Monday, December 22, 2008

Canada's electricity sector needs to hire 25,000 engineers and skilled trades people within the next six years

A new report reveals that Canada’s electricity industry is facing serious labor shortages that could power down an industry which fulfills Canada’s energy demands and employs some 100,000 people.

In its current release of workforce planning report, Canada’s Electricity Sector Council (ESC) has showed that electricity industry faces an immediate shortfall of 1,300 positions every year for the next three years and needs to replace nearly 30 percent of industry positions, or approximately 25,000 people within the next six years, to meet Canada's energy demands – currently rising by one percent each year. More importantly, the rate of workforce retirement will reach 29 per cent within the next four years alone, especially the retirement of transmission system workers is expected to jump more than sevenfold next year and nine fold by 2012.

Report warned that an aging workforce, coupled with low recruiting numbers and a continual increase in demand from domestic and export markets, are converging to create a problem that could impact the supply, transmission and distribution of power in Canada.

"Retirements are likely going to stay high for another four to five years and then take another couple of years to stabilize," says Damon Rondeau, a human resource planner at Manitoba Hydro and chair of the ESC's labor market information project's steering committee. "Part of the problem is the traditionally stable nature of the electricity industry, a long-service, low-turnover segment of the economy. The entire electricity sector grew substantially in the 1960s and 1970s in response to growth in the Canadian economy and these people are all retiring now."

"We do forecast some (more) retirements," says Erin Kurchina, vice-president of human resources for Calgary-based energy distribution, supply and service company Enmax. "They're not excessive and we've been able to manage our staffing levels through redeployments and the succession planning (for all staffing levels) that we've done. We've also partnered with the Calgary Catholic Immigration Society to help us explore the recruitment of international immigrants."

The workforce planning report suggests that the industry must to do a better job promoting itself as a career path at a time when enrolment in electrical engineering programs is falling and competition for skills from other industries is rising. This is includes working more closely with post-secondary institutions to develop programs relevant to the sector. An emphasis on recruiting foreign-trained workers and underemployed groups, such as women and visible minorities, would also help alleviate the crunch, it recommended.

The ESC is also working on a number of initiatives to ensure that the sector has enough employees to meet the retirement crunch. For example, it's partnering with associations, labor organizations and educators in the energy sector and has provincial working groups in Ontario, Alberta and British Columbia working directly with the energy ministries in each of those provinces. The ESC’s Electricity First work program also provides wage subsidies to small and medium-size companies that offer employment to recent engineering and technical graduates. It's further working to create a national HR strategy and is developing sector-specific online tools, such as templates and tracking forms, to help organizations prepare for the radical demographic shift in the electricity workforce.

The Electricity Sector Council is an independent, not-for-profit organization funded by the Government of Canada with support from participating sector communities of business, labor organizations, educators and stakeholder associations. The Council provides human resource and workplace development support to workers employed by the electricity, renewable energy industries and related cogeneration, energy efficiency, and manufacturing and service/consulting industries. Through its research and work with industry employers, the Council is resolving issues such as recruiting and retraining workers, facilitating school-to-work transitions and developing sector and career awareness strategies.