Mismatch in Job Market a Risk to Economy: CIBC

Canadian job seekers are such a square peg for the round hole of available work that there is little hope they’ll ever find employment in their field, even with an economic upswing, according to a new CIBC report.

By Marco Chown Oved Staff Reporter, Toronto Star

The report, titled The Haves and Have Nots of Canada’s Labour Market is the latest to highlight the issue of labour mismatch in Canada, where some sectors are in dire need of qualified applicants, while others have a glut.

“We have people without jobs and jobs without people,” said author and CIBC’s deputy chief economist Benjamin Tal.

The report includes two lists: 25 occupations with labour shortages and 20 with labour surpluses. It’s a Coles notes version to planning your future.

Mining, health care and engineering top the list of sectors that desperately need qualified candidates, while teaching, hospitality and manufacturing have too few openings for those already trained to work there.

For those in the 25 fields in demand, life is looking up. These sectors are experiencing both rapidly rising wages and low or falling unemployment rates.

Among these professions, the average unemployment rate is just over 1 per cent, while wages are rising by an average annual rate of 3.9 per cent. That’s more than double the rate seen in the economy as a whole.

For those in the 20 careers with labour surpluses, things are looking bad and they’re getting worse.

In these areas, there’s a combination of higher or rising unemployment and decelerating wage growth.

This group of professions accounts for 16 per cent of total unemployment and their real wage growth was nil over the past year.

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