BMO Report: Majority of Canadian Businesses Feel New Hires Require Significant Training

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 
TORONTO, ONTARIO -- (Marketwired) -- 04/03/13 -- 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      Small Business  Large Business        Services   Manufacturing
 Training                                                                   
----------------------------------------------------------------------------
Basic                   38 %            47 %             41%             42%
 Requirement                                                                
----------------------------------------------------------------------------
Significant             22 %            27 %             17%             23%
 Requirement                                                                
----------------------------------------------------------------------------
 
----------------------------------------------------------------------------
Need for              Retail    Construction     Agriculture         Bus/Fin
 Training                                                                   
----------------------------------------------------------------------------
Basic                    44%             51%             26%             29%
 Requirement                                                                
----------------------------------------------------------------------------
Significant              26%             22%             25%             30%
 Requirement                                                                
----------------------------------------------------------------------------

 
Need for New Hire Training by Region 


 
----------------------------------------------------------------------------
Need for        Overall Atlantic   Quebec Ontario Prairies Sask Alberta   BC
 Training                                                                   
----------------------------------------------------------------------------
Require basic      38 %     41 %     40 %    34 %     29 % 27 %    43 % 44 %
 training and                                                               
 experience                                                                 
----------------------------------------------------------------------------
Need               22 %     25 %     25 %    20 %     23 % 16 %    20 % 23 %
 significant                                                                
 training and                                                               
 guidance                                                                   
----------------------------------------------------------------------------

 
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. 
Contacts:
Media Contacts:
Matt Duffin, Toronto
(416) 867-3996
matthew.duffin@bmo.com 
Valerie Doucet, Montreal
(514) 877-8224
valerie.doucet@bmo.com 
Laurie Grant, Vancouver
(604) 665-7596
laurie.grant@bmo.com 
Internet: www.bmo.com
Twitter: @BMOmedia
 
 
Press spacebar to pause and continue. Press esc to stop.