Help Wanted: Labour shortage troubles deepen for SMEs in 2007
March 2008
Aneliese Debus, Research Analyst
Bradley George, Director, Provincial Affairs
Plamen Petkov, Policy Analyst
Vacancy rates continued to grow in 2007, with 4.4 per cent of jobs in small- and medium-sized enterprises (SMEs) vacant for four months or more and one third of employers experiencing difficulties finding employees.
The skills and labour shortage has become a significant problem for Canada’s business community. The issue has gained increased attention in all corners of the country with particular attention being placed on the consequences of this problem for SMEs.
SMEs are increasingly unable to find the workers they need to bring their products and services to market. Growth plans are put on hold and confidence slides as more SMEs find themselves short-staffed. Ultimately, the economy and local communities are left to suffer.
In 2004, to gain a better understanding of this issue, the Canadian Federation of Independent Business (CFIB) began to use data from its “Your Business Outlook” survey to study long-term vacancy rates. This long-term vacancy rate, defined as the share of positions that remained vacant for at least four months, is a robust measure of vacancy rates and excludes positions that became vacant as a result of temporary circumstances.
