Here is a presentation on human capital and skills management.

1. SKILL TRADES – CANADA – AUGUST 2019
BY: PAUL YOUNG, CPA, CGA
DATE: AUGUST 12, 2019

2. PAUL YOUNG - BIO
• CPA, CGA
• Academia (PF1, FA4 and MS2)
• SME – Risk Management
• SME – Close, Consolidate and Reporting
• SME – Public Policy
• SME – Financial Solutions
• SME – Supply Chain Management
Contact information:
Paul_Young_CGA@Hotmail.com

3. HUMAN CAPITAL MANAGEMENT
 For companies and government to be successful means they need to look at hard at their policies and
programs to support development of their employees.
 Government needs to adjust their workplace model to the digital economy
 Government policies like hikes to small business tax and/or elimination of tax credits are making Canada
less competitive when it comes to attracting brain power.

4. AGENDA
 What is Skills GAP?
 Skills GAP and Productivity
 Government Training Programs
 Issues facing Skills Development and Training
 Hamilton, Ontario
 Other resources
 Blog – Career Management
 Blog – Soft Skills
 Blog – Online Education
 Blog - Job Vacancies
 Top Educational cities
 Digital Economy

5. SKILLS MANAGEMENT
 The role of government is defined the educational programs required to support the economy. Too
many govts across Canada have pushed programs that do not provide meaningful employment
 The world continues to change as such governments need to address all their policies that support
economic growth
 Immigration should not be based on quota, but align where there voids in employment not filled by
educational programs
 Canada needs to become more competitive through reducing its reforming areas like taxation,
regulations, trade/fipa deals and hydro rates.
 All levels of government and the private sector need to fixed the education systems to ensure people
have skills for today and tomorrow
 It is not one policy that supports human capital management but many policies

6. WHAT IS SKILL GAP?
 The ‘skills gap’ is the phrase used to describe the difference between the skills that employers
want, as shown by their job advertisements, and those that are available from workers looking for
a job.
 Source - http://www.skillsyouneed.com/general/skills-gap.html

7. SKILL GAP AND PRODUCTIVITY
United States:
 Roughly 200 million adults in the U.S. today make up the "digital workforce," where productivity requires skills using a number of digital platforms.
 Amazingly, only one out of ten workers from this group rate themselves as proficient with the digital tools they use, according to video training
company Grovo.
 This skills gap costs the U.S economy a whopping $1.3 trillion every year, and comes at a time when productivity growth is already down over
historical periods. For example, the Wall Street Journal reports that the average U.S. worker's output has risen just 1.3 percent per year during the past
five years, well below the 2.3 percent figure during the 20 years leading up to the economic crisis.
 The infographic below from Grovo outlines the cost of the digital skills gap and which skills are essential for the 21st century workforce.
Canada
 Canadian businesses, particularly small and medium sized ones, are falling behind in adopting new technologies, mainly because they can’t find the
people they would need to implement the changes, the report says. And that could have negative consequences. “If Canada does not address the
talent and skills gap, it could cost the economy billions of dollars in lost productivity, tax revenues, and gross domestic product,” the report states.
 Out of 527,000 students who graduated in Canada in 2015, only 6 per cent — 29,000 — graduated from an IT field, the report found. Canada would
have to graduate around 43,000 IT students per year to keep up with job growth.
Source - http://www.inc.com/graham-winfrey/how-the-digital-skills-gap-is-crippling-productivity.html and http://www.huffingtonpost.ca/2016/03/12/it-
jobs-skills-shortage-canada_n_9440872.html

8. BABY BOOMERS RETIRING AND SKILLS GAP
 Source - http://www.canadianmanufacturing.com/manufacturing/report-retiring-boomers-creating-a-
skills-shortage-193269/
This is according to a new Conference Board of Canada report, Workforce
Planning Practices in Canada, which says that more than half of Canadian
organizations are having difficulties finding workers with critical skills.
The report says that in 2005, it took an average of 40 days to fill vacancies
in the technical and skilled trades. This number has now jumped to 60
days. Likewise, the average cost to fill vacancies in the technical and
skilled trades was $3,000 in 2005, compared to $5,000 in 2016.

