COVID-19 might have changed how we worked forever and that could be a problem
The COVID-19 pandemic has changed Canada's workforce possibly forever.
People decided to retire early, others only want to work from home and some workers decided it was a time to change careers.
Canada's labour shortage was already a problem before the pandemic, and now it's getting worse and creating hiring issues for Canadian businesses.
“We cannot manage our businesses the same way that we used to because the job market is quite different today," said Pierre Cleroux, Chief Economist with the Business Development Bank of Canada (BDC).
When the BDC interviewed Canadian companies for their labour shortage study 45 per cent said there was a lack of candidates to fill positions, 57 per cent said new hires wanted higher wages and 32 per cent of applicants also have a desire for more benefits.
The survey also found that many older Canadians decided to retire and leave the workforce during the pandemic.
“We saw more Canadians retire in the pandemic then before and because we have a lot of baby boomers who are getting close to 65, a lot of Canadians will retire in the next few years," said Cleroux.
Canada also saw it's lowest population increase in more than a century due to the pandemic and took in 400,000 fewer immigrants.
The survey found that 64 per cent of entrepreneurs said the labour shortage is limiting their growth.
The Canadian Federation of Independent Business (CFIB) agrees with the survey results and said a labour shortage is a real problem for the Canadian economy.
“The gripping labour shortages are in retail, hospitality, arts and entertainment and these customer facing businesses," said Dan Kelly, President of the CFIB.
The CFIB said that generous government benefit programs such as CERB and additional EI benefits have also made it difficult to hire people who may make more money staying home than working.
The survey found 55 per cent of small and medium-sized businesses said they find it difficult to hire people and 49 per cent said say they must increase their wages and benefits to attract applicants.
There is also a concern if vaccines become mandatory for private workplaces it could also cause some workers to quit their jobs.
For example in the restaurant industry a customer currently has to be vaccinated to enter, but the waiter serving the customer or the kitchen cook preparing the food does not.
Kelly said if private workplaces have to bring in mandatory vaccinations for all workers, some may decide to quit.
“If governments make mandatory vaccinations for private sector workers that will make the labour shortage a million times worse," said Kelly.
Many employees who are working from home are also reluctant to go back to the office and employers may have to be more flexible or staff may seek employment elsewhere.
The survey found the labour shortage is not going away anytime soon and companies may have to use more automation to get work done or offer "total compensation packages" to employees when they hire them so they'll stick around.
CTVNews.ca Top Stories
Lawsuit against Meta asks if Facebook users have right to control their feeds using external tools
Do social media users have the right to control what they see — or don't see — on their feeds?
BREAKING 15-year-old boy stabbed in Ottawa on Thursday dies
A 15-year old boy who was critically injured after a stabbing in Nepean on Thursday has died of his injuries, Ottawa's English public school board said Sunday.
Dash cam catches moment suspected drunk driver hits parked car, sends it careening into North Shore flower shop
Police say it’s fortunate no one was injured or killed in a collision at North Vancouver’s Park and Tilford shopping centre Saturday evening that sent one vehicle careening into a flower shop and another into a set of concrete barriers outside a Winners store.
El Nino weakening doesn't mean cooler temperatures this summer, forecasters say
As Canadians brace themselves for summer temperatures, forecasters say a weakening El Nino cycle doesn’t mean relief from the heat.
Nylander defends Leafs' core after playoff exit, Toronto again picks up the pieces
The Maple Leafs battled back from a 3-1 series deficit against the Boston Bruins with consecutive 2-1 victories - including one that required extra time - in their first-round playoff series to push the club's Original Six rival to the limit before suffering a devastating Game 7 overtime loss.
Amid climate change warnings, Canadians lukewarm on electric vehicles
Amid scientists' warnings that nations need to transition away from fossil fuels to limit climate change, Canadians are still lukewarm on electric vehicles, according to a study conducted by Nanos Research for CTV News.
Three dead, two hospitalized, following collision in Fredericton: police
Three people have died and two have been hospitalized after a speeding car struck a tree and landed on another vehicle in Fredericton Sunday morning.
Montreal man on the hook for thousands of dollars after a feature on his Tesla caused an accident
A Montreal man is warning Tesla drivers about using the Smart Summon feature after his vehicle hit another in a parking lot.
Madonna's biggest-ever concert transforms Rio's Copacabana beach into a massive dance floor
Madonna put on a free concert on Copacabana beach Saturday night, turning Rio de Janeiro's vast stretch of sand into an enormous dance floor teeming with a multitude of her fans.