Canada To Announce New Measures To Support Construction Industry

• The statement, scheduled for Ottawa, is likely to address the sector’s difficulties, including labor shortages and housing affordability.

Marc Miller, Canada’s immigration minister, is scheduled to propose new measures to boost the building industry.

The statement, scheduled for Ottawa, is likely to address the sector’s difficulties, including labor shortages and housing affordability.

According to Immigration News Canada (INC), the decision comes at a time when Canada’s housing needs are expanding, with the Canada Housing and Mortgage Corporation (CMHC) estimating that 3.5 million additional houses will be required by 2030 to restore affordability.

According to sources, the restrictions could be intended to address the construction industry’s chronic shortage of competent labor.

Details about the announcement are pending

While precise details of the new measures are unknown, the press release implies that Minister Miller will prioritize actions to assist individuals and businesses in the building industry.

• Possible updates include assistance for out-of-status construction workers and a follow-up on recent modifications to Canada’s Express Entry system.
• Immigration, Refugees and Citizenship Canada (IRCC) has just added 19 new skilled crafts to the list of occupations eligible for Express Entry category-based draws.
• With this upgrade, there are now 25 trades eligible, the majority of them are related to building.  Roofers, electricians, plumbers, and carpenters are among the crafts required to meet the country’s construction labor demand.

According to statistics, the construction sector is also enormous, with an expected 1.2 million workers by 2023, a figure that has doubled since 1997.

This workforce, as previously indicated, is critical to meeting the increased demand for residential and non-residential building.  However, difficulties such as labor shortages and economic instability continue to impact the business.

Labor shortages and the need for skilled trades

According to reports, labor shortages in the construction industry remain a key concern, with BuildForce Canada anticipating a need to hire more than 309,000 more workers by 2029.

According to sources, this is due to the anticipated retirement of approximately 257,000 workers and the creation of 50,200 new employment.

• Skilled tradespeople, such as electricians, carpenters, and plumbers, are critical to overcoming these shortages.  These occupations necessitate specialized training and competence, making recruiting even more critical.
• The construction industry is also facing demographic issues, including an aging workforce and low participation rates among younger workers.

According to reports, the construction industry has a higher vacancy rate than the national average, at 5.1%.  This demonstrates the critical need to address labor shortages and attract talented professionals to the field.

Immigrant Contribution to the Construction Workforce

According to INC, immigrants play a substantial part in Canada’s construction industry, accounting for around 22% of the workforce.

• According to the Statistics Canada Census, immigrants account for varied percentages of the workforce in specific construction roles.  For example, 20% of roofers and shinglers are immigrants, as are 16% of electricians and 15% of carpenters.
• Other roles with a notable immigrant presence include general contractors (23%), architects (41%), and civil engineers (40%).
• These statistics highlight the importance of immigration in meeting the labor needs of Canada’s construction sector, especially in light of ongoing shortages.

The Canadian government’s efforts to support the construction industry come at a critical time. As the country grapples with housing shortages and a growing demand for skilled labor, these measures look to provide relief to construction firms and workers.

Minister Miller’s next announcement is expected to provide more information on the government’s efforts to guarantee the sector is capable of fulfilling future needs.

For the time being, industry stakeholders will have to wait for more information on the government’s plans to help the sector and address the persistent labor issues that Canada’s construction industry faces.