9. IMMIGRATION
Source - http://www.cbc.ca/news/politics/immigration-canada-2018-1.4371146 or http://www5.statcan.gc.ca/cansim/a26?lang=eng&id=2850001 or https://www.statcan.gc.ca/daily-quotidien/151130/dq151130d-
eng.htm

10. REFUGEES COST
 Canada is forecasted to receiving 40,000 refugees through the illegal border crossing into Canada. The
cost of to house, feed, cloth, medical, etc. will be between $600M to $1B.
https://openparliament.ca/debates/2017/9/26/michelle-rempel-2/. The response from the government
has been at best lukewarm. Here is what the immigration minister said “The member opposite must
know that asylum claims fluctuate on a yearly basis and sometimes even monthly. The fact of the matter
is that our agencies were nimble enough. We were able to put full capacity within IRCC to process
claims.
 Yet the government thinks closing the borders is not priority, but taxing small business is in terms of
policies is top priority, right? https://ipolitics.ca/2017/09/28/morneaus-tax-plan-should-have-been-
political-gold-what-happened/

11. JULY 2019 - EMPLOYMENT
Source – Stats Canada
• Canada has loss over $100B in FDI sine the Liberals took office -
https://business.financialpost.com/opinion/look-how-much-foreign-investment-has-fled-canada-since-the-
liberals-took-over
• Liberals have made a mess of the regulatory process to get projects approved -
https://business.financialpost.com/commodities/energy/transcanada-terminates-plan-for-energy-east-pipeline
• Canada is less competitive today than it was back in 2015 - https://www.slideshare.net/paulyoungcga/2019-
election-canada-and-global-competitiveness-may-2019

12. SKILLS GAP / BDC
Source - https://www.canadianmanufacturing.com/manufacturing/labour-shortage-is-the-new-norm-that-will-last-a-decade-bdc-
economist-says-218872/
The BDC’s survey of 1,208
people from small and
medium-sized businesses,
with at least $500,000 in
annual sales, found 39 per
cent of them were having
difficulties hiring the types
of new workers they
required.
d
Labour Market
• Canadian economy is only creating 217K new jobs per year
• There are over 400K job vacancies
• The post-secondary graduates are 500K per year
• The government plans to bring in new immigrants of about
300K per year
What needs to be done
• Canada needs a strategy that better aligns both immigration and graduates
with skills need for today and tomorrow
• Canada also needs to refine is policies to encourage economic growth
• Since Liberals took office there are less people working in goods producing
sector as % total employment. Liberal policies have driven out over $100B
investment.
• Skill trades certification process needs to be reviewed. Ontario needs to
eliminate the skill trade agency.
• Canada has strain relations with many countries of the world due to Liberal
agenda. Canada depends on exports. Exports could be 25% higher if Canada
had better trade deals
• Immigration should not be based on quota, but align with gaps in
employment
• Private sector needs to be part of solution and not excluded when it comes
to supporting programs that reduce skill gaps

13. EMPLOYMENT ISSUE
 Why? We have youth unemployment as well as the economy is sluggish in terms of growth. Job creation is only 200K for 2016,
but the bulk of new jobs are part-time. http://www.slideshare.net/paulyoungcga/government-policies-broadcasting-canada-
commentary-and-analysis-november-2016?next_slideshow=1
 There are already issue with job settlement programs in terms of both funding and openings. So, why would we bring in more
new immigrants?
 FYI - https://www.thestar.com/opinion/editorials/2016/12/09/canada-must-learn-from-mistakes-to-integrate-syrian-refugees-
editorial.html or http://www.macleans.ca/news/canada/a-milestone-looms-for-canadas-syrian-refugees-month-13/
 FYI
 I guess Trudeau's legacy will be "high tax, lower quality of life, high youth unemployment, low business investment and big
government"
 Yazidis
 http://www.calgarysun.com/2017/02/21/trudeau-spending-28m-to-give-1200-refugees-asylum-this-
year?utm_source=facebook&utm_medium=recommend-
button&utm_campaign=Trudeau+spending+%2428M+to+give+1%2C200+refugees+asylum+this+year
 Truth about the border rush
 https://www.washingtonpost.com/news/global-opinions/wp/2017/02/24/what-the-canadian-media-ignores-about-canadas-new-
refugee-crisis/?utm_term=.4314b4bad80f

