants who specialize in that area, in addition to the work being created by higher levels of mergers and acquisitions.

Independent professionals and entrepreneurs will mostly generate the hottest jobs of the economy in the future. The days of reliance on manufacturing jobs are limited as the economy continues to shift toward service-and knowledge-based jobs. A further specialization of labour is anticipated but nonetheless.

The challenges experienced by Canadian manufacturers in the past few years are a subject of public policy interest. These challenges have very real effects on the economy. From 2004 to 2008, more than one in seven manufacturing jobs, nearly 322,000, disappeared. In some regions of the country where the economy is not very diversified, the loss of manufacturing jobs can have particularly negative effects. In these regions, the closure of even a single plant, supplied by several companies, can weaken the economy. At the same time, job growth in other industries has been relatively strong. In fact, from 2004 to 2008, over 1.5 million jobs were created in the rest of the economy—a growth of 11%. The national unemployment rate through 2007 and 2008 was also regularly among the lowest in the past 30 years. Manufacturing is clearly faring worse than the rest of the economy. Canada is far from being the only country having to deal with a downturn in its manufacturing base. The United States, which continues to be Canada's largest trading partner, lost close to one-quarter (4.1 million) of its manufacturing jobs between 1998 and 2008. The vast majority of other Organisation for Economic Co-operation and Development (OECD) member countries have also recorded major job losses in this industry in the past few years. From 1990 to 2003, employment in manufacturing decreased by 29% in the United Kingdom, 24% in Japan, 20% in Belgium and Sweden, and 14% in France. Ireland was the only country to experience impressive growth (25%). However, this growth was in the specific context of an influx of foreign investment and a service sector that grew even more rapidly than manufacturing. Mexico, Spain, and, to a lesser extent, Canada and New Zealand were the only other countries to increase manufacturing jobs from 1990 to 2003. The last available year for purposes of international comparisons being 2003, the result for Canada does reflect the significant job losses since 2004. The share of manufacturing in total employment has regressed persistently in almost all OECD member countries. This is not a recent trend. For example, in the early 1970s, more than one in five jobs in the United States were in manufacturing. In 2003, this proportion barely exceeded 11%. In the United Kingdom, over 30% of jobs in the early 1970s were in manufacturing. In 2003, this proportion dropped to 12%.

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Over the long term, the proportion of service-sector jobs has increased while manufacturing's share has declined in almost all OECD countries. This phenomenon, if it can explain the long-term trends in the relative share of manufacturing jobs in total employment, does not explain the decline in the absolute number of manufacturing jobs. Other factors are likely to contribute on various scales to this general trend among the most industrialized countries: structural contributors such as the phenomenon of production moving to countries like China. As manufacturing activity has declined in relative importance in OECD countries, China has become the world centre of manufacturing employment. In fact, ...

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