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2013

Canadian Mining Industry Employment,


Hiring Requirements and Available Talent
10-year Outlook

This project is funded in part by the Government of Canada.


The opinions and interpretations in this publication are those of the author and do not necessarily reflect those
of the Government of Canada.
Copyright 2013 Mining Industry Human Resources Council (MiHR)
All rights reserved. The use of any part of this publication, whether it is reproduced, stored in a retrieval system,
or transmitted in any form or by means (including electronic, mechanical, photographic, photocopying or recording),
without the prior written permission of MiHR is an infringement of copyright law.
For more information, contact:
Mining Industry Human Resources Council
260 Hearst Way, Suite 401
Kanata, Ontario K2L 3H1
Tel: 613-270-9696
Fax: 613-270-9399
Email: research@mihr.ca
Or visit the website at:
www.mininghrforecasts.ca
www.mihr.ca
Published May 2013

Table of Contents
Executive Summary........................................................................................................... 1
National Forecasts of Employment and Hiring Requirements........................................................ 2
Available Talent............................................................................................................................. 3
Understanding the Gaps.............................................................................................................. 4
Mining Labour Market Trends....................................................................................................... 5
Summary..................................................................................................................................... 6

1 Background and Overview.......................................................................................... 7


Updates and Enhancements to MiHRs Outlook and Analysis....................................................... 8
Hiring Requirements Forecast Model Enhancements.............................................................. 8
New This Year: Available Talent Forecasts.............................................................................. 9
Province- and Region-Specific Reports.................................................................................. 10
Industry Definition and Scope....................................................................................................... 11
About the Report.......................................................................................................................... 11

2 Canadian Economic Overview and Mining Industry Trends.................................... 12


Canadian Outlook Private Sector Forecasts............................................................................. 12
Mining Industry Economic Overview and Outlook......................................................................... 13
Value of Mineral Production.................................................................................................... 13
Commodities.......................................................................................................................... 14

3 Canadas Mining Labour Market................................................................................ 17


Canadian Mining Industry Employment......................................................................................... 17
The Aging Mining Workforce......................................................................................................... 19
Retirement............................................................................................................................. 19
New Approaches to Retirement.............................................................................................. 20
Compensation and Wages........................................................................................................... 21
Educational Attainment................................................................................................................. 22
Knowledge Workers............................................................................................................... 23
Diversity....................................................................................................................................... 24
Aboriginal Participation in Mining............................................................................................ 25
Immigrants............................................................................................................................. 26
Women in Mining................................................................................................................... 27
Summary..................................................................................................................................... 28

4 National Hiring Requirements Forecast.................................................................... 29


Net Change in Employment.......................................................................................................... 29
Replacement Requirements.......................................................................................................... 30
Retirements............................................................................................................................ 30
Non-Retirement Separations.................................................................................................. 30
Cumulative Hiring Requirements Forecasts .................................................................................. 31
Forecast by Sector................................................................................................................. 33
Forecast by Occupation......................................................................................................... 35
Mining Labour Market Trends....................................................................................................... 36

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

5 Available Talent............................................................................................................ 38
Forecasting Available Talent.......................................................................................................... 38
Cumulative Total Available Talent.................................................................................................. 39
Available Talent by Occupation............................................................................................... 40
Labour Market Pressures............................................................................................................. 40

6 The Talent Gap............................................................................................................. 42


The Canadian Mining Talent Gap.................................................................................................. 43
Retaining and Developing............................................................................................................. 46
Occupational Analysis............................................................................................................ 47
Knowledge Workers............................................................................................................... 47
Changing Nature of Retirement.............................................................................................. 47
Mid-Career Attrition................................................................................................................ 48
Increasing Minings Share............................................................................................................. 48
Occupational Analysis............................................................................................................ 48
Career Awareness.................................................................................................................. 49
Growing the Talent Pool................................................................................................................ 50
Occupational Analysis............................................................................................................ 50
Management Training for Technical Workers........................................................................... 50
Mining Worker Certification..................................................................................................... 51
Aboriginal Workplace Readiness............................................................................................ 51
Provision of Training............................................................................................................... 51
Workforce Optimization.......................................................................................................... 52
Summary..................................................................................................................................... 52

Appendix A......................................................................................................................... 53
Hiring Requirements Forecast Methodology................................................................................. 53

Appendix B......................................................................................................................... 55
Available Talent Model Inputs and Assumptions...................................................................... 55
Employment by Occupation................................................................................................... 55
Migration................................................................................................................................ 55
School Leavers...................................................................................................................... 56
Retirements............................................................................................................................ 56
Other Entrants........................................................................................................................ 56
Other Leavers........................................................................................................................ 56

Appendix C......................................................................................................................... 57
Industry Definition and Scope....................................................................................................... 57
The Mining Sector, Industry Classifications............................................................................. 57
Occupation Classification....................................................................................................... 58

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A MiHR Report

List of Figures
Figure 1: Product Mix, by Province (Share of Mineral Sales)............................................................ 10
Figure 2: Value of Mineral Production, Canada ($ Billions)............................................................... 14
Figure 3: Historical and Forecasted Price Movements of Coal and Copper .................................... 15
Figure 4: Historical and Forecasted Price of Gold and Silver........................................................... 15
Figure 5: Metals and Minerals Price Index (MMPI) and
Mining Gross Domestic Product (GDP)............................................................................. 16
Figure 6: Sales by Industry Segment............................................................................................... 16
Figure 7: Employment in the Mining Industry and its Prominent Sectors (20002012)..................... 18
Figure 8:  Gross Domestic Product (GDP) and Employment in Canadas Mining Industry
(19872010).................................................................................................................... 18
Figure 9: Age Group Distribution in Canadian Mining, 2011............................................................ 19
Figure 10: Projected Retirement Rates by Educational Attainment in Canadian Mining...................... 20
Figure 11: Average Hourly Wages for Selected Job Titles in Mining,
by Commodity Produced ($CAD/Hour)............................................................................ 21
Figure 12: Proportion of Mining Labour Force by Highest Level of Educational Attainment ............... 22
Figure 13: Change in Graduation Rates and Gross Domestic Product (GDP) in Canada................... 23
Figure 14: Participation of Aboriginal Peoples, Immigrants and Women............................................ 24
Figure 15: Aboriginal Communities and Mining and Exploration Agreements in Canada, 2012.......... 25
Figure 16:  Proportion of Immigrants in Labour Force........................................................................ 26
Figure 17: Proportion of Women in Natural Resource Industries, 2012.............................................. 27
Figure 18: Proportion of Women in Select Mining Occupations......................................................... 28
Figure 19: Cumulative Hiring Requirements Forecasts, by Scenario 20122023........................... 31
Figure 20: Annual Hiring Requirements Forecasts, Baseline Scenario 20132023........................ 32
Figure 21:  Annual Hiring Requirements Forecasts, Exploration
Baseline Scenario 20132023..................................................................................... 33
Figure 22:  Annual Hiring Requirements Forecasts, Mining (Extraction)
Baseline Scenario 20132023..................................................................................... 34
Figure 23:  Annual Hiring Requirements Forecasts, Mineral Processing
Baseline Scenario 20132023..................................................................................... 34
Figure 24:  Annual Hiring Requirements Forecasts, Mining Support Services
Baseline Scenario 20132023..................................................................................... 35
Figure 25: A Model of Available Talent for Mining.............................................................................. 39
Figure 26:  Focus on Retention and Development
Projected Gaps to 2023.............................................................................................. 46
Figure 27:  Increase Minings Share of Talent
Projected Gaps to 2023.............................................................................................. 49
Figure 28:  Grow the Talent Pool
Projected Gaps to 2023.............................................................................................. 51
Figure A1: Employment and Hiring Requirements Forecasting Model................................................ 54

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

iii

List of Tables
Table 1: Cumulative Hiring Requirements Forecasts, by Scenario 2015, 2018, 2023................ 2
Table 2:  Cumulative Hiring Requirements Forecasts, by Industry Sector
Baseline Scenario to 2023........................................................................................... 2
Table 3:  Cumulative Hiring Requirements Forecasts, by Broad Occupational Categories
Baseline Scenario 2015, 2018, 2023........................................................................... 3
Table 4: Cumulative Available Talent, 66 Occupations 2015, 2018, 2023.................................. 3
Table 5: Cumulative Available Talent, by Broad Occupational Categories to 2023..................... 4
Table 6: The Talent Gap and Challenge, Baseline Scenario 2015, 2018, 2023.......................... 4
Table 7: T
 he Gap and Challenge, by Broad Occupational Categories
Baseline Scenario to 2023........................................................................................... 5
Table 8: Average Private-Sector Forecasts.................................................................................... 13
Table 9: Cumulative Hiring Requirements Forecasts, by Scenario to 2023................................ 31
Table 10: Cumulative Hiring Requirements Forecasts, by Scenario 2015, 2018, 2023................ 32
Table 11:  Cumulative Hiring Requirements Forecasts, by Industry Subsector
Baseline Scenario to 2023........................................................................................... 33
Table 12: H
 iring Requirements Forecasts, by Broad Occupational Categories
Baseline Scenario to 2023........................................................................................... 36
Table 13:  Cumulative Available Talent, all Sectors and Mining
66 Occupations 2015, 2018, 2023.............................................................................. 39
Table 14:  Cumulative Available Talent, by Broad Occupational Categories
66 Occupations to 2023.............................................................................................. 40
Table 15: Labour Pool Pressures, by Occupation............................................................................ 41
Table 16: Cumulative Occupational Breakdown of Hiring Needs and Available Talent to 2023..... 43

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A MiHR Report

Executive Summary

The mining industry is a pillar of the Canadian economy yet its future is threatened by
considerable labour market challenges. This 2013 national mining labour market outlook
continues to send this urgent message. Over the next 10 years, minings projected hiring
requirements exceed 145,000 workers representing more than half the current workforce
and human resources challenges continue to cast shadows over the industry. The aging
of the Canadian population and the workforce; loss of industry knowledge and experience;
a lack of young people with the right skills to fill vacant positions; and the need to attract and
develop diverse groups (women, immigrants and Aboriginal peoples) will present the mining
sector with critical challenges in meeting future needs.
Skills and labour shortages are top-of-mind issues for mining employers. A deep
understanding of current labour market trends, valid projections of future needs, and
a clear picture of the potential sources of labour to meet these needs, all provide a
necessary foundation for proactive, coordinated and cooperative industry strategies to
address the looming labour market issues. Building this foundation will ensure that job
seekers find the opportunities and have the right skills to meet industry hiring needs.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

National Forecasts of Employment


and Hiring Requirements
The Canadian mining industry currently employs nearly 235,000 workers in exploration and development, mining and
quarrying, support services for mining, and mineral processing. MiHRs forecasting Model uses economic factors to
predict employment and then calculates replacement requirements due to retirement and other attrition factors. Net
change in employment is combined with replacement requirements each year to produce estimates of total hiring
requirements, under three economic scenarios over a 10-year horizon. Under a baseline scenario, hiring requirements
in the Canadian mining industry are expected to be more than 145,800 by 2023 (over half the current workforce). Even
under a contractionary scenario, the industry will need to hire almost 116,800 workers. In an expansionary scenario,
hiring requirements are projected to reach more than 199,000. This outlook underscores the urgency of the impending
human resources challenge.

Table 1: Cumulative Hiring Requirements Forecasts, by Scenario 2015, 2018, 2023


Cumulative Hiring Requirements
2015

2018

2023

Contractionary

19,770

46,560

116,850

Baseline

34,500

69,800

145,870

Expansionary

52,240

102,100

199,150

Source: Mining Industry Human Resources Council, 2013

Hiring requirements under a baseline scenario were further broken down by industry sector, revealing different levels of
need. While worker-intensive segments of the industry are projected to need large numbers of workers (e.g., mining and
quarrying, and mineral processing), other segments of the sector that employ large numbers of knowledge workers
and professionals (e.g., exploration and support services) will need to replace larger portions of the current workforce,
with long education and training lags to meet demands.

Table 2: C
 umulative Hiring Requirements Forecasts, by Industry Sector
Baseline Scenario to 2023
Replacement Requirements

Employment
in 2013

Net Change in
Employment

Retirement

Non-Retirement

Cumulative Hiring
Requirements

Exploration

51,395

-1,935

13,075

10,550

21,690

Mining and Quarrying


(except oil and gas)

70,690

10,425

20,965

16,860

48,255

Mineral Processing

72,080

17,136

22,555

18,120

57,810

Support Activities
for Mining

40,650

-1,040

10,595

8,545

18,100

Source: Mining Industry Human Resources Council, 2013

A MiHR Report

Cumulative hiring requirements are also reported by broad occupational category under a baseline scenario. This
breakdown illustrates the hiring needs for each occupation with the greatest need for trades and undesignated
occupations, technical occupations, and professional and physical science occupations.

Table 3: C
 umulative Hiring Requirements Forecasts, by Broad Occupational Categories
Baseline Scenario 2015, 2018, 2023

2015

2018

2023

11,125

22,510

47,055

1,920

3,880

8,100

740

1,485

3,110

Support Workers

1,095

2,235

4,665

Technical Occupations

1,725

3,470

7,250

Supervisors, Coordinators and Foremen

2,190

4,415

9,230

All Other Occupations

15,705

31,805

66,460

Total

34,500

69,800

145,870

Trades and Undesignated Occupations


Professional and Physical Science Occupations
Human Resources and Financial Occupations

Source: Mining Industry Human Resources Council, 2013

Available Talent
When facing large hiring requirements, it is natural to wonder where the industry will find all the talent it needs.
New this year is MiHRs Model of Available Talent, which projects all new entrants for each of 66 core mining
occupations from three main sources: school leavers, immigrants and others who are generally people
who switch occupations or re-enter the workforce after temporarily leaving it.
Forecasts of new labour market entrants from these entry points are used to estimate the available talent to meet
future hiring requirements over a 10-year period. The annual supply of workers in all industries was calculated across
the 66occupations of interest. The Canadian mining industrys share of this supply was then estimated based on
historic trends of the flow of workers from these occupations into the mining industry.

Table 4: Cumulative Available Talent, 66 Occupations 2015, 2018, 2023


Cumulative Available Talent
Total entrants for 66 occupations, all industry sectors
Minings share of entrants for 66 occupations (assuming the historical rate of attraction)

2015

2018

2023

386,275

768,800

1,397,560

16,440

33,380

63,350

Source: Mining Industry Human Resources Council, 2013

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

The proportion of the available talent entering mining varies, depending on how specific an occupation is to the mining
industry. For example, the mining industry attracts approximately one per cent of human resources and financial
workers, but attracts 12 per cent of available supervisors, coordinators and foremen, and almost 100 per cent of
underground miners.