14. USA VS CANADA IMMIGRATION
Are the new immigrants going to have the skills to create
the new googles? Link: Videos -
http://video.lauraingraham.com/Ingraham-slams-
Labrador-on-immigration-So-youre-where-Cantor-is--
26275295?playlistId=15975

15. EDUCATION/SKILL TRAINING
 Job Training Programs - http://www.servicecanada.gc.ca/eng/audiences/employers/funding.shtml

16. TEACHING YOUTH TO CODE
 http://techportfolio.net/2017/05/closing-canadas-tech-skills-gap-teach-youth-to-code/
220,000 workers needed: That’s how vast Canada’s tech skills gap could
be by 2020, according to Canadian government and industry experts.
If that gap isn’t closed, many tech companies will be forced to look for
opportunities outside the country, Waveform CEO Kirk Simpson
recently told CBC News.
“If we can find the talent somewhere else, we might open a second
location in the U.S. market or in a European market,” he said. “And those
jobs will not go to Canadians.”

17. FEDERAL BUDGET 2017-2018
 Source – Government of Canada
Issues
• Provinces have policies for apprenticeship that will required modification to support more applicants
• Universities would have to increase classroom space and equipment to support more enrollment in areas like
engineering, math, sciences, IT
• STDC already exist in terms of seed financing. The problem is more money for innovation is that many deals
require bare minimum of $5 to $10M so that would be like 60 deals a year
• There are already innovation funds that both companies and universities/college leverage
• Startup take time to move ideas from incubation to market. FYI – Canada had already been moving to
advance manufacturing, expert farming, clean technology, 3-D printing, Information technology.

18. BLOG – SKILLS TRADE
 Source - https://www.canadianmanufacturing.com/manufacturing/economic-advisers-push-ottawa-focus-business-investment-job-
re-skilling-205533/
 “The overarching goal of the influential Advisory Council on Economic Growth is to help Canadian households add an extra $15,000
to their projected annual pre-tax incomes by 2030.
 In its third wave of recommendations, to be released later this week, the council says Canada urgently needs another $15 billion in
annual investments for adult skills development to help workers adjust to the demands of the rapidly changing labour market.
 The group recommends the creation of an RRSP-type lifelong learning fund that enables workers to accumulate tax-free savings,
combined with contributions from employers and government, in order to cover the cost of developing new skills midway through
their working lives.
 Canada already has educational programs - https://www.slideshare.net/paulyoungcga/government-policies-education-skills-
development-canada-november-2017
 Canada needs to revamp its post secondary model to better align skills to jobs of today and tomorrow -
https://www.inc.com/business-insider/21-new-jobs-future-robots-automation.html
 Job Retraining programs -The federal government provides funding for post-secondary education via CST Transfers – All job
training programs should be reviewed to ensure money is achieving the outcomes
https://www.canada.ca/en/services/jobs/training.html
 Primary and secondary school programs need to be revamp to ensure students are pushed to jobs of the future -
https://www.slideshare.net/paulyoungcga/2017-career-management-outlook-on-jobs-canada-and-united-states

19. HAMILTON, ONTARIO – SKILL TRADES
• The body shop owner said it best “We
need skill labor”
• Wynne has failed the skill trades
• The guy also said it was a photo op
• This is how Wynne confronts the
issues in Hamilton by pushing her
Guarantee Income Program -
http://www.cbc.ca/news/canada/hamil
ton/wynne-announcement-hamilton-
1.4082476

20. SKILL GAP RANKING
Source - https://www.weforum.org/agenda/2017/09/these-are-the-ten-best-countries-for-skill-and-education/ or
http://reports.weforum.org/global-human-capital-report-2017/
2015 Ranking 2017 Ranking
2015 Canada was ranked 4th when it
comes to managing of human capital

