Coming Together for the Future ANNUAL REPORT

Transcription

1 Coming Together for the Future ANNUAL REPORT

2 About BuildForce Canada BuildForce Canada (formerly the Construction Sector Council) provides the country s construction and maintenance industry with the information and resources it needs to meet and manage its workforce requirements. Focusing on three key areas labour market information, recruitment and retention, and elearning and skills development our programs and initiatives have helped the industry build the capacity and capability required to meet current and future workforce demand since Strategic partners Our strategic partners make our work possible. Alberta Council of Turnaround Industry Maintenance Stakeholders BC Hydro Canada s Building Trades Unions Canadian Construction Association Canadian Home Builders Association Canadian Natural Resources Limited CLAC Irving Oil LNG Canada Manitoba Hydro Merit Canada National Construction Labour Relations Alliance Nexen Energy ULC Ontario Power Generation Progressive Contractors Association of Canada Suncor Energy Syncrude Canada

3 Contents Message from the Chair of BuildForce Canada 2 Message from the Executive Director of BuildForce Canada 3 Workforce Recruitment and Retention Challenges 4 Productivity Equals Competitiveness 6 ELearning Tomorrow s Skills Today 8 Labour Market Information Drives Smart Decisions 10 Financial Overview 12 Meet Our Team 14 BUILDFORCE ANNUAL REPORT

4 Message from the Chair Bringing everyone together in changing times When I began my career in labour relations and workforce development at Irving Oil in 2005, I quickly realized that positive collaboration involving labour, contractors and owner stakeholders from the workers on the front lines to senior executives was key to successful workforce development. Since then, my conviction has only grown that collaboration is critical to addressing the workforce development challenges of the future. As the world around us keeps changing faster and faster, we need to keep pace by finding innovative ways to work together. That s where BuildForce Canada is having a profound impact. The training, tools and information BuildForce offers are designed and regularly updated to help meet our most important challenges and to help us help each other. One of the biggest challenges we share is the demographic shift underway that is seeing a wave of retirements without a corresponding surge in new workers coming through the door. Attracting and retaining workers is a top priority, along with training people in ways that demonstrate the construction and maintenance industry is a forwardlooking sector of Canada s economy. Through the use of dedicated online tools, resources and strategic partnerships, BuildForce actively supports the promotion of careers in the construction and maintenance industry. These efforts include specific information and resources geared toward increasing recruitment from, and providing support for, traditionally underrepresented groups, such as women, Indigenous people and recent immigrants to Canada. Our labour market forecasts are also helping us understand where these underrepresented groups can find the most opportunity. BuildForce continues to refine our annual labour market forecasts with the invaluable input of our industry stakeholders. The more we know about where the labour market stands today, the better we can forecast future needs and position ourselves accordingly. Solid labour market information offers many benefits. It informs our planning and guides our efforts to make the investments required to attract and maintain a welltrained, efficient and adequate construction and maintenance labour force capable of meeting current and anticipated future demands. I look forward to working with the BuildForce community in the coming year. Tackling the challenges we face together will ensure our shared success as we transform the construction and maintenance sector into a destination of choice for Canada s most talented workers. As the world around us keeps changing faster and faster, we need to keep pace by finding innovative ways to work together. That s where BuildForce Canada is having a profound impact. Christina Taylor Chair, BuildForce Canada Workforce Development, Irving Oil 2 BUILDFORCE ANNUAL REPORT

5 Message from the Executive Director Training to be the best at what we do, today and tomorrow At BuildForce Canada, we recognize that the intense daytoday pressures and challenges our stakeholders face can often mean ignoring or delaying more longterm demands. That s why we take a strategic view of the future, so our stakeholders can rely on us to help them make the right longterm decisions. Where will the construction and maintenance industry be in 10 years? Of course, no one can guarantee they know the answer. But the depth and precision of our labour market information is painting a picture that looks very different from what we see today. An aging workforce means dealing with the fallout from retirements and the associated recruitment and retention challenges. We see training for this future as key to successfully transforming our sector. This annual report reflects that mindset. It focuses on where we are continuing to make progress on behalf of stakeholders in workforce development, productivity, elearning and, of course, labour market information. Workforce development means always looking for ways to help industry recruit and retain top talent as retirements start to accelerate. Our work on productivity is supporting benchmarking for companies to measure performance. Our advances in elearning are encouraging training that is approved and developed by industry. Underpinning it all is the ceaseless work to ensure that our topflight labour market information continues to represent all industry stakeholders and enables them to make smart, strategic decisions. Collaboration is critical to ensuring a prosperous future for all construction industry stakeholders. This is why we have worked so hard to gain the trust of owners, contractors, industry associations, governments and educators across Canada. We look forward to building on this solid foundation as we move forward supporting the construction and maintenance industry with its future labour force development needs. An aging workforce means dealing with the fallout from retirements and the associated recruitment and retention challenges. We see training for this future as key to successfully transforming our sector. Bill Ferreira Executive Director, BuildForce Canada BUILDFORCE ANNUAL REPORT