Table 5: Cumulative Available Talent, by Broad Occupational Categories to 2023


Minings Share
of Available
Talent (number
of workers)

Total Available
Talent, All
Sectors (number
of workers)

Minings Historic
Proportion of
Available Talent
(per cent)

39,180

586,200

7%

Professional and Physical Science Occupations

7,200

159,360

5%

Human Resources and Financial Occupations

2,630

212,550

1%

Support Workers

3,470

277,020

1%

Technical Occupations

4,490

108,520

4%

Supervisors, Coordinators, and Foremen

6,420

53,890

12%

Trades and Undesignated Occupations

Source: Mining Industry Human Resources Council, 2013

Understanding the Gaps


With forecasts of hiring requirements and available talent for each of the 66 core mining occupations under a baseline
scenario, it is now possible to analyze the gaps between hiring needs and the talent pool that will be available. Overall,
it is predicted that the available talent for the selected 66 occupations will not be sufficient to meet the forecasted hiring
requirements over the short, medium, and long terms under a baseline scenario. The industry is expected to attract only
63,350 new entrants to the labour pool to meet a hiring need of more than 79,410 workers by 2023.

Table 6: The Talent Gap and Challenge, Baseline Scenario 2015, 2018, 2023
The Talent Gap

2015

2018

2023

Hiring Requirements for Selected 66 Occupations

18,795

37,995

79,410

Available Talent Minings Share of Labour Pool

16,440

33,380

63,350

Gap

-2,355

-4,615

-16,060

386,275

768,800

1,395,015

5%

5%

6%

The Challenge
All Entrants Selected Occupations
Needed Share to Meet Hiring Requirements (%)
Source: Mining Industry Human Resources Council, 2013

A MiHR Report

Three underlying trends emerge in gap analysis. For some occupations (e.g., electricians, truck drivers) there is a
large pool of talent but minings ability to attract new talent falls short of projected needs. In other words, mining
must compete with other sectors to attract talent away from other sectors.
For other occupations (e.g., underground miners, supervisors in mining and quarrying) there will not be enough workers
in the projected talent pool to meet the industrys needs. To fill these gaps, the mining industry must coordinate efforts
with education and training, immigration services and even other sectors, to attract new talent and grow the labour pool.
The third trend revealed conditions where there will be just enough available talent to meet the industrys projected
needs for some occupations (e.g., geoscientists). However, this does not mean the industry can ignore these occupation
groups. The gap analysis assumes a status quo where the industry retains the current workforce and continues to
engage its traditional share of the talent pool. Achieving the status quo will become increasingly challenging, as the
Canadian labour market heats up and other sectors compete for the same talent.

Table 7: T
 he Gap and Challenge, by Broad Occupational Categories
Baseline Scenario to 2023
The Need

Available Talent & Gap

The Challenge

Cumulative
Hiring
Requirements

Available
Talent
Minings
Share

Gap

Total
Available
Talent
All Sectors

47,055

39,180

-7,875

586,200

7%

8%

Professional and Physical Sciences

8,100

7,200

-900

159,360

5%

5%

Human Resources and Financial

3,110

2,630

-480

212,550

1%

1%

Support Workers

4,665

3,470

-1,195

277,020

1%

2%

Technical

7,250

4,490

-2,760

108,520

4%

7%

Supervisors, Coordinators, Foreman

9,230

6,420

-2,810

53,890

12%

17%

Trades and Production

Minings
Share

Minings
Required
Share

Source: Mining Industry Human Resources Council, 2013

Mining Labour Market Trends


The forecasts and gap analyses presented in this report indicate that the Canadian mining industry will be affected
by a number of trends and HR issues over the next decade:

The greatest hiring requirements will be in the trades and production occupations. Certification and recognition
of this essential group in the mining workforce is imperative to attract new workers to fill needs and to retain
current workers to ensure the needs are not compounded with unforeseen losses.

The demographics of the aging workforce, a lack of young people entering the industry, and projected retirement
rates all point to a knowledge and experience crisis. Mentorship and development of younger workers will be
essential to filling the knowledge gap.

The industry faces losses of important talent in leadership positions over the forecast horizon and the leadership
pipeline is thin. Succession planning and leadership development initiatives will be needed to address this gap.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

Immigration will be a key source of talent for meeting future needs. Attracting immigrants to remote locations
and foreign-credential recognition improvements will both be part of a mosaic of solutions.

Young people are not attracted to mining. To meet future needs, increased efforts in career awareness and youth
outreach are needed.

Women are broadly under-represented in Canadian mining at 16 per cent of the workforce. Mining falls short of
other resource sectors (e.g., oil and gas, 30 per cent; and utilities, 24 per cent) in employing women. Further, women
are employed mainly in administrative and office roles, with very few employed in trades and production roles.

The mining industry is a major employer of Aboriginal peoples but they are mainly found in entry-level and support
roles. Industry and education partnerships to provide advanced education opportunities for local Aboriginal peoples
will help ensure sound socio-economic development and address industry gaps in knowledge worker roles.

Education and training partnerships are important, particularly given the demonstrated gaps and the projected
needs for highly skilled and highly educated workers; however, initiatives take time to implement and strategy
development requires immediate action.

Summary
The Canadian labour market as a whole faces significant challenges over the next 20 years. This is primarily due to an
aging and shrinking population and the pending retirement wave of Canadas baby boomers. These demographics will
put significant pressures on the Canadian economy and living standards over the next few decades.
The labour market conditions in the mining industry are particularly dire. Unique industry-specific characteristics layered
on top of Canadian labour market trends extensively compound the issues. The mining workforce is older and retirement
ages are younger than in the rest of Canadas labour force. In fact, current and looming retirements create the bulk of
projected hiring requirements for the industry over the next 10 years. There is also little inflow of younger workers to
offset the exits of older workers. On top of this, key labour market groups, such as immigrants and women, are severely
under-represented in the mining workforce with participation rates at a fraction of those observed in other sectors.
The labour market indicators point to a crisis; the industry needs people but this is only part of the story. The industry
must address the burning question that immediately follows where are these future workers going to come from?
Immigrants and Aboriginal peoples are essential to addressing minings HR needs, but challenges exist with both of
these talent groups. On one hand, participation rates of immigrants are considerably lower than for the rest of the labour
market. Employment in mining is highly sensitive to economic uncertainty, and diverse populations particularly
immigrants, women and youth are easily deterred from pursuing career options in the sector. On the other hand, the
mining industry is the single-largest employer of Aboriginal peoples, with participation rates that well outperform the
rest of the Canadian labour market. Aboriginal people represent the greatest potential as a source of future labour supply
for the industry.
Solutions to the pending crisis will require coordinated and cooperative efforts among all stakeholders. The responsibility to
address hiring requirements and talent gaps does not rest with industry employers alone, but also with industry associations,
community stakeholders, education and training institutions, and governments. Ensuring that all stakeholders work together
to attract and retain talent is critical not only to the mining industry, but to the Canadian economy as a whole.

A MiHR Report

Background and Overview

No matter what happens in the economy, skills and labour shortages will remain a significant
challenge for the Canadian mining industry over the next decade. The 2013 forecasts
presented in this report predict a hiring requirement of more than 145,000 workers by 2023,
under a conservative baseline scenario a number that represents nearly two-thirds of the
current workforce. This outlook report also provides a forecast of available talent, as well as
analysis of the gaps in meeting the forecast needs for each occupation. Projections indicate
that for core mining occupations, the industry will attract slightly more than 63,000 workers
over the next 10 years, to meet a requirement of almost 80,000.
The Mining Industry Human Resources Councils (MiHRs) 2013 labour market forecasts show
critical shortages in many mining occupations through to 2023. Without a proactive mitigation
strategy, underground production and development occupations, and key supervisory and
management positions will face gaps between their forecasted needs and the available talent
pool. Even for occupations where the pools of available talent will be comfortably sized as
is the case with many professional sciences occupations the industry will not meet its
needs unless it attracts more people away from careers in other sectors.
Efforts to retain and develop the current workforce remain essential. Skills and labour
shortages are not unique to mining and pose challenges for the Canadian labour market
as a whole. In the decade ahead, competition will be fierce for talent with particular skills
and experience, as all industry sectors strive to address labour shortages. This competition

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

will impact worker mobility across sectors. Workers may opt to leave mining to find employment in other sectors for
perceived higher wages, better conditions, less remote living or shorter commutes causing a significant loss of
valuable industry knowledge and experience. The projected skills gaps and labour shortages presented in this report
could be worsened by any systematic erosion of the current workforce.
Over the next decade, coordinated strategies among government, industry and education will be essential in meeting
the industrys needs. Many young Canadians entering the labour market do not have the needed skills to fill the
available jobs and struggle to find work after leaving education programs. At present, the mining industry cooperates
and collaborates with universities and colleges to ensure appropriate education and training; however, the numbers
of graduates with the requisite skill sets continue to be below the industrys projected hiring requirements.

Updates and Enhancements to MiHRs Outlook and Analysis


MiHRs forecasting and analysis includes several updates and enhancements from previous years forecasts. MiHR has
improved and developed the input variables and equations used to predict industry employment to allow for greater
precision. Retirement rates have been updated to include factors related to level of education and likelihood of continued
participation in the labour market. The outlook also now includes a forecast of labour supply that predicts the available
talent for each occupation. And finally, a gap analysis of hiring requirements and available talent for each occupation
reveals trends and patterns that provide new insight into strategies to effectively address the gaps.

Hiring Requirements Forecast Model Enhancements


MiHR uses an econometric model to forecast employment and hiring requirements over a 10-year horizon for
threeeconomic scenarios baseline, contractionary and expansionary. The econometric model includes threemain
elements: net change in employment, retirement replacements, and replacements due to all other separations. The
forecast numbers for each of these elements are then added together to provide the overall hiring requirements. For
the baseline scenario, hiring requirements are presented for each industry sub-sector (exploration and advanced
development, extraction, processing, and support services for exploration and mining) and also for each of 66 core
mining occupations.
Employment and hiring requirements forecasts reflect direct employment in the Canadian exploration and mining industry.
Incidental or secondary employment that results as a consequence of industry activity is outside the scope of this report.

Net Change in Employment


The forecasts predict future employment on the basis of the historical relationship between employment and economic
conditions in Canadian mining. This relationship is modelled for each province, based on its unique mix of mining activities
and commodities; and a national estimate is created. Several economic indicator variables are tested, including minings
Gross Domestic Product (GDP), commodity prices, productivity and output sales. The main predictors of employment in
Canadian mining are GDP and productivity. Regression analysis of historic trends creates a model that uses consensus
forecasts for the various indicators to predict future employment levels in the mining industry.
This modelling exercise requires extensive data inputs that MiHR collects from a variety of sources. Data on economic
indicators comes mainly from Statistics Canada, Natural Resources Canada, other provincial and territorial sources,
international indices (e.g., World Bank commodity-price forecasts), and private sector indices and forecasts.
Demographic inputs are also collected from Statistics Canada and other public sources, and from MiHRs industry

A MiHR Report

survey of Canadian exploration and mining employers. This survey is conducted regularly and provides information
on current employment and the demographics of the workforce; future intentions for expansion and development;
and the HR challenges or issues employers face.
Model outputs are validated and verified, using independent findings from MiHRs survey and extensive industry
consultation. MiHR conducted labour market surveys, interviews, and focus group sessions across Canada in 2012.
This research with over 160 industry employers in eight different regions informed the forecast analysis and validation.
Total employment is predicted for each year of the forecast. Net change in employment from year to year is then
calculated and used as the input for each year, along with replacement requirements, to calculate a hiring requirement.

Retirement Rates
MiHR projections of retirements estimate the probability that an individual will retire, given his or her unique demographic
characteristics. Retirement behaviour depends on many factors that are difficult to measure and predict (e.g., family
circumstances, financial stability, health and wellbeing, societal pressures, career enjoyment and engagement). MiHRs
Model quantifies and approximates retirement based on labour market participation of individuals of different ages and
educational attainment levels.

Other Separations
People leaving the mining labour force for reasons other than retirement are captured as other separations in MiHRs
hiring requirements forecasts. Other separations include long-term leaves, movement to other sectors, emigration and
mortality. Data analysis and research estimate the non-retirement-related separation rate to be approximately two per
cent for the Canadian mining industry. This rate may be higher or lower in various regions across the country, depending
on factors such as labour market mobility and competition from other regional sectors. The national separation rate
represents the total activity for all of Canada.

New This Year: Available Talent Forecasts


New in this years outlook is a model of labour supply for Canadian exploration and mining that projects the amount
of new available talent over the forecast horizon. MiHRs Available Talent Model projects, for each occupation, the pool of
labour the industry is expected to draw from, and then predicts the proportion that the industry will successfully attract
each year. The share of talent predicted to flow into mining reflects the industrys traditional capacity to attract and
retain talent for a particular occupation.
Forecasts of available talent were prepared for 66 core mining occupations that make up nearly two-thirds of the industrys
total employment. The forecast begins with the previous years labour pool and considers the flows of workers into and out
of the labour pool during the year. The primary sources of new entrants to the mining labour market are individuals leaving
school; individuals migrating to Canada to work; and those workers that are changing occupations or re-entering the labour
market after an absence. The cumulative total of new entrants into the mining industry over the forecast period represents
the available talent for each occupation.
Estimates of hiring requirements under a baseline scenario are then compared to the number of new workers available
for each occupation, to provide an understanding of the gaps and trends. Three broad categories of gaps were uncovered.
The first type of gap is a case where the need is large and the total available talent is small, so there will not be enough
individuals in the total labour pool to meet the projected hiring requirements. To address this gap category, the industry
must attract all new talent and increase the numbers of new entrants.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

In the second case, the need is large and the talent pool is larger; yet, the number of entrants the industry traditionally
attracts will not meet its needs. In this case, there will be a healthy-sized labour pool, so to address the gaps, the
industry must compete against other sectors and attract more than its traditional share of talent.
The third category of gap involves conditions where the need and the available talent the industry traditionally attracts
are fairly well-balanced. In this case, the industry must strive to retain and make the best use of the workforce it already
engages. However, this does not mean that the industry can ignore these occupations. As the competition for talent
heats up among all industries, mining will have to work harder to hold onto the talent it already attracts and engages.

Province- and Region-specific Reports


This report provides a national outlook and highlights the trends and issues the Canadian mining industry faces as a
whole. It aims to provide insight on a national, coordinated, cooperative strategy to address the hiring requirements
gaps. Forecasts for the baseline scenario are also broken down for industry sub-sector and occupation-level analysis.
While national-level reporting and analysis is informative and important for over-arching issues that the industry shares
as a whole, each province and region has unique context and issues for example, a different product mix as
illustrated in Figure 1). In previous outlook reports, data limitations for Model inputs limited the capacity for provincial
and regional analysis. This resulted in groupings of provinces that forced aggregations (e.g., the three territories into
oneNorthern forecast and the three Prairie Provinces into one Prairies forecast), which in turn resulted in dilution
of local contexts in analysis and led to broad-level recommendations.

