Canadian employers set to lean on contract workers in 2018: survey

Credit: 2018 Canada Salary Guide

Most companies say the skills shortage has hurt their business, but they’re still expecting growth in the coming year

The eighth annual Hays Canada Salary Guide indicates that while employers feel good about their businesses’ growth prospects, workers might be in trouble.

The survey, geared toward employers and released by Hays Specialist Recruitment Canada Inc., a subsidiary of British recruiting firm Hays plc, found that 70 percent of respondents expected business growth in 2018.

However, 72 percent of the same group said that they plan to use temporary or contract workers in the coming year. If that’s not enough of a sign that employees may be in trouble, just 24 percent of respondents said they will boost salaries by more than 3 percent this year, and only 38 said they would be hiring more people.

Employers and human resources experts agree that Canada is currently dealing with a skills shortage, with 87 percent of those surveyed saying it has negatively impacted their business. 

Overall, Hays reports that employer confidence has returned to pre-downturn levels. This is the first edition of the guide since 2015 in which more respondents believe the economy will strengthen rather than stagnate.

Hays has eight offices in Canada (Calgary, Edmonton, Mississauga, Montreal, Ottawa, Toronto, Vancouver and Winnipeg) that it used to conduct the survey.