6 Workforce Recruitment and Retention Challenges 7,968 VIEWS OF CAREER VIDEOS ON YOUTUBE 33,514 GOAL COMPLETIONS FROM FACEBOOK REPLACEMENT DEMAND OVER THE NEXT DECADE WOMEN EMPLOYED IN CONSTRUCTION IN 2017 INDIGENOUS PEOPLE EMPLOYED IN CONSTRUCTION IN ,047 VISITS TO CAREERSINCONSTRUCTION.CA 255, ,000 66,200 4

7 Workforce Development BuildForce is helping industry recruit and retain top talent in the face of a growing wave of retirements Canada is facing a growing wave of retiring workers, and the pressures to recruit and retain top talent are intensifying. In the construction and maintenance industry alone, more than 255,000 workers are set to retire between 2018 and In addition to our dedicated Careers in Construction website, BuildForce works with a number of important industry stakeholders to enhance industry recruitment efforts. For example, working in partnership with Women Building Futures, BuildForce is helping to advance the promotion of career opportunities for women in the skilled trades. Respectful Workplaces Blog As Canada prepares for a growing wave of retirements over the next decade, the pressure to recruit and retain the best and most talented workers will be intense. Young workers entering the workforce will have many choices. Providing a stimulating, dynamic and cuttingedge workplace environment will be critical to the industry s success. To ensure the industry remains an employer of choice, the construction workplace must be respectful and inclusive. In 2017, BuildForce launched the Respectful Workplaces Blog to promote industry awareness and dialogue. In 2018, this resource will be augmented with additional tools and resources in support of this important industry goal. Access the blog: buildforce.ca/ respectfulworkplacesblog. Improving performance through mentorship Education and onsite practical training is critical to the development of any young apprentice. Ensuring they receive the right instruction at the right time is essential to their development. BuildForce, in partnership with SkillPlan and the Social Research and Demonstration Corporation, is midway through a fouryear initiative to improve performance through mentorship. The goal of the project is to develop, implement and evaluate a mentorship training model. We are working with trade groups and construction and maintenance companies across Canada, and will begin training participants in the summer of BUILDFORCE ANNUAL REPORT

8 SCOPE WASTE Productivity Equals SCOPE WASTE Competitiveness SAFETY QUALITY SAFETY QUALITY HUMAN RESOURCES HUMAN RESOURCES ,620 VISITS TO THE PRODUCTIVITY PORTAL 6 1,299 MINUTES OF PRODUCTIVITY WEBCAST VIDEO VIEWS 265 DOWNLOADS OF THE 2017 NATIONAL WORKFORCE STRATEGY

9 Productivity BuildForce supports benchmarking for companies to measure performance Canadian Construction Productivity Initiative In 2017, BuildForce launched the Canadian Construction Productivity Initiative with the goal of providing industry stakeholders a balanced forum in which to discuss issues critical to stronger industry performance through improved productivity. As part of the initiative, BuildForce launched a webcast series to help better define what productivity means for Canada s construction and maintenance industry. The site has become a valuable industry resource, hosting four indepth webcasts on this issue. Access the productivity portal: buildforce.ca/productivity. Performance Benchmarking SelfAssessment Tool With the support of the National Research Council s Industrial Research Assistance Program (IRAP), BuildForce launched an online Performance Benchmarking Self Assessment Tool in March The tool allows contractors to compare their performance against the industry average in 10 areas critical to the successful delivery of any construction project. Over time, as the tool matures, more granular comparisons will be possible, permitting industry firms to compare their performance based on subsector, firm size, revenues and number of employees. Many industry firms have used the tool to gain a better appreciation of their strengths and to highlight areas where productivity improvements could be made. Firms have access to regional experts to support their learning and help guide them to the tools they need to improve their construction management and delivery practices. Access the free tool: benchmarkingtool.ca National Industry Summit In 2017, BuildForce held its second National Industry Summit in Ottawa. The summit brought together 120 industry leaders and government officials to share and inspire continued industry action relating to productivity enhancements through improved safety practices and improved workforce retention though better workforce career preparation. A summary report was published in the fall of Access the report: buildforce. ca/2017strategy. BUILDFORCE ANNUAL REPORT

