The unemployment rate hit the highest it’s ever been in four decades during the COVID-19 pandemic. Yet, numerous job vacancies still exist. Numbers of unfilled positions have soared in Canada, with more than 1 million unfilled positions.
So with so many unemployed, why are these jobs going unfilled?
Ryan Mallough, of the Canadian federation of independent business, says there’s a few factors at play here.
“We knew labor shortages were an issue before the pandemic, I think some of what’s happened during the pandemic has certainly exacerbated it. But I think ultimately, it comes down to not having enough people available to fill jobs in certain sectors.”
The hospitality sector has been one of the hardest hit regarding job vacancies, as people leave for more stable and reliable work with frequent lockdowns.
Pandemic support has played a factor as well, though not as big as some may think.
“The level that it pays out to is maybe having an impact on some part time work. Especially around this time of year, there is usually in the retail sector an uptick in part time work,” Mallough said on pandemic supports such as the CRB and still much debated CERB.
“However, it still wasn’t really comparing to full time work, and I don’t think was a large factor in turning people off of work. It played some role, but it’s not the reason why we’re seeing so many vacancies.”
He hopes the federal government moving forward makes sure those supports are available in case of future lockdowns, but don’t provide a disincentive for those able to work.
The reason for vacancies may also be a skill shortage, as London Chamber of Commerce Member Kristen Duever says.
“We’ve got a number of skilled trades that we just don’t have the people for because we don’t have enough coming up through the educational system. And it’s very difficult for employers sometimes to hire international talent.”
A lot more work goes into hiring a foreign employee than a native one, as you first need a Labour Market Impact Assessment, then the employee themselves need a work permit. That’s not even factoring in the pandemic.
Duever says businesses have gone through all the regular channels, with some turning to co-op students from Fanshawe and Western.
“They’re doing what they can to get the right people in the positions where they’re needed.”
With unemployment rates slowly, but surely falling, there’s a chance that the help that Canadian businesses want will be found.
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