Labour shortages in Canada are, in part, due to the strong demand for workers generated by robust economic growth here and around the world. Real gross domestic product (GDP) is expected to grow globally and in Canada by 3.9% and 2.0%, respectively, in 2018. The expansion should continue into 2020, spurring continued healthy demand for workers.
On the supply side, the growth of Canada’s workforce has fallen since 2000 and, despite a recent bump, the downward trend is expected to continue. The labour shortage is in decline as a result of the large baby-boom generation heading to retirement. Although immigration should ease the situation, growth in Canada’s workforce is expected to stay close to zero in the years ahead.