10 MANAGEMENT COURSES 9 SAFETY COURSES 3 ELearning Tomorrow s CONSTRUCTION PROJECT 225 MANAGEMENT COURSES COMPLETED Skills Today 95,000 REGISTERED LEARNERS 12,500 COURSE COMPLETIONS 470 COMPLETIONS OF THE FIRST LEVEL SUPERVISOR TRAINING COURSE 8

11 ELearning BuildForce delivers training approved and developed by industry BuildForce elearning courses are offered through a national network of 135 distribution partners. These partners provide their employees, students, members and customers with enrolment access to our online courses. Access the ELearning Centre: elearning.buildforce.ca. BuildForce continues to redevelop our online learning courses to make them more compatible with current technologies and the evolving learning needs of users. In August 2017, BuildForce released an update to the popular First Level Supervisor Training course, which was followed by the release of the new Construction Project Management course in December. In June 2018, BuildForce released the new Construction Law course. Watch for the release of the new Communications, Negotiation and Conflict Resolution course in the winter. BUILDFORCE ANNUAL REPORT

12 Labour Market Canada & Labrador Brunswick ward Island Quebec ova Scotia Alberta h Columbia Ontario Manitoba Information Drives 21.2% (118,400) 29.9% Smart Decisions % 22.6% 21.6% 21.0% 19.8% 19.8% 5 years % 26.7% (19,300) (4,500) (14,600) (22,700) (44,800) (3,200) (3,700) (700) % CHANGE (1,800) 10 years % CHANGE skatchewan 19.0% (3,100) 0% 5% 10% 15% 20% 25% 30% 35% Source: Statistics Canada, BuildForce Canada 10,672 DOWNLOADS OF LABOUR MARKET REPORTS IN AVERAGE AGE OF THE CONSTRUCTION WORKFORCE IN ,122,400 SIZE OF CONSTRUCTION TRADES WORKFORCE IN