Figure 1: Product Mix, by Province (Share of Mineral Sales)*


100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
NL

NS

NB

QC

Other metals
Other non-metallic minerals
Diamond

ON

MB

SK

AB

Gold and silver


Stone, sand, gravel and ceramic
Coal

BC

YK

NWT

Nu

Potash
Copper, nickel, lead and zinc

Source: Mining Industry Human Resources Council, 2013; The Conference Board of Canada, 2012
*Note: in some cases a known commodity for a province is not represented due to data limitations and privacy suppressions (e.g., Alberta, coal; Northwest Territories,
tungsten). Please refer to the Mining Association of Canadas Facts and Figures 2012 for a list of operating mine sites and commodities in each province and territory.

10

A MiHR Report

MiHR now provides customized forecasting and analysis for provincial and regional stakeholders in separate reports.
These analyses and reports are produced on demand and respond to the unique context of the region in question.
Provincial and regional partners, along with other stakeholders, commission custom analysis. Models and forecasts are
specified to the unique mix of commodities (see Figure 1), operations, economic and labour market conditions, location,
and human resources (HR) challenges in each region. Gap analysis and discussion then pinpoint the solution strategies
that make sense, given that regions dynamics.
MiHR has recently conducted detailed analysis in Saskatchewan (2011), British Columbia (2012), six local districts in
northern Ontario (2012) and Yukon (2013). These tailored reports discuss the anticipated needs, supply and gaps for
each province and region. While a national strategy is necessary and many umbrella issues exist, these reports highlight
the fact that local interpretation of that national strategy is essential. To learn more about contributing to this important
work, or to discuss your own labour market research needs, please email research@mihr.ca or visit www.mihr.ca.

Industry Definition and Scope


MiHR defines the mining industry as including all phases of the mining cycle: exploration, development, extraction,
processing and reclamation. The MiHR forecasts presented in this report include exploration and development;
mining and quarrying; support services and contractors (not including oil and gas); iron and steel mills and ferro-alloy
manufacturing; and alumina and aluminum and other non-ferrous metal production and processing. Statistics Canadas
North American Industry Classification Codes (NAICS) are used to define the mining industry. There is no single NAICS
code or set of codes that directly correspond to all phases of the mining cycle. Details on the NAICS codes included in
MiHR forecasts are found in Appendix C.

About the Report


This report is broken into three main sections. The first section consists of an overview of economic conditions and
trends in the mining labour market, followed by a section outlining the hiring requirements and available talent forecasts
for the mining industry. The final section of the report provides a national-level gap analysis of the forecasted hiring
requirements and available talent, along with discussion of trends in the observed gaps and possible options for
attracting more workers to meet future industry needs.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

11

Canadian Economic Overview


and Mining Industry Trends

The Canadian economy was resilient and responsive in 2012, and despite a tenuous global
recovery, Canada experienced sustained growth in the domestic economy. Looking forward,
Canadas economic outlook remains positive, amid continued global economic uncertainty.
Despite a cautious mood among investors and the business community, Canadas economic
growth is expected to be modest in the near term, with moderately increasing demand for
its natural resources and production.
However, the global economic environment remains volatile and uncertain. The ongoing
European crisis and its impact on growing economies, including China, remains a drag
on world economies. In addition, the political disruption in developing nations continues
to create global instability and threatens economic growth.

Canadian Outlook Private Sector Forecasts


Canada regularly surveys private-sector economists on their outlooks for the Canadian
economy. An outlook that combines the consensus view of 14 private sector forecasts
(see Table 8) predicts Canadas real GDP growth to be 2.2 per cent in the first quarter of
2012; 2.1 per cent over the remainder of 2012; and 2.0 per cent in 2013. The expected
real GDP growth rates for 2014, 2015 and 2016 are forecast at 2.5 per cent; 2.5 per cent;
and 2.3 per cent, respectively.

12

A MiHR Report

Private sector firms surveyed for this consensus forecast included Bank of America Merrill Lynch, BMO Capital Markets,
Caisse de Dpt et Placement du Qubec, CIBC World Markets, The Conference Board of Canada, Desjardins, Deutsche
Bank of Canada, Laurentian Bank Securities, National Bank Financial Group, Royal Bank of Canada, Scotiabank, TD Bank
Financial Group, UBS Securities Canada, and the University of Toronto (Policy and Economic Analysis Program).

Table 8: Average Private-Sector Forecasts*


2011(A)

2012

2013

2014

2015

2016

20122016

Real GDP growth

2.5

2.1

2.0

2.5

2.5

2.3

2.3

3 month T-Bills

0.9

1.0

1.2

1.8

2.6

3.4

2.0

Unemployment

7.4

7.3

7.2

6.8

6.6

6.5

6.9

CPI

2.9

1.7

2.0

2.0

2.0

2.0

1.9

US real GDP growth

1.7

2.2

2.0

2.9

3.1

3.0

2.6

A Actual
*October 2012 forecasts
Source: Mining Industry Human Resources Council, 2013; Finance Canada, 2012

Mining Industry Economic Overview and Outlook


The sustained growth in the Canadian economy is mirrored in the mining sector. The combined GDP of Canadian
metal mines, non-metal mines and coal mines reached $8.3 billion in 2010, from the 2009 low of $7.2 billion;
the GDP of the sector is expected to reach its pre-recession levels of over $9.0 billion in 2011 (estimated). The
overall total GDP of the mining industry, excluding oil and gas extraction, but including the three other stages of
the downstream manufacturing processes that cover primary metal manufacturing such as smelting, refining, rolling,
extruding, alloying, casting; and non-metallic mineral product manufacturing such as abrasives, lime, cement, glass,
ceramics; and fabricated metal product manufacturing stands to multiply the mining industry GDP four-fold, to close
to $40 billion in 2011 (estimated). In relative terms, this GDP figure is equivalent to almost 10 times that of the Forestry
and Logging sector, two times that of the Agricultural sector, and 1.5 times the Electric Power, Gas and Water Utilities
sectors combined.

Value of Mineral Production


The value of mineral production in Canada continues to lead the world with a total value of $50.3 billion in 2011 (see Figure2).
Historically, the top three mineral-producing provinces in Canada have been Ontario, Quebec and British Columbia. More
recently, however, Saskatchewan is among the top-producing provinces, due to strong developments in potash.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

13

Figure 2: Value of Mineral Production, Canada ($ Billions)


10
9
8
7
6
5
4
3
2
1

ium
an
Ur

c
Zin

Sa

nd

an

on

ra
dg

Ce

St

ve

t
en
m

ds
Di

am

on

el
Ni

ck

er
pp
Co

ld
Go

re
no
Iro

al
Co

Po
ta

sh

Sources: Mining Industry Human Resources Council, 2013; Statistics Canada, 2011; Natural Resources Canada, 2011

Commodities
The largest impact of the continued global economic turbulence will be realized in Canadian mining through lower
commodity prices. The slower pace of global economic growth and reduced demand, together with financial market
uncertainties, have been reflected in commodity markets through lower and weaker commodity prices. Since 2011,
prices for base metals and agricultural products have fallen, while natural gas prices continue to remain below
previously anticipated levels. These trends represent a slight correction in prices and not a long-term downward trend.
Prices are expected to recover by 2014 and increase steadily thereafter, as shown in the World Bank forecasts for base
metals (see Figure 3) and for precious metals (see Figure 4).
High demand for Canadas natural resources from major developing countries such as Brazil, Russia, India and China
is expected to continue over the next few decades, as large populations of new middle-class consumers emerge and
try to catch up to western nations. Therefore, the forecast for future commodity prices during the next decade is for a
sustained and steady increase. In the global competition for natural resources, the Canadian mining industry is wellpositioned to exploit these competitive developments and to ensure a fair price premium for Canadas non-renewable
natural resources.
The globalization of international trade and the composition of demand for Canadas mineral resources have caused
a closer correlation between the Minerals and Metals Price Index and GDP in the mineral extraction sector. Figure 5
demonstrates this relationship, which strengthened with the 2009 recovery.

14

A MiHR Report

Figure 3: Historical and Forecasted Price Movements of Coal and Copper


8,000

120

7,000

100
80

5,000
4,000

60

3,000

40

$US per metric ton

$US per metric ton

6,000

2,000
20

1,000

Copper (left axis)

2022F

2020F

2018F

2016F

2014F

2012

2010

2008

2006

2004

2002

2000

1998

1996

1994

1992

0
1990

Coal (right axis)

Source: Mining Industry Human Resources Council, 2013; World Bank, Development Prospects Group, 2012

Figure 4: Historical and Forecasted Price of Gold and Silver


1,600

3,500

1,400

3,000
2,500

1,000

2,000

800
1,500

600

1,000

400

500

200

Gold (left axis)

Silver (right axis)

Source: Mining Industry Human Resources Council, 2013; World Bank, Development Prospects Group, 2012

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

15

2022F

2020F

2018F

2016F

2014F

2012

2010

2008

2006

2004

2002

2000

1998

1996

1994

1992

0
1990

$US per troy oz.

$US per troy oz.

1,200

Figure 5: Metals and Minerals Price Index (MMPI) and Mining Gross Domestic Product (GDP)
1,000

10,000

900

9,000

800

8,000

700

7,000

600

6,000

500

5,000

400

4,000

300

3,000

200

2,000

100

1,000

2005

2006

2007

2008

2009

2010

2011

MMPI

Mining GDP

Source: Mining Industry Human Resources Council, 2013; Statistics Canada, 2011; Bank of Canada, 2012

Despite this cyclicality, demand for Canadian metals and minerals is expected to grow in the long term. This is primarily due
to the gradual but stable economic growth momentum in 2012 in the United States, the largest single market for Canadian
metals. Close to 60 per cent of all metals exports and almost 55 per cent of total Canadian mining exports for aluminum,
copper, iron and steel, silver, zinc, nitrogen, potash and potassium compounds go to the U.S. In addition, the relatively
high economic growth rates in China and in the two developing countries of India and Brazil, along with demand for
Canadian exports of nickel, coal, and potash and potassium compounds bode well for additional incremental demand for
Canadian metals and minerals in the near term. Canadian mining sales by industry segment are illustrated in Figure 6.

Figure 6: Sales by Industry Segment

Geoscience, engineering, and related services: 6%


Iron, steel and aluminum manufacturing: 34%
Non-metallic mineral mining: 14%
Metal ore mining: 42%
Coal mining: 4%

Source: Mining Industry Human Resources Council, 2013; The Conference Board of Canada, 2012

Controlling for price effects, increases in real mining GDP have expanded at an historical average rate of 2.3 per cent
per year. Over the past 25 years, the mining industry contribution to Canadas GDP has remained relatively stable at
an average of 2 per cent over the entire 19842008 period. Today, mining accounts for 3.5 per cent of Canadas GDP.

16

A MiHR Report

Canadas Mining Labour Market

In the coming years, the shape and composition of the labour force may be transformed,
as older workers begin to exit the workplace and the skill sets of employees continue
to expand. This section profiles Canadas mining labour force and highlights the key
demographic trends and labour market challenges facing the industry.

Canadian Mining Industry Employment


MiHR estimates that the Canadian mining industry directly employed more than
235,000people in 2012. About 71,000(30 per cent) of these workers were employed
in mineral extraction; about 50,000 (22 per cent) were employed in mineral exploration;
about 41,000 (17 per cent) were employed in mining support and supply services; and
about 72,000(31 per cent) were employed in primary metal manufacturing.
Figure 7 illustrates employment in Canadian mining and its subsectors. Changes in the
composition of mining activities over time have affected employment in the subsectors.
Notably, employment in exploration and mining support services has increased relative
to other subsectors, while processing employment has declined in recent years.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

17

Figure 7: Employment in the Mining Industry and its Prominent Sectors (20002012)
250,000
200,000
150,000
100,000
50,000
0
2000

2001

2002

2003

2004

2005

Exploration
Mineral processing

2006

2007

2008

2009

2010

2011

2012

Total mining industry

Support services for mining


Mining (extraction)

Source: Mining Industry Human Resources Council, 2013; Statistics Canada

Mining employment is characteristically volatile. Research by MiHR demonstrates that the industrys employment level
is especially responsive to fluctuations in economic activity. As illustrated in Figure 8, over the last two decades,
employment growth in mining has been strongly correlated with the industrys GDP growth. The connection between
industry employment and economic activity is a key element in MiHRs employment forecasts.

Figure 8: G
 ross Domestic Product (GDP) and Employment in Canadas Mining Industry
(19872010)
15
10
5
0
-5
-10
-15
-20
-25
-30
1987

1989

1991

1993

1995

1997

1999

% Chg Emp
Source: Mining Industry Human Resources Council, 2013; Statistics Canada

18

A MiHR Report

2001

2003

% Chg GDP

2005

2007

2009

The Aging Mining Workforce


As the existing labour force continues to age, fewer younger people are entering the mining sector, leaving a void that
could potentially limit the industrys competitiveness in the near future. An aging population and low fertility rates are
contributing factors; however, the mining industry still captures fewer younger workers compared to the overall labour
force in Canada. Figure 9 shows the age distribution of the mining labour force relative to the overall labour force in
Canada. The mining industry has a greater proportion in the older age groups and a smaller proportion in the younger
age groups.

Figure 9: Age Group Distribution in Canadian Mining, 2011


30%
Mining

Canadian labour force

25%
20%
15%
10%
5%
0%
15 to 24 years

25 to 34 years

35 to 44 years

45 to 54 years

55 to 64 years

Source: Mining Industry Human Resources Council, 2013; Statistics Canada

Retirement
A relatively older workforce means that retirements are anticipated to increase in mining over the next decade. MiHRs
hiring requirements forecasts commonly show retirements to be the most significant contributor to the industrys
future hiring needs. Mining employers indicated in recent MiHR surveys that roughly 20 per cent of their workforce
was eligible to retire in the next three to five years and 6 per cent of workers were currently eligible to retire.
MiHR projects that the retirement rate in Canadas mining industry will rise from about 2.2 per cent in 2013 to
2.8per cent in 2023 an increase of roughly 27 per cent. Figure 10 illustrates projected retirement rates according
to workers levels of educational attainment. Over the next decade, retirements are expected to accelerate in particular
for employees holding a university degree, an apprenticeship certificate or a college certificate. To the extent that
retirees hold extensive technical training, certain mining occupations will be challenged more than others to find
replacements with the critical level of expertise.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

19

Figure 10: Projected Retirement Rates by Educational Attainment in Canadian Mining


4.0%
2023

2013

3.5%
3.0%
2.5%
2.0%
1.5%
1.0%
0.5%

all
er
Ov

dip

N
lom o c
a o erti
r d fica
Se
eg te,
co
re
nd
e
ar
ys
ch
oo
ld
ipl
om
a
Ap
p
tra rent
de ice
ce shi
rti p a
fic n
Co
at d
no lle
es
n- ge
un , C
ive EG
rsi EP
ty , o
ce r o
rti th
fic er
at
Un
e
be ive
low rsi
t
Ba y ce
ch rti
elo fic
r l ate
Un
ev ,
el
ive
ab rs
ov ity
e B de
ac gre
he e
lor at
lev or
el

0.0%

Source: Mining Industry Human Resources Council, 2013; Statistics Canada

New Approaches to Retirement


When it comes to retirement, older generations of Canadians are demanding more flexibility than ever; in particular,
more workers are delaying retirement. Recent Statistics Canada research shows that the number of years that a person
is expected to work before retiring has lengthened since the mid-1990s. Many factors determine how long an individual
chooses to remain in the workforce. For example, an increase in life expectancy can affect the years individuals spend
in both their retirement and working lives.
As older workers choose to stay in the labour force longer, the impact on the younger generation of workers can
be significant. For instance, an over-emphasis on retaining the experienced baby-boom generation is potentially
detrimental to Canadas mining industry, as it may limit younger workers opportunities to gain experience. On the
other hand, delayed retirements can also benefit younger employees because older workers are available to help train
and develop less-experienced colleagues coming up through the ranks. Encouraging retired workers to take on this
role could be an excellent way for employers to ensure extended knowledge transfer and mentoring of younger workers.
It also creates a niche of employment opportunities for retired or semi-retired workers.

