While economists have been predicting the hard reality of a labour shortage for more than 15 years, we are now facing a problematic situation in the medium or short term. The major issues are felt as much by the employees as by the company managers. Indeed, there are important impacts on the physical and psychological health of employees. According to a recent FCCQ survey, the lack of manpower leads to an overload of work and affects the proper functioning of companies. More than 59% of workers report burnout due to work overload, which considerably reduces the productivity of businesses and puts a damper on the recovery of the Quebec economy.
The next few months and years look bad both socially and economically, according to FCCQ President and CEO Charles Milliard. 86% of Quebec businesses believe they are in a labour shortage situation and more than 74% have had vacant positions posted for more than 90 days.
In the article published in La Presse on September 29, 2021, "Message collectif face à une situation très préoccupante" (Collective message in the face of a very worrisome situation), an alarming message reminded us of the labour shortage crisis in which we are currently involved, and it is enough to make us break out in a cold sweat.
According to discussions and studies, 64% of SMEs in Canada say that this shortage is slowing their growth. In fact, 44% of them have had to delay the delivery of their orders or have been unable to fulfill their commitments. According to Pierre Cléroux, BDC's VP Research and Chief Economist, this situation must be taken seriously, as it is a major issue that will be with us for a long time.
For her part, Véronique Proulx, CEO of MEQ, mentions that according to a survey conducted, more than 98% of companies in the manufacturing sector are looking for workers at all levels. This situation has a significant impact on the economy as the manufacturing sector has lost $18 billion in the last two years.
Many people believe that ECP and ERRP are responsible for this lack of employees, but the real cause is the aging population. According to the article, baby boomers are retiring and less and less young people are entering the workplace.
With an aging population, there is a great deal of interest in adapting with a new generation that has grown up in the digital age and has a completely different view of work than generations of the past.
Employers will have to adapt to today's new generation, because generations come and go, but they are not the same.
In order to attract Generation Z and millennials, it will be important to consider their new interests at work.
A work-life balance is one of the primary criteria for future employees. Companies need to recognize that work and personal life are intimately connected. A sense of community is paramount for these workers and they have a desire to have some autonomy in the accomplishment of their tasks.
New generations expect and demand to:
- Have opportunities for career advancement
- Have a company that keeps up with the rhythm of technology
- Putting the well-being of employees first
- Flexible working hours
Other solutions to consider for this labour shortage?
According to the BDC, there are other possibilities to consider such as
- Robotisation and automation
- Retirement after age 65
- Hiring people from immigrant families
- Hiring bonuses
- Total compensation, etc.
As this situation is not about to end, companies will most likely also need to consider turning more to specialized recruiting firms such as TechnoGénie to assist them in their recruitment. We invite you to contact us if you have any needs and we will be happy to discuss how we can help you.