13 Labour Market Information Representing all industry stakeholders Canada s construction and maintenance industry is changing dramatically demographics are shifting, markets are fluctuating, and some regional markets are slowing while others are growing. Our stakeholders look to BuildForce for accurate and timely labour market information to make smart workforce decisions in changing times. Inclusive workplaces are a growing focus To attract the best and brightest younger workers, the construction industry must continue to promote construction as a leadingedge, technologically sophisticated industry offering younger workers tremendous career opportunities. In addition, the industry must broaden its recruitment focus to groups traditionally underrepresented in the construction workforce, such as women, Indigenous people and new immigrants to Canada. To help the industry rise to this challenge, BuildForce continues to improve our annual labour market information forecasts. In 2017, BuildForce expanded our reporting to better track onsite employment of women and Indigenous workers. Further enhancements in 2018 will better track career progression by qualifications, helping employers obtain a more complete picture of their future needs based on the anticipated number of years individuals spend in their acquired trade. In addition to the annual labour market information forecasts, in 2017, BuildForce released the second edition of Global Trends. The report covers emerging trends related to changes in global energy and resource markets, the workforce characteristics of selected countries and global migration patterns that may have the greatest impact on the Canadian economy CONSTRUCTION & MAINTENANCE LOOKING FORWARD NATIONAL SUMMARY HIGHLIGHTS Construction activity in Canada is expected to edge slightly higher in 2017 following small declines over the past two years, but growth is uneven as many construction markets across the country continue to move in different directions. Looking forward, total construction employment is mostly unchanged across the scenario period; down 2 percent in 2026 compared to 2016, with larger declines anticipated in residential (down 7 percent) that are partially offset by moderate gains in nonresidential (up 3 percent). While changes in employment vary significantly by province, there is an overall trend to slower growth over the long term. Sustaining workforce capacity, while addressing an aging workforce more than 20 percent of workers expected to retire over the next decade may become increasingly difficult. As population growth slows and fewer youth are available to enter the workforce, construction must compete against other industries that are facing similar demographic challenges. 0.9% 0.2% RESIDENTIAL NEW HOUSING INVESTMENT 2017 SECTOR INVESTMENT GROWTH OUTLOOK FOR CANADA (% change) BuildForce s LMI System 1.3% 2.1% RENOVATIONS MAINTENANCE 10YEAR WORKFORCE OUTLOOK FOR CANADA 247,900 RETIREMENTS AVERAGE UNEMPLOYMENT 7.9% RATE 215, NEW ENTRANTS 18,700 (1.8%) EMPLOYMENT CHANGE CONSTRUCTION & MAINTENANCE LOOKING FORWARD RESIDENTIAL SUMMARY Retirements dominate hiring needs; 118,000 expected to retire by % 1.3% NONRESIDENTIAL INVESTMENT ICI BUILDING New workers will be required in residential construction over the scenario period, despite slowing construction activity, driven by the need to address an aging workforce, where an estimated 118,400 residential construction workers are expected to retire over the next decade. This represents a significant loss of skilled workers. Replenishing exiting workers may become increasingly difficult with slower population growth and fewer young people available to enter the workforce. Residential construction must also compete against other industries that are facing similar demographic challenges. DISTRIBUTION OF CONSTRUCTION EMPLOYMENT IN 2017, CANADA 2.2% 1.9% ENGINEERING MAINTENANCE BuildForce Canada uses a scenariobased forecasting system to assess future labour market conditions in the oil sands and both residential and nonresidential construction. This LMI system tracks measures for 34 trades and occupations. BuildForce consults with industry, including owners, contractors and labour groups, to validate the scenario assumptions and construction project lists, and seeks input from government on related analysis. The system distills labour market conditions into ranks to provide signals to industry employers = NONRESIDENTIAL MAINTENANCE ENGINEERING $124 $63 HIGHLIGHTS RESIDENTIAL While there are distinct provincial trends emerging across the scenario period, a common theme of slower growth is evident for both residential and nonresidential construction activity. For residential, slower population growth is expected to drive housing starts lower across Canada, while increasing demands for renovation and maintenance work only partially offset new housing declines. INDUSTRIAL, COMMERCIAL, INSTITUTIONAL (ICI) 2017 RESIDENTIAL CONSTRUCTION INVESTMENT, (0.9%) (0.2%) RESIDENTIAL NEW HOUSING RENOVATIONS MAINTENANCE INVESTMENT The outlook scenario projects moderate declines in total construction employment across the period, but gains are uneven between sectors and across provinces. Nearterm employment gains to 2021 are strongest in British Columbia, Ontario and New Brunswick, while Newfoundland and Labrador and Alberta lag. Over the long term, most provinces trend down, returning to total employment levels more consistent with the start of the scenario period. The slowing pace of population growth limits the longterm residential outlook translating into declines in new housing that is partially offset by renovation and maintenance work. Ongoing and proposed nonresidential projects provide a modest boost to total employment over the near term, but this slows as projects wind down. An aging workforce and expected retirements continue to be a key driver of labour demand requirements across the scenario period for both residential and nonresidential construction. BuildForce s LMI System CANADA ($2007 BILLIONS*) $65 $18 * $2007 billions indicates that the investment values are in year 2007 dollars, that is, adjusted for inflation. 10YEAR RESIDENTIAL OUTLOOK FOR CANADA 118,400 RETIREMENTS AVERAGE UNEMPLOYMENT 7.8% RATE (1.3%) (2.1%) 94,100 NEW ENTRANTS 37,400 (7.3%) EMPLOYMENT CHANGE 2017 HIGHLIGHTS DISTRIBUTION OF CONSTRUCTION EMPLOYMENT IN 2017, CANADA RESIDENTIAL MAINTENANCE NONRESIDENTIAL RENOVATIONS NEW HOUSING HIGHLIGHTS Expected retirements will be a key source of new job opportunities across Canada, as an estimated 118,400 workers (or 21 percent of the current residential workforce) are expected to retire over the next decade. Retirements will be partially offset by firsttime new entrants expected to be drawn from the local population aged 30 and younger, estimated at 94,100 over the next 10 years. Driven by the decline in new housing, residential construction is expected to see a loss of 37,400 jobs, or a 7 percent decline in employment. Declining activity may create a false impression of weak labour markets, when in reality, markets are anticipated to be generally balanced; unemployment rates are expected to decline over the long term as retiring workers exit the residential labour force. The largest declines occur in new housing in line with lower population growth and fewer housing starts in most provinces. Moderate, but steady, increases in renovation and maintenance activity partially offset the expected decline in new residential activity. Alberta, Manitoba, New Brunswick and Prince Edward Island go through a moderate upcycle that will drive housing starts and employment up and then down, as demographic trends limit growth over the long term. Weaker population growth impacts British Columbia, Quebec, Nova Scotia and Newfoundland and Labrador with lower new housing activity over the scenario period, while housing activity is expected to be sustained near current levels in Ontario and Saskatchewan. BuildForce Canada uses a scenariobased forecasting system to assess future labour market conditions in both residential and nonresidential construction. This labour market information (LMI) system tracks measures for 34 trades and occupations. BuildForce consults with industry, including owners, contractors and labour groups, to validate the scenario assumptions and construction project lists, and seeks input from government on related analysis. The system distills labour market conditions into ranks to provide signals to industry employers. BUILDFORCE ANNUAL REPORT