20

A MiHR Report

Compensation and Wages


Compensation plays an important role in the labour market to the extent that significant wage differences exist among
industry sectors and occupations. CostMines 2011 Survey of Canadian Mine Salaries, Wages and Benefits provides
statistics on the average hourly wages for relevant occupations in mining, broken down by commodity groups. As
Figure11 shows, occupations that produce diamond and industrial minerals, and fossil fuels are generally among the
highest paid, while many comparable occupations in metal production have a relatively lower wage rate. Fossil fuel
producers primarily in occupations in the oil sands receive higher wages on a relatively consistent basis. On the
other hand, the wages of diamond and industrial mineral-producers tend to vary between different occupations; some
of these occupations (e.g., heavy equipment operators) are frequently the lowest-paid among the commodity categories.

Figure 11: A
 verage Hourly Wages for Selected Job Titles in Mining,
by Commodity Produced ($CAD/Hour)
$40
Fossil fuels

Diamond/Industrial mineral

Metal

$35

$30

$25

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

21

an
ctr

ici

ic

lin
ag
Dr

qu
ye
av
He

Source: Mining Industry Human Resources Council, 2013; CostMine Salary Survey, 2011

Ele

an
ch
Me

pe
lo
ve

e/
Sh
o

or
er
at
op

en
t

ra

rfa
Su

ce
rfa
Su
ipm

tor

ce

r
dr

rill
dd
un

ro
de
rg
Un

ro
de
rg
Un

ille

er

r
ive
dr
ck

Tru

ra
pe
to
en

un

de

qu

ipm

ipm

ll e
qu
Mi

tor

tor
ra
pe
to

en

nd
ou
rg
r

Un

de

Su

rfa

ce

wo

wo

rk

rk

er

er

$20

Educational Attainment
As mining activities become increasingly sophisticated and complex, there is pressure on the mining labour force to
adapt skills to the needs of the industry. At the same time, the mining industry draws from a pool of educated individuals
who may also align their skills with the needs of competing industries. As Figure 12 shows, the educational profile in
mining differs from the overall labour force in a couple of key areas. The mining labour force has a greater proportion
of workers with an apprenticeship or trades certificate. Conversely, the percentage of mining workers with a universitylevel education is lower than in the overall labour force.

Figure 12: Proportion of Mining Labour Force by Highest Level of Educational Attainment
30%
Mining

Canadian labour force

25%
20%
15%
10%
5%

dip

N
lom o c
a o erti
r d fica
eg te,
re
e
Hi
g
ce h
rti sc
fic ho
at ol
eo g
r e rad
qu ua
iva tio
len n
Ap
t
pr
e
n
ce tic
rti es
Co
fic h
at ip
lle
e o or
ge
,C
r d tra
EG
ipl de
om s
EP
,o
a
ro
ce the
rti r n
fic on
at -u
eo n
Un
r d ive
ive
ipl rsit
om y
rsi
t
a
be y ce
low rti
fi
th cat
Un
e
ive
Ba e or
rsi
ch di
ty
elo plo
ce
r l ma
r
at tifi
ev
or ca
el
ab te,
ov di
e t plo
he m
Ba a o
ch r d
elo eg
r l ree
ev
el

0%

Source: Mining Industry Human Resources Council, 2013; Statistics Canada

While these patterns are similar to those presented in MiHRs report, Canadian Mining Industry Employment and Hiring
Forecasts, 2010, the current mining labour force includes more university graduates than in previous years. This is
mainly due to MiHRs newly expanded definition of the industry; it now includes mineral exploration activities in which
comparatively more jobs require university-level education rather than any systematic change in educational attainment.

22

A MiHR Report

Keeping up with minings shifting economic activity presents a significant challenge for education and training providers.
As it can take many years to administer new programs and to fully prepare people for the workplace, the education
systems capacity to respond frequently falls behind industrys rapidly changing needs. Figure 13 compares changes
in GDP with graduation rates for mining-related programs of study over the last decade. Naturally occurring economic
shifts have created a coordination problem between industry needs and the numbers of students supplied by different
levels of education programs; these programs arent always nimble enough to meet the needs of a sector with volatile
employment cycles. Moving forward, it will become increasingly important for industry and education to better
coordinate their efforts and to ensure they are closely aligned.

Figure 13: C
 hange in Graduation Rates and Gross Domestic Product (GDP) in Canada
15

50

10

40

30
20

10

-5

-10

-10

-15

-20

-20

-30

-25

-40

-30

-50
2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

% Chg GDP

% Chg post-secondary general, career, technical


or professional education or equivalent

% Chg post-secondary education


or equivalent-college

% Chg post-secondary education or


equivalent-university

Source: Mining Industry Human Resources Council, 2013; Statistics Canada

Knowledge Workers
In July 2011, MiHR, in partnership with the Canada Mining Innovation Council (CMIC) released a comprehensive study
on knowledge workers in Canadas exploration and mining industry Making the Grade: Human Resources Challenges
and Opportunities for Knowledge Workers in Canadian Mining. This report profiles this segment of the workforce, and
presents labour market information and discussion of the HR challenges and issues the industry will face in engaging
its knowledge workers.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

23

Knowledge workers are a valuable segment of the industry. They occupy pivotal roles, including leadership positions;
drive innovation; educate the future workforce; lead research and development; and ensure the industrys long-term
competitiveness. However, shifts in demographic trends indicate that many of these employees will leave the workforce
by 2020 and demand for knowledge workers will be high in all sectors. Knowledge workers, who are historically a highly
mobile segment of the workforce, will become increasingly mobile as their portable skills become highly demanded
across a number of industries.
As global skills shortages and skills competition increase, it will be more difficult to recruit and retain many knowledge
workers. As a result, organizations will have to work harder to attract, engage and keep these key people; for many,
this will require them to adapt their talent-management practices and programs to meet the needs of their knowledge
workforce. MiHRs recommended strategies include:

Reach broader audiences through outreach and recruitment initiatives.

Ensure the concerns of female knowledge workers are understood and addressed.

Explore alternate forms of career development for mid-career technical professionals.

Ensure stable and continued investment in research and development activities.

Nurture collaboration and cooperation among academic institutions, employers, government and industry associations.

Expand work opportunities and experiential learning for secondary and post-secondary students.

Diversity
The future strength of Canadas mining labour force will depend greatly on the participation of diverse groups, such
as Aboriginal peoples, women and immigrants. Compared with other industries, these groups have historically
been under-represented or under-utilized in the mining industry. As Figure 14 indicates, the participation rates of
women (16per cent) and immigrants (12 per cent) in the mining labour force are lower than in the total labour
force and other resource sectors. Aboriginal peoples, however, participate at a higher rate in mining (5 per cent)
than in the rest of the labour force and in other resource sectors.

Figure 14: Participation of Aboriginal Peoples, Immigrants and Women


60
Canadian labour force

Mining

Other resource sectors

50
40
30
20
10
0
Aboriginal peoples

Immigrants

Source: Mining Industry Human Resources Council, 2013; Statistics Canada, 2012

24

A MiHR Report

Women

Aboriginal Participation in Mining


A continuation of strong Aboriginal participation will be crucial to Canadas mining industry. Given that many
Aboriginal communities are in close proximity to mining operations and exploration sites, they constitute a
significant portion of the local workforce. Aboriginal peoples are also the youngest and fastest-growing segment
of the Canadian labour market. Figure15 illustrates the correlation between mining and exploration activity,
and the location of Aboriginal communities in 2011.
Industry employers report Aboriginal participation mainly in entry-level positions. An important opportunity exists
for industry and education partnerships, such as MiHRs Mining Essentials Program, to address education gaps
through training and development in Aboriginal communities.

Figure 15: Aboriginal Communities and Mining and Exploration Agreements in Canada, 2012*
10. Hopes Advance Bay - LI - Makivik Corp.
(on behalf of the Inuit of Nunavik), Nunavik
Landholding Corp. of Aupaluk
11. Renard - IBA - Grand Council of the Crees
(Eeyou Istchee) / Cree Regional Authority,
Cree Nation of Mistissini
12. Nunavik Nickel - IBA - Nunaturlik
Landholding Corp. of Kangiqsujuaq,
Qaqqalik Landholding Corp. of Salluit, the
Northern Village of Puvirnituq, Makivik
Corp.
13. Raglan - IBA - Makivik Corp., Qaqqalik
Landholding Corp. of Salluit, Northern
Village Corp. of Salluit, Nunaturlik
Landholding Corp. of Kangiqsujuaq,
Northern Village Corp. of Kangiqsujuaq
14. Troilus - IBA - Cree Nation of Mistissini
15. Windfall Lake - EA - Grand Council of the
Crees (Eeyou Istchee) / Cree Regional
Authority, Cree FN of Waswanipi
16. Bachelor Lake - PA - Grand Council of the
Crees (Eeyou Istchee) / Cree Regional
Authority, Cree FN of Waswanipi
17. Rose Tantalum-Lithium - O - Cree Nation
of Eastmain, Grand Council of the Crees
(Eeyou Istchee) / Cree Regional Authority
18. Eleonore - CA - Cree Nation of Wemindji,
Grand Council of the Crees (Eeyou
Istchee) / Cree Regional Authority
19. Lac Rocher - MOU - Cree FN of
Waswanipi
20. Montviel Project - O - Grand Council of the
Crees (Eeyou Istchee) / Cree Regional
Authority, Cree FN of Waswanipi
21. Quebec Lithium - MOU - Abitibiwinni FN of
Pikogan, Anishinabe FN of Lac-Simon

Note: Properties have been plotted and listed


below from east to west for ease of reference.

LEGEND
Exploration
may be pending)
Producing
Closed or in reclamation
On hold

186

184
182

183
180

170
166
165 163160

169
167
168

171

189
196194
198 193
192
197
195 190

179

162
161

164

157
159
156
158
147 155
148 145

152
151

144
141

139
137

131

181

136 135

13 12

114
129

115

113
112
111

99 96
103 95

108
110 98

109

127
126

101

4 2
3

94

102 97
106

119
120
122

107

128
125
121
123
124 118

117

10

130

138

185

188

177

143

134132
133

187

176

142
150146 140

149

174 191
173
175
172

178

153
154

89

88

105

116

100
104

90
93
91
92

NEWFOUNDLAND AND LABRADOR


1. Voiseys Bay - IBA - Innu Nation (Labrador),
Labrador Inuit Association
2. Schefferville Area Iron Ore Projects
- IBA - Innu Nation (Labrador) representing
the Sheshatshiu Innu Nation and the
Mushuau Innu FN, Naskapi Nation
of Kawawachikamach, Nation Innu
Matimekush-Lac John, Innu Takuaikan
Uashat Mak Mani-Utenam of Sept-Iles; CA NunatuKavut Community Council
3. Direct Shipping Ore (DSO) - IBA - Naskapi
Nation of Kawawachikamach, Nation
Innu Matimekush-Lac John, Innu Nation
(Labrador), Innu Takuaikan Uashat Mak
Mani-Utenam
4. Block 103 - EA - Innu Takuaikan Uashat Mak
Mani-Utenam

NOVA SCOTIA

86 80

18
65 54 51 46
75
17
74 69 64 61 50
14
73
19
66 59 58
56
24
72
67
20 16
76 71
25
28
82 78
53
15
60
68
26
87 85
49 36
63
21
34
84
40 27
81
62 55
35 31
79
57 52 47
83
77 70
23
22
48 42 37
44
39 32 30
43 41 38 33 29
45

11

22. Kipawa - MOU - Eagle Village FN, Kipawa,


Wolf Lake

ONTARIO

5. Melford and Sugar Camp - IBA - Mikmaq


communities of Cape Breton: Chapel Island,
Eskasoni, Waycobah, Wagamacook, and
Membertou

NEW BRUNSWICK
6. Halfmile Mine - O, IBA - Mikmaq FNs of:
Amlamgog (Fort Folly), Esgenoopetitj,
Elsipogtog, Lnui Menikuk (Indian island),
Metepenagiag, Natoaganeg (Eel ground),
Oinpegitjoig (Pabineau), Tjipogtotjg
(Bouctouche), Ugpiganjig

QUEBEC
7. Bloom Lake - IBA - Innu Takuaikan Uashat
Mak Mani-Utenam
8. Isoukustouc - EA - Innu Council of Pessamit
9. Lablache - EA - Innu Council of Pessamit

23. Lapointe - MOU - Timiskaming FN


24. Detour Lake - EA - Moose Cree FN;
IBA - Taykwa Tagamou Nation,
Wahgoshig, Mtis Nation of Ontario
25. Lake Abitibi Claims - EA - Wahgoshig
26. Kerrs Gold - MOU - Wahgoshig
27. Black Fox - MOU - Wahgoshig
28. WALP - EA - Wahgoshig
29. Scadding - MOU - Wahnapitae
30. Podolsky - IBA - Wahnapitae
31. Young-Davidson - IBA - Matachewan
32. Mohawk Garnet - MOU - Wahnapitae

