Press release from Marketwire
BMO Report: Majority of Canadian Businesses Feel New Hires Require Significant Training
- The Big and Small of It: 60 per cent of small businesses and 74 per cent of enterprises say new hires are in need of basic or significant training and guidance - Report follows introduction of the Canada Job Grant as part of the 2013 Federal Budget, which could provide $15,000 or more per trainee - BMO Chief Economist notes that current labour shortage in Canada is below 15 year average
Wednesday, April 03, 2013
BMO Report: Majority of Canadian Businesses Feel New Hires Require Significant Training13:13 EDT Wednesday, April 03, 2013
TORONTO, ONTARIO--(Marketwired - April 3, 2013) - A study from BMO Bank of Montreal reveals that skills training for new hires remains a high priority among Canadian employers in 2013.
The report, conducted by Pollara, was designed to determine the amount of training required for new hires entering the workforce across various sectors, and revealed:
- More than one-third (38 per cent) of small businesses state that new hires require basic training
- Another 22 per cent of small businesses have found new hires require significant training and guidance
- The need for training for new hires is most prevalent among large corporations, where three-in-four say new hires need basic (47 per cent) or significant (27 per cent) training
"The level of talent and expertise of a small or large business' employees are the very foundation of success and are often the source of competitive advantage," said Steve Murphy, Senior Vice President, Commercial Banking, BMO Bank of Montreal. "Whether it's enrolling new and existing employees in specialized training programs at community colleges, career colleges, union training halls or through internal programs, ensuring there are resources dedicated to the training and development of new employees is essential and should continue to be a top priority for business leaders."
When it comes to overall access to labour, Canada is still in a strong position, noted Doug Porter, Chief Economist, BMO Capital Markets. "A recent survey from the Bank of Canada suggests that with a 7.0% unemployment rate, the share of firms reporting labour shortages is especially low. Only 25% of firms are reporting labour shortages - compared with a 15-year average of 35%."
Need for New Hire Training By Sector
|Need for Training||Small Business||Large Business||Services||Manufacturing||Retail||Construction||Agriculture||Bus/Fin|
|Basic Requirement||38 %||47 %||41%||42%||44%||51%||26%||29%|
|Significant Requirement||22 %||27 %||17%||23%||26%||22%||25%||30%|
Need for New Hire Training by Region
|Need for Training||Overall||Atlantic||Quebec||Ontario||Prairies||Sask||Alberta||BC|
|Require basic training and experience||38 %||41 %||40 %||34 %||29 %||27 %||43 %||44 %|
|Need significant training and guidance||22 %||25 %||25 %||20 %||23 %||16 %||20 %||23 %|
The statistics were released following the recent Federal Budget in order to align job training more closely to the skills employers need and the jobs available. The Canada Job Grant could provide $15,000 or more per person to ensure Canadians are getting the skills that employers are seeking. Up to $5,000 will be provided by the Federal Government, and that amount will be matched by the province/territory and by the employer.
"This step addresses what is considered a significant employment and economic issue comes at a good time for many Canadians seeking work and the employers looking to attain talent and bolster productivity and profitability," added Mr. Murphy. "The measures in Budget 2013 will have a positive impact on the health and long-term stability of Canada's workforce."
The report was conducted via Pollara with a sample of 500 Canadian business owners, conducted between February 25th and March 15th, 2013. The margin of error for this survey is ± 4.4%, 19 times out of 20. Data has been weighted by region and company size, based on a December 2011 Statistics Canada Study, so that it is representative of all Canadian business owners.
About BMO Financial Group
Established in 1817 as Bank of Montreal, BMO Financial Group is a highly diversified North American financial services organization. With total assets of $542 billion as at January 31, 2013, and more than 46,000 employees, BMO Financial Group provides a broad range of retail banking, wealth management and investment banking products and solutions.
FOR FURTHER INFORMATION PLEASE CONTACT:
Matt Duffin, Toronto
Valerie Doucet, Montreal
Laurie Grant, Vancouver