14 Financial Overview BuildForce Canada s programs and services are funded through three primary sources: Industry contributions generously provided by our strategic partners to help sustain our organization Government funding which supports our labour market forecasting and other projects Revenue generation primarily from the sale of online courses and custom labour market information impact analyses, helping to offset our operating costs 12 BUILDFORCE ANNUAL REPORT

15 Financial Summary For the fiscal years ending on March 31, 2018 and Mar18 31Mar17 Support and Revenue Government Contributions 2,597,994 1,152,959 Industry Contributions 350, ,000 Product Sales 1,134,024 1,220,614 InKind Contributions 498, ,900 Total Support and Revenue $ 4,580,079 $ 2,928,473 Expenses General and Administrative 1,271,580 1,135,234 Professional 2,441,128 1,156,929 Industry Outreach and Engagement 270, ,258 InKind 498, ,900 Total Expenses $ 4,481,196 $ 2,659,321 Total Net Revenue $ 98,883 $ 269,152 Asset, Liability & Net Asset Summary Current Assets 2,317,709 2,784,642 Term Deposits 733,768 Tangible and Intangible Assets 16,879 14,920 Total Assets $ 3,068,356 $ 2,799,562 Current Liabilities 441, ,361 Other Payables Net Assets 2,627,084 2,528,201 Total Liabilities and Net Assets $ 3,068,356 $ 2,799,562 25% Current Year Revenue 11% 7% Government Industry Products In Kind 57% Note: The figures that appear in the financial summary are derived from the 2018 & 2017 financial statements that have been audited by BDO Canada LLP and have received an unqualified opinion. BUILDFORCE ANNUAL REPORT

16 Meet Our Team 14 BUILDFORCE ANNUAL REPORT

17 BuildForce Canada Board of Directors As of March 31, 2018, our Board of Directors consisted of the following representatives from contractors, owners and labour organizations. CHAIR Christina Taylor Manager, Workforce Development, Irving Oil VICECHAIR Clyde Scollan President and CEO, Construction Labour Relations Association of BC PAST CHAIR John Schubert Canadian Construction Association MEMBERS Robert Blakely Director of Canadian Affairs and Chief Operating Officer, Canada s Building Trades Unions Paul de Jong President, Progressive Contractors Association of Canada (PCA) Patrick Dillon Business Manager & Secretary Treasurer, Provincial Building and Construction Trades Council of Ontario Bill Earis Divisional Manager, Generation Construction & Contract Management, BC Hydro Ron Genereux VP Productivity & Construction, Suncor Energy Services Inc. Robert Kucheran General Vice President, International Union of Painters and Allied Trades; Chairman of the Executive Board, Canada s Building Trades Unions Dr. L.B. (Lindsay) Langill Vice President of Training, Independent Contractors and Businesses Association Jason Peterson HPMA Managing Director/Labour Relations Lead, Business Support, Manitoba Hydro Wayne Prins Executive Director, CLAC BUILDFORCE ANNUAL REPORT

18 BuildForce Canada Staff As of March 31, 2018, the BuildForce team consisted of the following people. EXECUTIVE DIRECTOR FINANCE AND ADMINISTRATION Bill Ferreira Executive Director Rosemary Sparks Former Executive Director Tara Ricci Director, Finance and Administration Ann Edwards Office Administration Magali Jacquel Accounting and Office Assistant LABOUR MARKET INFORMATION PROGRAM Bob Collins Economist Adam Cywinski Economist Klayton Goncalves Economist Aaron Stokes Economist ELEARNING COMMUNICATIONS AND MARKETING Sanjay Sundram Director, ELearning Tim Bolger Manager, Learning Innovation and ELearning Support Rasha Saymeh Instructional Designer Pamela Feeny Editor and Digital Content Manager 16 BUILDFORCE ANNUAL REPORT

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