33. Xstrata Nickel - PA - Wahnapitae


34. Bell Creek - EA - Flying Post,
Matachewan, Mattagami, Wahgoshig
35. Shaw Dome Nickel Belt - IBA - Mattagami,
Matachewan, Wahgoshig
36. Project 81 - MOU - Mattagami,
Matachewan
37. Shining Tree Gold - EA - Mattagami
38. Victoria - MOU - Atikameksheng
Anishnawbek, Sagamok Anishnawbek
39. Totten Nickel Mine - IBA - Sagamok
Anishnawbek
40. Timmins West - EA - Flying Post,
Mattagami
41. Shakespeare Nickel Mine - IBA - Sagamok
Anishnawbek
42. Chester - EA - Mattagami
43. Sudbury Mines Area - MOU - Wahgoshig,
Wahnapitae; EA - Sagamok Anishnawbek
44. Within the traditional territories of
Sagamok Anishnawbek - MOU - Sagamok
Anishnawbek
45. Jerome Mining Claims - EA - First Nations
Partnership comprising Mattagami,
Brunswick House, Flying Post
46. Severn - MOU - Attawapiskat
47. Warren Township Calcium Feldspar
- MOU - Chapleau Cree FN on behalf
of affected regional FNs and Aboriginal
People
48. Borden Lake - MOU - Brunswick House,
Chapleau Ojibwe, Chapleau Cree FNs
49. Martison - O - Constance Lake
50. Victor - IBA - Attawapiskat, Moose Cree
FN, Kashechewan, Fort Albany FN; O
Taykwa Tagamou Nation
51. MacFadyen - EA - Attawapiskat
52. Pickle Lake Properties - MOU Mishkeegogamang
53. Albany Project - EA - Constance Lake
54. Bolds Ring of Fire Project - MOU Attawapiskat, Marten Falls FN
55. Within the traditional territories of the Pic
Mobert FN - MOU - Pic Mobert FN
56. Marten Falls area - LI - Marten Falls FN
57. Big Lake and Hemlo East - MOU Ojibways of the Pic River FN
58. Highbank - EA - Marten Falls FN
59. Black Thor - EA - Webequie
60. Junior Lake - MOU - Whitesand,
Animbiigoo Zaagiigan Anishinaabek
61. Eagles Nest - EA - Webequie; O - Marten
Falls FN
62. Marathon - MOU - Ojibways of Pic River
FN, Pic Mobert FN; O - Ojibways of Pic
River FN
63. Hardrock - MOU - Ginoogaming FN; EA Long Lake No.58 FN
64. South Bend - EA - Webequie
65. Semple-Hulbert - EA - Kasabonika Lake
66. Ti-pa-haa-kaa-ning - O - Neskantaga FN
67. Fort Good Hope - EA - Eabametoong FN
68. KM61 - MOU - Whitesand
69. Wellington - EA - FN Community of
Summer Beaver
70. Nipigon Reefs - O - Red Rock Band of
Lake Helen Reserve #53A
71. Pickle Crow - MOU - Mishkeegogamang
72. Pickle Lake - MOU - Mishkeegogamang
73. Dona Lake - SEA - Osnaburgh
Indian Band, Windigo Tribal Council,
Governments of Canada and Ontario
74. Musselwhite - IBA - North Caribou Lake,

75. PQ North Property - LI - North Caribou


Lake
76. Thierry Mine Property - MOU Mishkeegogamang
77. Chief Peter Property - MOU - Lac Des
Mille Lacs
78. Golden Patricia - SEA - Cat Lake,
Osnaburgh Indian Band, Slate Falls
Nation, Windigo Tribal Council,
Government of Ontario
79. Hammond Reef - MOU, O - Fort
Frances Chiefs Secretariat representing:
Couchiching FN, Lac La Croix,
Mitaanjigamiing FN, Naicatchewenin FN,
Nigigoonsiminikaanikaaning FN, Rainy
River FN, Seine River FN, Lac des Milleles FN; MOU - Mtis Nation of Ontario
80. Thorne Lake - LI - Sachigo Lake
81. Kenbridge Deposit - EA - Anishinaabeg
of Naongashiing FN, Big Grassy,
Northwest Angle No.33, Northwest
Angle No.37, Ojibways of Onigaming
FN, Naotkamegwanning, Anishinabe of
Wauzhushk Onigum, Anishinaabeg of
Kabapikotawangag Resource Council
82. Phoenix Gold - EA - Lac Seul
83. Rainy River - MOU - Fort Frances
Chiefs Secretariat representing:
Couchiching FN, Lac La Croix,
Mitaanjigamiing FN, Naicatchewenin FN,
Nigigoonsiminikaanikaaning FN, Rainy
River FN, Seine River FN, Lac des Milleles FN; PA - Naicatcheweni, Rainy River
FN, Mitaanjigamiing FN, Couchiching FN,
Lac La Croix, and Seine River FN
84. Big Mack - MOU - Wabaseemoong
Independent Nations
85. Separation Rapids - MOU Wabaseemoong Independent Nations

MANITOBA
86. Monument Bay - MOU - Red Sucker Lake
87. Makwa Nickel - MOU - Sagkeeng
88. Minago - MOU - Misipawistik Cree Nation,
Mosakahiken Cree Nation, Cross Lake FN

SASKATCHEWAN
89. Konuto Lake - SLA - Govt of
Saskatchewan
90. Muskowekwan - MOU - Muskowekwan FN
91. Chacachas - O - Chacahas FN Alliance
92. Ochapowace - O - Ochapowace FN
Alliance
93. Day Star - MOU - Day Star FN Alliance
94. Jasper - SLA - Govt of Saskatchewan
95. Rabbit Lake - SLA - Govt of
Saskatchewan
96. McClean Lake - SLA - Govt of
Saskatchewan
97. Seabee Gold - SLA - Govt of
Saskatchewan
98. Komis - SLA - Govt of Saskatchewan
99. Midwest - SLA - Govt of Saskatchewan
100. Muscowpetung - O - Muscowpetung FN
Alliance
101. Jolu - SLA - Govt of Saskatchewan
102. La Ronge Gold Belt - MOU - Lac La Ronge
Indian Band; SLA - Govt of Saskatchewan
103. Cigar Lake - SLA - Govt of Saskatchewan
104. Southeastern Sask. - MOU - Federation of
Saskatchewan Indian Nations

Lake FN, Wunnumin, Shibogama FN


Council

Source: Natural Resources Canada, 2012.


*This is a partial reproduction. The complete figure can be found at www.nrcan.gc.ca/minerals-metals/sites/www.nrcan.gc.ca.minerals-metals/files/files/pdf/abor-auto/
aam-eac-e2013.pdf.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

25

Immigrants
The Canadian mining industry continues to under-perform the rest of the labour market in employing immigrants.
According to a 2012 Labour Force Survey summary from Statistics Canada, immigrants account for 12 per cent of
the mining labour force, compared to 21 per cent of the total labour force. However, it is encouraging to note that
immigrants participation in mining did increase from a 2006 level of 9 per cent. Immigrants account for 22 per cent
of the labour force in other resource sectors, for 24 per cent in the oil and gas sector, and for 26 per cent of workers
in the utilities sector.
Figure 16 illustrates the proportion of immigrants employed in each mining subsector. The mineral processing subsector
outperforms other mining sectors in employing immigrants; approximately 16 per cent of employees in mineral processing
are immigrants, compared to approximately 7 per cent in extraction and support services. This trend may reflect the fact
that immigrants tend to settle in larger, urban centres; mineral processing activities are more likely to be located in or
near cities, while extraction activities tend to occur in more remote locations.

Figure 16: Proportion of Immigrants in Labour Force


30
25
20
15
10
5
0
Canadian
labour force

Other resources
sectors

Total mining
industry

Mining
(extraction)

Support services
for mining

Mineral
processing

Source: Mining Industry Human Resources Council, 2013; Statistics Canada 2012

Statistics Canada population projections indicate that immigrants will account for an increasing share of labour
force growth in Canada over the next five to 10 years. Consideration of this important group will be essential as the
mining industry develops strategies to address projected skills and labour shortages. Increased reliance on commuter
workforces, political and economic unrest in international mining regions, and improvements in foreign-credential
recognition are some of the factors that will ease international-worker mobility and help ensure continuing steady
increases in immigrant participation in the Canadian mining industry.

26

A MiHR Report

Women in Mining
In 2010, Women in Mining (WIM) Canada, in partnership with MiHR, released findings from a detailed report on womens
participation Ramp-Up: A Study on the Status of Women in Canadas Mining and Exploration Sector. This report
provides bench-marking statistics to measure improvements on the status of women in mining. It also provides
employers with information on the barriers to engagement of female workers, and suggestions on how to increase
their participation. The report reveals discrepancies between what employers perceive as barriers for women in the
workforce and those described by female workers, and provides a foundation for developing targeted initiatives.
According to the 2012 Labour Force Survey summary, women remain under-represented in mining, although their
participation has increased steadily from slightly more than 10 per cent in 1996, to 14 per cent in 2006, and then
to 16per cent in 2012. These numbers are still well below womens current participation in the general labour force,
which is 48 per cent. However, it is worth noting that in 2012, mining outperformed some of the other resource sectors
in employing women. As shown in Figure 17, women represented 7 per cent of the forestry industry workforce
and 14 per cent of the workers in the fishing, hunting and trapping industry. On the other hand, women represented
24 per cent of the labour force in the utilities industry and 30 per cent of the oil and gas workforce.

Figure 17: Proportion of Women in Natural Resource Industries, 2012


60
50
40
30
20
10
0
Mining

Forestry
and logging

Fishing, hunting,
and trapping

Oil and gas

Utilities

Source: Mining Industry Human Resources Council, 2013; Statistics Canada 2012

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

27

Canadian
labour force

Women are not equally represented across occupations within the mining industry. As shown in Figure 18, women are
more likely to be found in clerical and support roles, or in administration and corporate services. Less than 5 per cent of
trades and production, scientific and management positions are occupied by women, whereas most clerical and support
roles (95 per cent) and corporate services positions (60 per cent) are held by women.

Figure 18: Proportion of Women in Select Mining Occupations


100%

Women

90%

Men

80%
70%
60%
50%
40%
30%
20%
10%

dc

an

Ma

na

ge

m
en
or ad t
po m
ra ini exc
te str ep
se at t
rv ion
ic
Ma es
an
na
dc
or ad gem
po m
ra ini ent
te str
se at
Pr
rv ion
ofe
ice
ss
s
ion
al

an te
Pr
d
ofe
sc chn
ss
ien ica
io
tifi l
an nal
c
dc
or ad
po m
ra ini
te st
Te
se rat
ch
rv ive
nic
ice
al
s
an
ds
kil
led
La
bo
tra
ur,
de
se
s
rv
ice
an
dp
ro
du
cti
on
Cl
er
ica
la
nd
su
pp
or
t

0%

Source: WIM Canada, Ramp-Up: A Study on the Status of Women in Canadas Mining and Exploration Sector, 2010

Summary
This chapter highlighted various labour market trends that affect the availability and quality of labour, including
employment, educational attainment, compensation, age and retirement projections, and diversity. Employment in
mining remains volatile, and it is directly related to GDP. Paired with a rapidly aging workforce and lack of growth
in the Canadian labour force, the sector will face significant challenges in the near future as it strives to find the
right talent to fill vacant positions.

28

A MiHR Report

National Hiring Requirements Forecast

MiHR forecasts employment and hiring requirements over a 10-year horizon. Forecast
Models account for factors affecting the size and composition of the workforce, and
use a combination of independent economic forecasts, Statistics Canada data and
information collected directly from industry stakeholders. Hiring requirements reported
here have twodistinct components Net Change in Employment and Replacement
Requirements. This chapter presents a high-level overview of MiHRs forecast Models;
details on the hiring requirements Model and the methodology used to develop forecasts
can be found in Appendix A.

Net Change in Employment


Net change in employment describes the net adjustment in the industrys employment
level, resulting from shifting economic cycles. MiHRs employment Model predicts
changes in employment through factors tied to levels of economic activity as
measured through several indicators. Employment forecasts are produced for each
year of the outlook and year-over-year change in employment is calculated. Note
that the forecast tables that follow do not show new job growth, but rather represent
a net estimate of employment change over the entire forecast period. Net change in
employment reflects both new and increased mining activity, and negative workforce
adjustments due to mine closures and slowdowns in production.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

29

According to MiHRs projections, real GDP in the industry is expected to undergo steady growth, despite expected
corrections to mineral prices. Corresponding growth in employment is expected, overall, in the mining industry to 2023.

Replacement Requirements
Replacement requirements describe the need to replace workers who have left the mining labour force, either
through retirement or for other reasons. MiHR has projected the likely separation behaviour of Canadas mining
labour force in two categories: retirements and non-retirement separations.
Retirements are forecast by first estimating the probability that an individual will retire from the labour force in a given
time period. The decision to retire is largely related to demographic characteristics, most notably the individuals age and
educational background. MiHRs Model of retirement starts with the current age demographics and projects future changes
based on participation rates of individuals with similar ages and educational backgrounds. The retirement rate for Canadas
mining industry is projected to increase over the forecast period from roughly 1.9 per cent to 2.8 per cent overall a
significant increase of roughly 25 per cent. Higher retirement rates are observed in some of the industrys subsectors.
Non-Retirement Separations are meant to capture all other separation behaviour that is not related to retirement.
This includes individuals leaving the mining industry in Canada for another industry sector or the mining industry
in another country, as well as people leaving the labour force due to such factors as death or disability. Through
rigourous background research, MiHR has estimated that the non-retirement separation rate for Canadas mining
industry will reach 2 per cent by the end of the forecast period.
Forecasts of hiring requirements for the Canadian mining industry were produced for three scenarios baseline,
contractionary and expansionary. The baseline scenario uses a consensus forecast for GDP, commodity prices,
productivity and other economic indicators. The expansionary scenario assumes greater-than-expected economic
activity and includes assumptions regarding new development projects coming into production. The contractionary
scenario assumes lower-than-expected economic activity.
Forecasts for the baseline scenario are also presented by industry sector (exploration, mining and quarrying, mineral
processing, and supply services) and for 66 core mining occupations that collectively represent nearly two-thirds of
the industrys total employment.

30

A MiHR Report

Cumulative Hiring Requirements Forecasts


As shown in Table 9, cumulative hiring requirements are projected to be 145,870 workers in a baseline scenario over
the next 10 years; 116,850 workers in a contractionary scenario; and 199,150 workers in an expansionary scenario.

Table 9: Cumulative Hiring Requirements Forecasts, by Scenario to 2023


Replacement Requirements
Net Change in
Employment

Retirement

Non-Retirement
Separation

Cumulative Hiring
Requirements

3,910

62,550

50,410

116,850

Baseline

24,600

67,180

54,100

145,870

Expansionary

47,820

79,010

72,340

199,150

Contractionary

Source: Mining Industry Human Resources Council, 2013

As Figure 19 illustrates, even under a contractionary scenario which includes an assumption of below-trend economic
conditions the mining industry will face significant hiring requirements in the short and long terms. In the near term, the
forecasted range of hiring requirements is similar in all three scenarios but over the longer term as uncertainty increases
the forecasts for the three scenarios diverge.