21. BLOG – CAREER MANAGEMENT
 https://www.cbc.ca/news/canada/toronto/ontario-colleges-university-performance-funding-budget-
1.5094751
 The Ontario govt new approach to funding is the right approach which is tie it to outcome. Too many
schools pushed out graduates with degrees that have little value.
https://www.slideshare.net/paulyoungcga/2019-and-beyond-career-management or
https://educationnewscanada.com/article/education/category/economy/96/761451/colleges-applaud-
ontario-budget-commitment-to-modernize-apprenticeship-training.html

22. BLOG – SOFT
SKILLS
SOURCE -
HTTPS://WWW.THEBALANCECA
REERS.COM/HUMAN-
RESOURCES-SKILLS-LIST-
2063754

23. ONLINE EDUCATION
Source - https://www.tonybates.ca/2018/12/20/summary-of-the-2018-survey-of-online-learning-in-canadian-colleges-and-
universities/
• Business world has been moving to online education/seminars -
https://www.forbes.com/sites/tjmccue/2018/07/31/e-learning-climbing-to-325-billion-by-2025-
uf-canvas-absorb-schoology-moodle/#1976498f3b39 (US Stats, but still relevant as Canada has
been adopting eLearning courses as well.
• Universities and Colleges have been offering eLearning for years -
https://www.tonybates.ca/2018/12/20/summary-of-the-2018-survey-of-online-learning-in-
canadian-colleges-and-universities/ (2/3 of colleges and universities offer eLearning
• Highschool kids need to learn how to do eLearning. eLearning is growing in size as part of
controlling educational costs as well as offering more options to students in terms of courses

24. JOB VACANCIES
Source - https://www150.statcan.gc.ca/n1/daily-quotidien/190618/dq190618b-eng.htm
1. Governments are struggling with their finances
-
https://www.fraserinstitute.org/blogs/governm
ent-debt-a-snapshot-of-each-province
2. Private sector has been slow to higher due to
slowing economic conditions. Goods producing
sector continues to lag other sectors in terms
of hiring -
https://www.slideshare.net/paulyoungcga/2019
-election-gdp-and-economy-canada
3. Canada has a brain drain -
https://www.slideshare.net/paulyoungcga/2019
-election-technology-sector-canada-may-2019
4. There are issues with skills gap -
https://www.slideshare.net/paulyoungcga/2019
-election-careers-skills-training-education-
canada-may-2019
5. People are not entering areas that have strong
career opportunities -
https://www.slideshare.net/paulyoungcga/2019
-and-beyond-career-management

25. GOVERNMENT POLICIES / ISSUES
 Trade and FIPA
 CETA new deal
 Government is working on deals with other growth markets like China, India and Africa.
 Clean Technology
 Access to raw materials (Lithium, Vanadium, Rare Metals)
 Skill set in areas like metallurgy or sciences or math
 Partnership with large companies
 Advance Manufacturing
 Requires competitive tax rates (Payroll Taxes, Corporate Taxes, R&D credits, etc.)
 Access to new markets
 Streamlining of regulations
 Canada lacks the capacity to increase exports
 Ports/rail/roads/Bridges
 Pipelines

26. DIGITAL ECONOMY
Source - https://www.canadianmanufacturing.com/financing/digital-economy-is-real-but-skills-policy-sketchy-on-future-jobs-
236593/
But what comes through in the documents is that although
federal officials have grappled for years with how to limit
the disruption to workers’ lives in the transition to a more
digital economy, just what Canada might do is still a little
fuzzy.
This is also despite the fact the Liberals’ pre-election budget
put aside more than $1.7 billion over five years to create a
tax credit and pay for dedicated time off for workers to take
skills-training programs, starting next year.
The lack of detail isn’t surprising to Sean Hinton, chief
executive of SkyHive, a B.C.-based company that uses
artificial intelligence to identify just what skills workers need
for different jobs – which aren’t always what employers or
employees think they are.
Governments keep thinking in terms of what jobs will be
automated and which ones will be short of workers, which
creates a disconnect in crafting skills-training programs,
Hinton said.
Source -
https://www.marketsandmarkets.com/PressReleases/digita
l-transformation.asp

