Labour shortages are causing issues for Canadian businesses and Calgary isn’t immune

Statistics Canada just released its second quarterly Canadian Survey on Business Conditions, and the trends show a difficult coming year for economic recovery.

These challenges are magnified by an ongoing nationwide talent crunch combined with continued cost pressures and supply chain issues, with thousands of businesses still trying to claw their way back after the pandemic took a bite out of their bottom line. 

Labour shortages are also being faced all across the country, and many businesses have been struggling to lure employees back and some are facing dire labour shortages. 

The city’s accommodation and food service industries are the most affected with nearly 70 per cent of businesses affected by shortages. 

Finding a delicate balance

Nearly 44 per cent of Calgary respondents are worried labour challenges will limit business growth, with 86 per cent of energy-related businesses expressing concern. 

Deborah Yedlin, president and CEO of the Calgary Chamber of Commerce, says that with all of the employee shortages, it’s a challenge to find the right balance. 

“It’s the ability to operate at capacity and as efficiently as possible — and that’s an issue across the board,” Yedlin says, adding many local businesses are struggling to find suitable employees. 

In fact, 64.5 per cent of Canadian businesses say recruiting and retaining staff is more challenging now, compared with 12 months ago. Yedlin says businesses need to entice employees into working for their company. 

“Whether it’s from a transportation perspective, whether it’s hospitality, a restaurant, or retail, the whole spectrum is being affected by the fact that we don’t have enough talent at this point, and that labour shortage is manifesting in a whole bunch of different ways.” 

The hiring rollercoaster 

Paddy’s Barbecue & Brewery owner Jordan Sorrenti says that recently, keeping staff can be difficult, especially when the industry is struggling and needs many helping hands. He owns the family-run business with his wife, Kerry. 

“In terms of labour shortages, I’m having a difficult time right now trying to find a kitchen leader or a chef,” Sorrenti says. 

“It’s very difficult because you interview people and then you settle on somebody and you hit it off wonderfully, and then all of a sudden, the day before they’re supposed to start, they send you an email or text saying they took another job.” 

Patience is a virtue 

Yedlin says that part of the solution is patience. With life just starting to ‘return to normal’, both the industry and customers will have to be accommodating to the labour shortages. 

“I think one of the things we have to do is continue to support our local businesses and we have to also be patient and recognize that everything might not be running smoothly as we’d like to work,” Yedlin says. 

Sorrenti agrees, adding the reason that’s happening is that there aren’t enough people to prepare the food sometimes.”

“We’re going through labour issues and a lot of restaurants are. Sometimes see some not-so-nice posts from people that need to wait for a little longer for their food,” Sorrenti adds. 

Possible solutions 

The Calgary Chamber wants all three level of government to consider short and long-term solutions to address labour challenges, including investment in the talent pipeline, including support for post-secondary and work-integrated learning programs. 

The organization also wants the government to develop and implement an immigration strategy that supports long-term economic growth across sectors and eliminate barriers to recognizing foreign credentials and facilitate labour mobility across international borders.

“From an immigration strategy to attract skilled workers to post-secondary investments that enhance access to training, we must activate all levers to ensure we don’t leave opportunities on the table,” Yedlin says. 

“As the global competition for talent heats up, sharing Calgary’s value proposition as a city that consistently ranks near the top of major cities worldwide on affordability and quality of life will also be critical.”