Figure 19: Cumulative Hiring Requirements Forecasts, by Scenario 20122023


250,000
200,000
150,000
100,000
50,000
0
2012

2013

2014

2015

Contractionary

2016

2017

2018

Baseline

2019

2020

Expansionary

Source: Mining Industry Human Resources Council, 2013

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

31

2021

2022

Figure 20 illustrates the overall hiring requirements for the industry on an annual basis over the forecast period. The
bulk of hiring requirements stem from the need to replace workers retiring or leaving the industry for other reasons.

Figure 20: Annual Hiring Requirements Forecasts, Baseline Scenario 20132023


18,000

Net change in employment

Number of workers required

16,000

Non-Retirement

Retirement

2021

2023

14,000
12,000
10,000
8,000
6,000
4,000
2,000
0
-2,000
2013

2014

2015

2016

2017

2018

2019

2020

2022

Source: Mining Industry Human Resources Council, 2013

Table 10 summarizes the cumulative hiring requirements in 2015, 2018 and 2023, under MiHRs contractionary,
baseline and expansionary scenarios. The baseline scenario projects the need to hire 34,500 workers by 2015
due to changes in economic factors, and to increased retirements and other separations from the industry. If economic
conditions are better than those assumed in the baseline scenario, and if planned development projects move into
production, the expansionary scenario would come into play. Under this scenario, the total cumulative hiring
requirements could grow to 52,240 workers by 2015.

Table 10: Cumulative Hiring Requirements Forecasts, by Scenario 2015, 2018, 2023
Cumulative Hiring Requirements
2015

2018

2023

Contractionary

19,770

46,560

116,850

Baseline

34,500

69,800

145,870

Expansionary

52,240

102,100

199,150

Source: Mining Industry Human Resources Council, 2013

32

A MiHR Report

Forecast by Sector
MiHR forecasts can now be reported by industry subsector for mineral exploration, mining and quarrying, support
services for mining, and mineral production activities. As shown in Table 11, under a baseline scenario, cumulative hiring
requirements for each sector represent a significant segment of current employment. Mining and mineral production, which
are labour-intensive phases of the mining cycle, have the greatest hiring requirements; however, the needs are also urgent
in exploration and support services. In these subsectors, the bulk of replacements will be needed in the professional
sciences and engineering roles which are projected to experience larger retirement rates (as noted in Chapter 2).

Table 11: C
 umulative Hiring Requirements Forecasts, by Industry Subsector
Baseline Scenario to 2023
Replacement Requirements

Retirement

NonRetirement

Cumulative
Hiring
Requirements

-1,935

13,075

10,550

21,690

70,690

10,425

20,965

16,860

48,255

Mineral Processing

72,080

17,136

22,555

18,120

57,810

Support Activities for Mining

40,650

-1,040

10,595

8,545

18,100

Employment
in 2013

Net Change in
Employment

Exploration

51,395

Mining and Quarrying


(except oil and gas)

Source: Mining Industry Human Resources Council, 2013

Figure 21 illustrates the overall hiring requirements for the exploration sector on an annual basis over the forecast
period. Most of the hiring requirements in exploration stem from the need to replace workers retiring or leaving the
industry for other reasons. A slight contraction in employment is forecast for this sector a direct result of predicted
commodity price corrections over the short and medium terms, with a return to growth by 2020.

Figure 21: A
 nnual Hiring Requirements Forecasts, Exploration
Baseline Scenario 20132023
4,000
Net change in employment

Non-Retirement

Retirement

Number of workers required

3,000
2,000
1,000
0
-1,000
-2,000
-3,000
2013

2014

2015

2015

2017

2018

2019

2020

2021

Source: Mining Industry Human Resources Council, 2013

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

33

2022

2023

The overall hiring requirements for the mining (extraction) sector on an annual basis over the forecast period are
illustrated in Figure 22. Most of these requirements stem from the need to replace workers retiring or leaving the
industry for other reasons.

Figure 22: Annual Hiring Requirements Forecasts, Mining (Extraction)


Baseline Scenario 20132023
5,000
Number of workers required

4,500

Net change in employment

Non-Retirement

Retirement

4,000
3,500
3,000
2,500
2,000
1,500
1,000
500
0
2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

Source: Mining Industry Human Resources Council, 2013

Figure 23 illustrates the overall hiring requirements for the mineral processing sector on an annual basis over the
forecast period. As is the case for exploration and extraction, the bulk of hiring requirements in mineral processing
stems from the need to replace workers retiring or leaving the industry for other reasons. A slight expansion in
employment is forecast for this sector, as a result of improved economic outlook in this subsector with new mine
developments and processing facilities to come online by 2023.

Figure 23: A
 nnual Hiring Requirements Forecasts, Mineral Processing
Baseline Scenario 20132023
7,000
Number of workers required

Net change in employment

Non-Retirement

Retirement

6,000
5,000
4,000
3,000
2,000
1,000
0
2013

2014

2015

2016

2017

2018

2019

Source: Mining Industry Human Resources Council, 2013

34

A MiHR Report

2020

2021

2022

2023

Figure 24 shows the overall hiring requirements for the mining support services sector on an annual basis over the
forecast period. Again, the bulk of hiring requirements stems from the need to replace workers retiring or leaving
the industry for other reasons. A slight contraction in employment is forecast for this subsector due to predicted
slow-growth conditions in mineral exploration fueled by commodity price corrections over the short and medium terms.
A return to accelerated growth is predicted to occur by 2020.

Figure 24: Annual Hiring Requirements Forecasts, Mining Support Services


Baseline Scenario 20132023
2,500

Number of workers required

2,000

Non-Retirement

Net change in employment

Retirement

1,500
1,000
500
0
-500
-1,000
-1,500
2013

2014

2015

2015

2017

2018

2019

2020

2021

2022

2023

Source: Mining Industry Human Resources Council, 2013

Forecast By Occupation
The occupational breakdown of the hiring requirements forecasts includes 66 different mining occupations, as defined
by the National Occupation Classification for Statistics (NOC-S) categories. NOC-S codes seek to classify individuals doing
similar kinds of work into the same job categories; however, the NOC-S categories do impose some constraints. As a result,
the occupational forecasts included in this report represent about 60 per cent of the mining industry workforce. More
discussion on the occupation codes and categories used in MiHRs forecasts can be found in Appendix C.
Table 12 presents forecasts of cumulative hiring requirements for the baseline scenario by broad occupational category.
The 10 occupations with the greatest forecasted hiring requirements are:

Heavy equipment operators (except crane)

Underground production and development miners

Truck drivers

Construction millwrights and industrial mechanics (except textile)

Workers in mineral and metal processing

Welders and related machine operators

Heavy-duty equipment mechanics

Machine operators, mineral and metal processing

Primary production managers

Supervisors, mining and quarrying


Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

35

Table 12: H
 iring Requirements Forecasts, by Broad Occupational Categories
Baseline Scenario to 2023

2015

2018

2023

11,125

22,510

47,055

1,920

3,880

8,100

740

1,485

3,110

Support Workers

1,095

2,235

4,665

Technical Occupations

1,725

3,470

7,250

Supervisors, Coordinators and Foremen

2,190

4,415

9,230

All Other Occupations

15,705

31,805

66,460

Total

34,500

69,800

145,870

Trades and Undesignated Occupations


Professional and Physical Science Occupations
Human Resources and Financial Occupations

Source: Mining Industry Human Resources Council, 2013

A listing of the cumulative hiring requirements forecasted for each of the 66 occupations over a 10-year horizon can be
found in Chapter 6, Table 16.

Mining Labour Market Trends


The forecasts and gap analyses presented in this report indicate that the Canadian mining industry will be affected
by a number of HR issues and trends over the next decade.

The greatest hiring requirements will be in the trades and production occupations. This category includes
occupations where the industry will need to compete against other sectors for future talent (e.g., truck drivers,
heavy equipment operators), as well as occupations where the new talent entering the labour market over the
next 10 years will not be enough to meet hiring needs (e.g., underground miners, supervisors and foremen).
Certification and recognition of skills of this essential group in the mining workforce is imperative, to allow mining
to attract new workers and retain current workers, so that the gap between demand and supply does not widen.

The demographics of the aging workforce, the lack of young people entering the industry and projected rates of
retirement all point to a knowledge and experience crisis. Many older workers will soon leave the mining workforce
and take with them, their valuable years of industry experience. Strategies that will engage the aging workforce in
mentoring and developing younger workers will be essential, if the knowledge gap is to be narrowed.

The industry faces losses of workers in important leadership positions over the forecast horizon and the leadership
pipeline is thin. The mining sector can explore a number of initiatives to address these loses, including leadership
development and training programs, succession planning, identifying and grooming high-potential employees for
leadership, and incorporating leadership development in early career stages or even in education programs.

36

A MiHR Report

When the local, provincial and national labour market is not able to meet the employment opportunities for a given
sector, companies may turn to international sources for talent. Immigrants will be a key source of talent as mining
seeks to meet hiring needs in the years ahead. Mining is a global industry and many skilled workers come to
Canada to find opportunities. Both efforts to attract immigrants to work in remote communities and streamlining
of processes for foreign-credential recognition will be important elements in a mosaic of solutions.

Fewer young people are entering the Canadian labour market and only a small portion of them are attracted to
the mining industry. To meet future needs, industry players will need to coordinate intensified efforts to raise
awareness of the mining industry, debunk mining myths among young people and remove barriers to youth
participation in the industry.

Women are broadly under-represented in Canadian mining making up just 16 per cent of the workforce. It may
be too lofty a goal to expect womens participation in mining to match the 48 per cent rate of the overall labour
market; however, mining also falls short of other resource sectors (e.g., oil and gas, and utilities) in employing
women. To meet future needs, the industry will need to continue efforts to engage this important segment of
the labour market. In particular, removing barriers and encouraging women into leadership roles will address
both labour shortages and the leadership challenges. Women are also mainly employed in clerical and corporate
services roles, with participation lower than 5 per cent in most trades and production roles.

Aboriginal peoples are the youngest and fastest growing segment of the Canadian labour market. The mining
industry is a major employer of Aboriginal peoples. Corporate social responsibility, community engagement,
environmental stewardship, and community partnerships will continue to be primary objectives for mining
employers; remaining committed to these approaches will have a direct impact on minings ability to attract
and engage this important segment of the labour market. Workplace readiness, essential skills development
and mining-specific education, as offered through MiHRs Mining Essentials training program, could easily be
integrated with corporate Aboriginal affairs departments, engagement initiatives and CSR strategies.

Although mining is a major employer of Aboriginal peoples, the industry still under-utilizes this talent group.
Aboriginal employees are mainly found in entry-level and support roles. Industry and education partnerships
to provide advanced education opportunities for local Aboriginal peoples could ease the pressures in several
key mining science and engineering occupations, while also ensuring sound socio-economic development and
improved education in Aboriginal communities.

Education and training partnerships are important, particularly given the demonstrated talent gaps and the
projected needs for highly skilled and highly educated workers. It can take many years to initiate or change
education and training programs, and then, several more years to graduate a cohort of students to fill vacant
positions. Mining stakeholders need to immediately undertake proactive planning, communication, partnerships
and action to address the projected needs.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

37

Available Talent

Where is the industry going to find all the workers needed to address the projected
hiring requirements? A seemingly substantial hiring requirement will not necessarily
lead to labour market pressures, if there is also an abundant supply of new talent ready
to offset the need. Conversely, a seemingly small hiring requirement may actually be
overwhelming, if there wont be enough incoming talent to meet the need. In order
to further understand the industrys labour market pressures, MiHR has enhanced its
modelling capabilities to estimate the amount of talent that will be available to offset
the hiring requirements.

Forecasting Available Talent


MiHRs Model for Available Talent is based on specific occupations identified to be critical to
the mining industry. For a particular occupation, the Model projects the total pool of labour
that all industries can draw from, and then predicts the proportion that the mining industry
will successfully attract in a given year. A full description of the Model can be found in
Appendix B.

38

A MiHR Report

As illustrated in Figure 25, not all individuals entering a particular occupation (e.g., steamfitters) will work in mining. For
key mining occupations, MiHR first estimates the number of new entrants that will be available in the labour pool for all
industries (the large red arrow) and then calculates minings share of these entrants (the small grey arrow) based on
historic trends. This calculation represents the projected available talent for the occupations.

Figure 25: A Model of Available Talent for Mining

Total
labour pool

New e
ntra
nts

Mining
ss
ha
re
of
w
ne

nts
tra
en

66
Occupations
Minings share

Source: Mining Industry Human Resources Council, 2013

Cumulative Total Available Talent


Using its Available Talent Model, MiHR calculated cumulative availability of talent over a two-, five- and 10-year horizon
(see Table 13). Forecasts show that over the next 10 years, approximately 1,397,560 new entrants will move into the
Canadian labour force, in the 66 selected occupations (listed in Table 16 and also in Appendix C). Assuming that mining
will continue to attract talent at traditional rates for these occupations, the industry can expect to attract 63,350 new
entrants over the coming decade.

Table 13: C
 umulative Available Talent, all Sectors and Mining
66 Occupations 2015, 2018, 2023
Cumulative Available Talent
Total entrants for 66 occupations, all industry sectors
Minings share of entrants for 66 occupations
(assuming the historical rate for each occupation per year)

2015

2018

2023

386,275

768,800

1,397,560

16,440

33,380

63,350

Source: Mining Industry Human Resources Council, 2013

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

39

Available Talent by Occupation


Table 14 shows minings share of the cumulative available talent over the next 10 years, by broad occupational
category. The table also depicts the total available talent for the occupational categories in all sectors, along with
the proportion (per cent) that the mining industry has historically attracted from each category.

Table 14: C
 umulative Available Talent, by Broad Occupational Categories
66 Occupations to 2023
Minings Share of
Available Talent
(number
of workers)

Total Available
Talent, All Sectors
(number of
workers)

Minings Historic
Share of Available
Talent (per cent)

39,180

586,200

7%

Professional and Physical Science Occupations

7,200

159,360

5%

Human Resources and Financial Occupations

2,630

212,550

1%

Support Workers

3,470

277,020

1%

Technical Occupations

4,490

108,520

4%

Supervisors, Coordinators, and Foremen

6,420

53,890

12%

Trades and Undesignated Occupations

Source: Mining Industry Human Resources Council, 2013

A detailed list of the 66 occupations and the associated cumulative share of available talent for each can be found in
Chapter 6, Table 16.