27. BRAIN DRAIN
 I cannot believe the rhetoric going around about the vibrant IT sector –
 https://www.cbc.ca/news/canada/kitchener-waterloo/prime-minister-trudeau-kitchener-tech-hub-announcement-
1.5099705?fbclid=IwAR1tGzcvzzdu0ywPk9Qv2XS59At4aMGafy91XAq2xZn_FIq_VQeUAtU4LMw
 Brain Drain - https://www.theglobeandmail.com/business/technology/article-canada-facing-brain-drain-as-young-tech-talent-
leaves-for-silicon/ or https://www.slideshare.net/paulyoungcga/2019-election-technology-sector-canada-may-2019
 Canadian Technology community not happy with small business tax reforms - https://globalnews.ca/news/3741638/canadian-
tech-ottawa-trudeau-small-business-taxes/
 There needs to be better alignment of education with jobs of today and tomorrow -
https://www.slideshare.net/paulyoungcga/skills-gap-education-and-training-canada-march-2019
 Canada continues to see a brain drain - https://thelogic.co/news/silicon-valleys-ties-to-canada-are-growing-despite-tensions-
between-ottawa-and-washington-report-says/
 High cost of living in cities like Toronto and Vancouver could see people moving to cheaper locations -
https://www.newinhomes.com/blog/is-toronto-at-risk-of-a-brain-drain-to-montreal


28. TOP EDUCATION CITIES
Source - https://www.industryweek.com/talent/10-most-educated-cities-world/gallery?slide=10 or Source - http://cities-research.jll.com/cities-research/innovation-geographies
1. London, UK
2. Oslo, Norway
3. Tel Aviv, Israel
4. Zurich, Switzerland
5. Helsinki, Finland
6. Edinburgh, Scotland
7. Stockholm, Sweden
8. San Jose, CA, USA
9. Washington, DC, USA
10. Melbourne, Australia
• Trudeau said in past that Canada should be know for its people, right? So, how come major cities like
Vancouver, Calgary, Quebec, Montreal, Edmonton, Halifax, Winnipeg, etc. are not on the list
• Liberals policies have not help support the technological sector or there would be higher ranking of
cities, especially Kitchener-Waterloo and Hamilton - https://www.slideshare.net/paulyoungcga/2019-
election-information-technology-canada-august-2019

29. BLOG – 2019 ELECTION / TECHNOLOGY
@justintrudeau who policies are leading to a brain drain -
https://www.theglobeandmail.com/business/technology/article-canada-facing-brain-drain-as-young-tech-
talent-leaves-for-silicon/
@andrewscheer who believes in reducing personal income taxation -
https://www.youtube.com/watch?v=3QsoHVqLpvc
Who do you trust more to support Information Technology?
Source - https://www.slideshare.net/paulyoungcga/2019-election-information-technology-canada-august-
2019

30. WHAT’S REQUIRED
 More emphasis on trades
 Education needs to push people into math, sciences, trades and IT fields
 All level governments need to stopped finding ways to tax people. The emphasis on government should
be value for money
 All levels of governments and the private sector need to work together on integrated strategy to ensure
people are prepared for jobs of today and tomorrow
 Ontario needs to eliminate the skill trades college
 Immigration should not be based on a quota but tied to economic growth.
 All levels of government need to streamline their regulations.

31. OTHER RESOURCES
 Skills Gap - http://www.thewhig.com/2016/04/05/job-skills-gap-worsening-study-finds
 Slow Economy - http://www.slideshare.net/paulyoungcga/gross-domestic-product-gdp-canada-july-2016
 Wage Growth - http://www.slideshare.net/paulyoungcga/wages-and-employment-canada-july-2016
 Housing Costs - http://www.slideshare.net/paulyoungcga/real-estate-trends-and-analysis-for-canada-
august-2016
 Youth Unemployment - http://debatepost.com/2016/09/14/canada-continues-importing-unskilled-
immigrant-while-unemployment-rate-climbs-to-7/
 Innovation - https://www.slideshare.net/paulyoungcga/federal-government-programs-to-support-
innovation-and-business
 Career Management/Innovation - http://www.slideshare.net/paulyoungcga/2016-employment-outlook-
canada
 Government Spending - http://www.slideshare.net/paulyoungcga/government-policies-healthcare-and-
education-canada