Labour Market Pressures


Some occupations (e.g., administration, cooks, financial analysts) can be found in many different industries and the mining
industry accounts for a small share of total employment in those occupations. Other occupations (e.g., underground
miners, mining engineers) are very industry-specific and for these, the mining industry accounts for the majority of total
employment. Taking a closer look at the pressures in the talent pools for each occupation gives the mining industry
important information about future challenges and opportunities.
Table 15 illustrates the relative pressures in the different occupational talent pools whether a particular pool is growing
or shrinking, and what that means for the mining industry based on how industry-specific the occupation is. This
illustration is not to be confused with a gap analysis. It does not take into account projected hiring requirements; it simply
illustrates projected trends in various talent pools as a function of how much of that talent pool is employed in mining.
Some occupations such as secretaries and cooks can be found in many different industries beyond mining, so
the mining industry accounts for a small share of total employment in those occupations. As such, the mining industry
has considerable opportunity to recruit needed workers from other industries. Other occupations such as mining
engineers are very industry-specific, so their concentration in the mining industry is considered high.

40

A MiHR Report

For some occupations, such as civil engineers, the industry attracts fewer members of the total labour pool and a steady
state is expected for the overall size of the labour pool; this means that supply pressures are weak for this occupation
there will be more of them in the future and mining doesnt traditionally employ a large portion of them. For other
occupations, such as underground production and development miners, the talent pool is shrinking over time and the
mining industry attracts almost all of the workers in this occupation; therefore, the shrinking talent pool will have a
strong negative impact on industry employers.

Table 15: Talent Labour Pool Pressures, by Occupation


Change in Talent Pool from 20132023
Mining-specific
Occupations

Gains in labour pool

Mining engineers

Steady

VERY HIGH

Central control processes


and operators, mineral and
metal processing
Mine workers

Loss in labour pool

HIGH

Other professional
occupations in physical
sciences

Geological engineers
Metallurgical and
materials engineers

Primary production
managers

Geological and mineral


technologists and technicians
Geoscientists

MEDIUM

SMALL

Chemists
Civil engineers
Chemical engineers
Industrial and manufacturing
engineers
Biologists and related
scientists

Land surveyors
Financial auditors
and accountants
Cooks
Industrial engineers
Construction managers
and estimators
Mechanical engineering
technologists and technicians

Non-Mining-specific
Occupations

Underground service and


support workers
Machine operators, mineral
and metal processing
Supervisors, mining
and quarrying
Production and
development miners
Supervisors mineral and
metal processing
Workers in mineral and
metal processing
Construction millwrights
and industrial mechanics
(except textiles)
Crane operators
Heavy-duty equipment
mechanics
Drillers and blasters
Steamfitters, pipefitters and
sprinkler system installers
Contractors and supervisors,
mechanic trades
Secretaries (except legal
and medical)
Human resources managers
Truck drivers
Welders
Materials handlers
Inspectors and testers
Carpenters
Financial managers
Electrical and electronics
engineers

Source: Mining Industry Human Resources Council, 2013

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

41

The Talent Gap

Understanding the gaps between hiring requirements and available talent is important,
as it can inform development of targeted strategies and initiatives to fill the gaps. To this
end, MiHRs gap analysis provides a side-by-side comparison of hiring requirements and
available talent for the selected key occupations that are core to Canadas mining industry.
The nature of talent gaps varies among occupations. In some cases, there is an existing
pool of talent and the industry must strive to attract more new entrants from this pool
into mining careers (i.e., carve out a larger slice of the pie). In other cases, there simply
arent enough people in the talent pool to meet the industrys needs, let alone the demands
from other industries (i.e., there is a need to make the pie bigger). In all cases, the mining
industry must strive to retain the workers it already employs and to make the best possible
use of talent (e.g., through technology innovation, improved productivity, and appropriate
skills and knowledge development).
A talent gap can also have a different impact, depending on the occupation. This is
especially true for jobs that are highly specialized and require years of training and
experience. A seemingly small gap can pose a challenge when there are only a few
people with the specialized skills and experience to perform the role. The occupational
gap analysis presented in this report presents gaps in terms of raw numbers, but this
analysis should be balanced with the awareness that not all the illustrated talent gaps
are mission-critical or high-concern gaps.

42

A MiHR Report

The Canadian Mining Talent Gap


The cumulative talent gap alone does not shed light on how best to address the labour shortages. A more detailed look at
each occupation is helpful in this respect. The unique characteristics of the gaps within each of the occupational categories
must first be analyzed and trends among occupations identified. This type of analysis will help the mining sector to develop
and deploy targeted strategies that address the distinctive labour circumstances of specific occupations. Action on the
different types of gaps for groups of occupations will collectively address the cumulative talent gap.
The number of new entrants that will be available for each occupation in the exploration and mining industry is calculated
based on historic attraction rates; these rates vary across occupations. For industry-specific occupations such as underground
miner, the industry will capture the majority of the new labour pool. In contrast, for more generalized occupations, such as
HR Manager, the mining industry will capture only a small percentage of the total number of new entrants.
Table 16 presents an occupational breakdown of hiring requirements and available talent. All numbers represent
cumulative counts over a 10-year horizon to 2023. Cumulative hiring requirements (from Chapter 3) represent the
sum of changes in employment, retirement and non-retirement exits. Available talent (from Chapter 4) is calculated as
the share that mining historically attracts from the talent pool for all industries, for each occupation. Cumulative hiring
requirements are subtracted from minings available talent to estimate the looming talent gap.
The column titled The Challenge shows the available talent pool for all industry sectors and minings historic share of
the labour pool for each occupation. For each occupational category, an estimate is provided of the share of the labour
pool that mining will need to attract to meet projected hiring requirements.

Table 16: Cumulative Occupational Breakdown of Hiring Needs and Available Talent to 2023
The Need

Available Talent
and Gap

The
Challenge

Cumulative
Hiring
Requirements

Available
Talent
Minings
Share

Gap

Heavy Equipment Operators (Except Crane)

6,205

4,870

-1,335

32,370

15.0%

Underground Production and Development Miners

5,475

4,410

-1,065

4,880

90.2%

Truck Drivers

5,125

4,360

-765

132,260

3.3%

Construction Millwrights and Industrial Mechanics


(Except Textile)

5,045

3,890

-1,155

29,550

13.2%

Labourers in Mineral and Metal Processing

3,195

2,640

-555

6,140

42.9%

Welders and Related Machine Operators

3,070

2,970

-100

53,030

5.6%

Heavy-Duty Equipment Mechanics

2,800

2,600

-200

18,070

14.4%

Machine Operators, Mineral and Metal Processing

2,680

1,950

-730

3,400

57.4%

Industrial Electricians

2,375

1,820

-555

12,080

15.0%

Material Handlers

1,765

1,700

-65

89,240

1.9%

Crane Operators

1,455

1,070

-385

5,330

20.1%

Construction Trades Helpers and Labourers

1,435

1,260

-175

83,060

1.5%

Central Control and Process Operators,


Mineral and Metal Processing

1,405

1,120

-285

1,620

68.8%

Total
Available
Talent All
Industries

Minings
Share

Trades and Production Occupations

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

43

Minings
Required
Share

Table 16: C
 umulative Occupational Breakdown of Hiring Needs and Available Talent to 2023
(continued)

The Need

Available Talent
and Gap

The
Challenge

Cumulative
Hiring
Requirements

Available
Talent
Minings
Share

Mine Labourers

1,275

1,160

-115

1,380

84.0%

Steamfitters, Pipefitters and Sprinkler System


Installers

1,250

1,050

-200

10,570

9.9%

Underground Mine Service and Support Workers

1,195

1,150

-45

1,370

83.6%

Drillers and Blasters Surface Mining,


Quarrying and Construction

520

490

-30

1,480

33.2%

Carpenters

325

330

73,290

0.4%

Other Trades Helpers and Labourers

300

150

-150

4,660

3.2%

Plumbers

160

190

30

22,420

0.8%

47,055

39,180

-7,875

586,200

7%

Total

Total
Available
Talent All
Industries

Gap

Minings
Share

Minings
Required
Share

8%

Professional And Physical Science Occupations


Geologists, Geochemists and Geophysicists

1,870

2,100

230

9,210

22.9%

Mechanical Engineers

1,580

670

-910

29,220

2.3%

Electrical and Electronics Engineers

1,140

360

-780

24,700

1.5%

Mining Engineers

845

1,510

665

2,740

55.0%

Industrial and Manufacturing Engineers

710

760

50

15,350

5.0%

Chemical Engineers

470

440

-30

8,840

5.0%

Metallurgical and Materials Engineers

360

450

90

1,850

24.1%

Chemists

300

290

-10

16,270

1.8%

Other Professional Occupations in Physical Sciences

265

260

-5

860

30.7%

Geological Engineers

190

120

-70

1,700

6.8%

Civil Engineers

145

170

25

30,200

0.6%

Biologists and Related Scientists

145

50

-95

16,170

0.3%

Other Professional Engineers, N.E.C.


Total

80

20

-60

2,250

0.8%

8,100

7,200

-900

159,360

5%

1,470

1,330

-140

103,960

1.3%

5%

Human Resources And Financial Occupations


Financial Auditors and Accountants
Financial Managers

540

350

-190

31,050

1.1%

Human Resources Managers

500

350

-150

18,470

1.9%

Specialists in Human Resources

415

400

-15

27,070

1.5%

Financial and Investment Analysts

185

200

15

32,000

0.6%

3,110

2,630

-480

212,550

1%

Secretaries (Except Legal and Medical)

1,255

920

-335

79,870

1.2%

Inspectors in Public, Environmental and


Occupational Health and Safety

725

600

-125

9,790

6.1%

Total
Support Workers

44

A MiHR Report

1%

Table 16: C
 umulative Occupational Breakdown of Hiring Needs and Available Talent to 2023
(continued)

The Need

Cumulative
Hiring
Requirements

Available Talent
and Gap
Available
Talent
Minings
Share

The
Challenge

Gap

Total
Available
Talent All
Industries

Minings
Share

Inspectors and Testers, Mineral and


Metal Processing

655

560

-95

1,840

30.5%

Administrative Clerks

645

370

-275

53,970

0.7%

Production Clerks

470

380

-90

12,030

3.1%

Dispatchers and Radio Operators

465

360

-105

14,240

2.5%

Cooks

190

170

-20

93,460

0.2%

Construction Estimators

130

30

-100

7,480

0.5%

Engineering Inspectors and Regulatory Officers

70

40

-30

1,800

2.1%

Transportation Route and Crew Schedulers

60

40

-20

2,540

1.5%

4,665

3,470

-1,195

277,020

1%

1,950

1,600

-350

5,430

29.4%

Chemical Technologists and Technicians

995

870

-125

20,170

4.3%

Total

Minings
Required
Share

2%

Technical Occupations
Geological and Mineral Technologists
and Technicians
Land Surveyors

920

240

-680

5,750

4.2%

Electrical and Electronics Engineering Technologists


and Technicians

835

510

-325

16,570

3.1%

Civil Engineering Technologists and Technicians

625

40

-585

6,210

0.6%

Mechanical Engineering Technologists


and Technicians

515

310

-205

6,900

4.4%

Industrial Engineering and Manufacturing


Technologists and Technicians

415

390

-25

10,300

3.8%

Land Survey Technologists and Technicians

355

50

-305

1,890

2.8%

Drafting Technologists and Technicians

315

370

55

22,340

1.6%

Mapping and Related Technologists and Technicians

230

70

-160

5,960

1.1%

95

40

-55

7,000

0.6%

7,250

4,490

-2,760

108,520

4%

Primary Production Managers (Except Agriculture)

3,335

2,960

-375

6,770

43.7%

Supervisors, Mining and Quarrying

2,340

1,600

-740

1,790

89.1%

Supervisors, Mineral and Metal Processing

1,885

1,050

-835

2,490

42.3%

Engineering Managers

650

230

-420

9,340

2.5%

Construction Managers

455

160

-295

24,370

0.6%

Biological Technologists and Technicians


Total

7%

Supervisors, Coordinators, And Foremen

Contractors and Supervisors, Mechanic Trades

395

300

-95

7,190

4.2%

Contractors and Supervisors, Pipefitting Trades

170

120

-50

1,940

5.9%

9,230

6,420

-2,810

53,890

12%

Total
Source: Mining Industry Human Resources Council, 2013

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

45

17%

Close examination of Table 16 shows that each of the occupations reveals a distinct talent gap; however, three broad
trends or types of gaps emerge. These trends can be characterized by the following descriptions:

Retain and Develop Workforce

For these occupations, the labour supply is sufficient for the forecasted labour needs, and
strategic efforts should focus on retaining the workforce through engagement, retention
and development initiatives.

Increase Minings Share


of Labour Pool

For these occupations, there is a healthy labour pool to draw from, but the mining industry
must capture a larger share of the pool through strategic efforts to attract new labour market
participants into careers in mining.

Grow the Labour Pool

The new talent in these occupations will not meet the industrys projected needs. Strategic
efforts and partnerships with education, government or even other sectors will need to be
undertaken to grow the pool of talent and increase the number of new entrants overall.

Retaining and Developing


For some occupations, the forecasted available talent will be sufficient to meet the hiring requirements of the mining
industry, as shown in Figure 26. Unfortunately, a balance in talent and need doesnt mean the industry can afford
complacency. Mining organizations need to maintain their efforts to develop and retain talent to preserve their
competitiveness with other industry sectors by offering strong compensation packages, flexible work options,
and career development opportunities.

Figure 26: Focus on Retention and Development


Projected Gaps to 2023
Available to all industries except mining

35,000
2,500

Need

Minings share
32,210

15,350

9,210

2,740

2,000
1,850
1,500
1,000
500

Source: Mining Industry Human Resources Council, 2013

46

A MiHR Report

tm Fina
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at ta
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Occupational Analysis
Focused efforts in retention and development will be required for occupations in the geosciences and engineering.
Based on historical trends, the mining industry hires about 20 per cent of the available geologists, geochemists and
geophysics talent. The cumulative hiring requirement for these professional geoscience occupations is 1,950 by 2023.
The mining industry will have access to just over 2,000 individuals from this group indicating a healthy labour pool.
Similarly, the mining industry will have access to sufficient numbers of geological technologists and technicians; mining,
metallurgical and materials engineers; and members of other professional and physical sciences. Although future
supplies of these occupational categories will be sufficient to meet the industrys needs, the retention and development
of these workers is imperative, as recruitment for these positions has proven to be challenging for mining. In addition,
as competition for this talent heats up among industries, worker options elsewhere and mobility will increase.
It is important to highlight here, that the projected 10-year trend is based on current or status quo assumptions
about industry education labour market flows, economic conditions, and baseline scenarios. MiHR recommends
caution and further analysis in interpreting these trends for specific education and training programs, or HR initiatives
for each occupation. With new and developing mining activities world-wide, the baseline assumptions that create
these projections may change, causing a change in the projected gaps. For example, the need for mining engineers
in Canada, illustrated above appears to project a slight surplus over the next 10 years, under a baseline scenario.
However, this assumes historic trends in graduation rates and uptake into employment. MiHR has not yet completed
important research into scenario analysis for each occupation and establishing boundaries on the projected gaps. This
work is part of its ongoing development activities over the next few years.

Knowledge Workers
Professional geoscience and engineering occupations are categorized as knowledge occupations, i.e., occupations
that require significant investment in formal post-secondary education. Individuals working in these occupations often
have both specialized knowledge and experience, and can represent a significant portion of mining organizations
overall capacity. These workers are particularly costly to replace and are highly mobile indicating that Canadian
mining organizations will need to ensure that they remain competitive in the global market for talent. In addition, mining
organizations should actively engage with current knowledge workers to ensure effective organizational capture of
knowledge from transitioning workers, and to encourage knowledge workers in the mentorship of younger workers.

Changing Nature of Retirement


In line with observed patterns in other sectors, baby boomers in the mining industry have begun to take later retirements
and to opt for flexible and contract work to extend their employment. This is not new for knowledge occupations;
geoscience professionals and engineers have traditionally maintained longer active working years than trades and
support occupations. With more years of active employment, experienced workers can be engaged by the mining
industry through education and training programs, for example.
Technology advancements have supported more flexible work practices, allowing for less time on-site and more
collaborative working arrangements. These include job-sharing, which can prolong engagement for transitioning
workers and re-engage retirees. Maintaining skills development throughout the career cycle while transferring
knowledge and experience to the next generation of workers will ensure the participation of transitioning workers
is fully optimized throughout the later stages of their career.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

47

Mid-Career Attrition
In MiHRs 2010 report, Unearthing Possibilities: Human Resources Challenges and Opportunities in the Canadian
Mineral Exploration Sector, it was found that geoscience careers have a high rate of mid-career attrition, a trend
that is particularly prevalent for women in these fields. Efforts to maintain engagement with geoscience professionals
in the industry, and in particular, the removal of workplace barriers for women, will be significant factors in maintaining
optimal workforce numbers. It is also important for organizations to work to reduce attrition through career development
and retention initiatives, creative work schedules and flexibility with regards to field work.

Increasing Minings Share


For many occupations within the industry, there is a large pool of available workers but mining does not
attract enough of them to meet future need. For these occupations, the industry faces fierce competition from the
manufacturing, forestry, petroleum and construction sectors all in need of workers with similar skills, knowledge
and experience. As competition for specific occupations increases, pressures on the existing labour pool are heightened
by both external pressure from other sectors and by internal pressure within the industry, with mining employers
competing against each other for talent within an insufficiently sized labour pool. Within the mining industry, these
pressures have traditionally resulted in rapid increases in compensation. For occupations characterized by highly
competitive labour markets, the mining industry needs to incrementally increase its share of the available talent,
given the growth in the Canadian economy and competition for the occupations.
The occupations highlighted in this section (see Figure 27) are particularly vulnerable to broader labour market
competition. The anticipated pool of labour for these occupations includes a sufficient number of people to fulfill
minings hiring requirements; however, based on historical data, the mining industry will be challenged to capture
enough of this talent pool to fulfill hiring needs. Once the industry intensifies its attraction efforts, other industries will
respond with their own heightened efforts to retain or attract new talent. Because of this pressure among industries,
minings share of talent is remarkably stable over time and extremely difficult to influence. Strategic and coordinated
industry-wide efforts will be critical for mining, as it strives to address the gaps for these occupation groups.

Occupational Analysis
As shown in Figure 27, occupations such as heavy equipment operators are in high demand from other industries.
The mining industry will require 6,205 of these operators by 2023; however, based on historical trends, the mining
industry will have access to only 4,870 workers resulting in a gap of -1,335 heavy equipment operators. The talent
pool for this occupational group is fairly robust, with over 32,300 new entrants forecast by 2023. This indicates that
the mining industry must actively carve out more of the available talent pool than it has done traditionally, so that it can
meet its labour needs. Other heavy industry sectors, such as construction, petroleum, utilities and forestry also project
high levels of hiring requirements and large talent gaps. Increased efforts by these sectors to attract and retain talent
shared with mining will create more pressure on the labour pool and could widen the gaps illustrated here.
Similarly, a gap of -1,065 construction millwrights and industrial mechanics is anticipated, despite a pool of nearly
30,000 workers. The industry will also need to actively increase its share of the truck driver labour pool, where more
than 132,000 workers will be available but a gap of -765 workers is forecasted.

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A MiHR Report

Figure 27: Increase Minings Share of Talent


Projected Gaps to 2023
35,000

Available to all industries except mining


32,370

29,550

7,000

18,070

Need

Minings share
10,570

12,080

8,920

6,000
5,430

5,000

5,330

4,000
3,000
2,000
1,000

He

av

ye

qu

ipm
(ex ent
Co
ce ope
ns
pt ra
tru
cr tor
an s
cti
e)
ind on
us mi
l
He
tr lw
av
(ex ial m righ
yce ec ts
du
pt ha an
ty
tex nic d
eq
tile s
uip
)
m
en
tm
ec
ha
nic
Ind
s
us
tri
al
ele
tec
ctr
hn G
ici
an
olo eo
s
gis log
ts ica
an l a
d t nd
ec m
hn ine
ici ra
an l
s
Cr
an
eo
St
ea
pe
sp m
ra
rin fitt
tor
kle ers
s
rs ,p
ys ipe
tem fi
t
ins ters
tal an
En
ler d
gin
s
ee
rin
gm
an
ag
er
s

Source: Mining Industry Human Resources Council, 2013

A talent gap for engineering technicians and technologist roles is also projected, requiring the mining industry to
capture more of the available talent pool within these occupations as well. Cumulatively, the mining industry is expected
to face a talent gap of nearly -600 civil engineering technologists and technicians, and -350 geological engineering
technicians and technologists. Similarly, the talent gap for land surveyors is substantial with an anticipated talent
gap of -680workers, despite 5,750 land surveyors in the talent pool.
Traditional corporate roles are also in this talent-gap category. In particular, human resources occupations and finance
occupations will be in demand, and the mining industry will need to capture more of the available talent pool to meet
its hiring requirements.

Career Awareness
For the occupations where mining must increase its share of the available labour pool, focusing strategic efforts on
increasing the awareness of opportunities within the mining industry will be of utmost importance. Many of these
occupations are not mining-specific; therefore, the industry must increase not only awareness among these talent
pools but ultimately, preference for mining career opportunities.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

49

The mining industry faces legacy challenges with respect to negative social and environmental impacts, and out-dated
perceptions of the nature of mining employment and current corporate responsibility. To fully engage all sources of
labour and to capture more of the talent stream, the industry must work to communicate the realities of the modern
mining industry, and to profile the industrys commitment to social and environmental responsibilities, and the value
it places on diversity and innovation within its workforce.
Currently, the industry faces substantial gaps in attracting and retaining diverse groups to the industry. Of particular
focus are the under-representation of women and immigrants, and the under-utilization of Aboriginal talent. Increasing
meaningful employment and focusing efforts on removing employment barriers for under-represented groups will
benefit the Industry through increased innovation and performance, while ensuring mining has access to all sources
of workforce talent.

Growing the Talent Pool


For many mining-specific occupations, there simply will not be enough new talent entering the labour pool over the next
10 years to meet hiring needs. These occupations require considerable growth in the labour pool in order to meet the
forecasted requirements. In many cases the deficits are large; the cumulative mining hiring requirement is 60 per cent
greater than the available talent. For mining-industry occupations, for example, underground miners, the responsibility
for growing the labour pool falls directly onto the mining industry, along with its partners and stakeholders in education,
government, special interest groups and associations.
Note also that solutions to these gaps involve real increases in new talent in other words, workers who are not
already employed in the sector. When labour market conditions tighten, a natural reaction is to compete with other
mining employers to fill positions with workers already employed in the sector. Solutions discussed here assume that
all workers currently employed will remain employed in the sector. Mining employers competing among themselves
for talent will only shuffle around current employees and not address the labour pool shortfalls.

Occupational Analysis
As indicated in Figure 28, mine labourers; underground mine service and support workers; central control and process
operators in mineral and metal processing; and machine operators in mineral and metal processing are mining industryspecific occupations with relatively small talent pools from which to draw.

Management Training for Technical Workers


Many of these occupations are characterized by site work that involves technical skills and extensive experience, and
some of them will require management and leadership training to develop current workers skills and knowledge. For
these occupations, the mining industry has workforce needs that nearly exceed the available talent pool. These jobs are
of specific significance because they require both industry experience and training illustrating the need for the mining
industry to invest in the development of the current workforce as well as actively developing the labour pool for future
managers and supervisors.

50

A MiHR Report

Figure 28: G
 row the Talent Pool
Projected Gaps to 2023
6,000
Available to all industries except mining

Need

Minings share

5,000
4,000
3,000
2,000
1,000

U
an nde
d d rg
ev rou
elo nd
pm pr
en odu
Ma
t m ct
ch
ine ion
ine
rs
an op
d m er
eta ator
l p s, m
ro in
ce e
ss ral
ing
Su
pe
rv
an isors
dq ,m
ua in
Su
rry ing
pe
ing
rv
iso
m rs,
eta m
l p ine
Ce
ro ral
ce a
nt
ra
ss nd
ing
op l co
er ntr
at ol
o
m rs, and
eta m p
l p ine roc
Mi
ro ral es
ne
ce a s
an
ss nd
dp
ing
ro
du
cti
on
wo
Un
rk
er
de
s
rg
r
an oun
ds d
up mi
po ne
rt se
wo rv
rk ice
er
s

Source: Mining Industry Human Resources Council, 2013

Mining Worker Certification


Recognition of current skills increases workforce engagement, enables worker mobility and heightens the profile of
specific job categories. New workers understand the value of certification in an economy that increasingly values
credentials and utilizes them as a key factor in selection and recruitment processes. Having recognized credentials,
therefore, raises awareness of these occupations and increases the ability of workers to prove their skill set to future
employers. Mining worker certification is available through MiHRs Canadian Mining Certification Program.

Aboriginal Workplace Readiness


Given that mining often requires work in remote locations, attracting and recruiting skilled workers can prove to be
challenging. One solution to this challenge is to invest in industry-specific job-readiness programs. Use of MiHRs
Mining Essentials Program, an essential skills training program for Aboriginal learners, has the potential to rapidly
increase the pool of qualified workers entering the industry, and to allow mining to capitalize on the availability and
development of local talent streams.

Provision of Training
Formal education and training is but one avenue for growing the talent pool. Many employers readily adopt in-house, on-site
training programs for specialized workers, particularly for production occupations, such as production and development miners.
Industry coordination and collaboration with both formal and less- traditional training providers to strengthen capacity for
in-house training or develop pre-employment training will help attract new talent and grow the labour pool.

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51

Workforce Optimization
The mining industry is inherently sensitive to changes in the commodity price index and employment in mining has a
strong connection with economic conditions. During economic downturns, employment drops and historically, hiring
freezes, downsizing, layoffs and cuts to temporary positions have been prevalent. In contrast, during economic booms,
projects ramp up and mining employers increase hiring campaigns as competition for skilled labour intensifies.
To ensure the industry has the right number of people with the right skills at the right time, mining needs to employ
collaborative approaches to the attraction, recruitment, development and retention of workers.
Workforce optimization is a joint analysis of workforce management, organizational design, technology, equipment,
employee training and development, and business outcomes. Workforce optimization ensures strategic planning and
continuous improvement to support the existing workforce encouraging communication and partnerships among
all stakeholders.
Maintaining engagement from all stakeholders is key to the success of workforce optimization, as it enables use of
strategies that consider developments and changes in the workforce and surrounding educational and economic
environments. For instance, fundamental changes in technology can affect industry workforce needs and educational
partners must adjust their programming to ensure that the future workforce has the specific skills required by mining,
as new technologies are applied within mining work environments. Formal industry and education partnerships are
crucial to the optimization of the mining workforce, and continuous adaptation of these partnerships will ensure they
reflect current and future employment conditions.
In addition, during cyclical downturns, industry, education and government can work together to ensure that talent
streams remain connected to the mining industry setting foundations for meeting future labour needs. Creative
solutions such as flexible working arrangements, education and training incentives, and virtual mentorship can all
be used to ensure the workforce does not completely disengage during the inevitable economic swings. The main
advantage to engaging in workforce optimization analysis and design is to ensure that challenges are identified early
and all stakeholders are coordinated in their efforts to address key issues.

Summary
Demand for mining workers will be widespread, but some occupations will face greater supply pressures than others.
The four occupations with the greatest labour pressures are: production workers, production and development miners,
underground mine service and support workers, and supervisors (mining and quarrying). These occupations are not
easily found in other industries and they are expected to experience large-scale losses. The occupations with the least
labour pressures are: cooks, land surveyors and secretaries (excluding legal and medical). These occupations are widely
found in industries outside of the mining industry and are expected to experience relatively low losses.
In the future, labour market pressures have the potential to derail the progress of the recent economic growth in
Canadas mining industry. To meet minings future needs, more workers from schools and other industries will need
to be attracted into the industry. Mining must also ensure it can encourage more workers to relocate from other
countries and has the ability to train them to meet the industrys demand. In addition, efforts to retain or re-engage
retiring workers will be part of the solutions. A combination of approaches is key to the future sustainability and
success of the Canadian mining industry.

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A MiHR Report

Appendix A
Hiring Requirements Forecast Methodology
This appendix outlines the methodology used by MiHR to produce forecasts of hiring requirements in the mining
industry. It also describes the various data that were required, along with the development of the forecasting Models.
A flowchart depicting this methodology is provided in Figure A1.
Forecasting Models of employment were estimated based on the following six steps:

Step 1: Collect and analyze data that may potentially explain changes in the number of jobs in each region.

Step 2: Determine the driver(s) that explain the greatest level of variation in the number of jobs in each region
by testing various Model specifications through regression analysis.

Step 3: Produce baseline, contractionary and expansionary forecasts for employment over a 10-year horizon.

Step 4: Produce forecasts of retirement separations based on age profile, level of education and participation rates.

Step 5: Combine forecasts of employment change, retirement and other separations to produce hiring
requirements forecast.

Step 6: Calculate and apply occupational coefficients to produce estimates of hiring requirements by occupation.

Several indicators were considered as explanatory variables for predicting employment. Rigourous modelling showed
that economic indicators predicting change in GDP (e.g., commodity prices, labour productivity, capital stock,
downstream production and sales, etc.), were the best predictors of employment in mining. There is a strong positive
relationship between mining GDP and employment. Expansionary scenarios assume better than predicted, and
contractionary scenarios assume worse than predicted, changes in GDP indicators.
MiHR regularly validates forecasts and collects primary inputs through surveys of industry employers on the size and
age profile of their workforces, diversity and demographic characteristics, occupational profile, expected hiring needs,
and the turnover and separation patterns they observe. Survey findings are used to validate forecasts and augment the
assumptions for the forecast scenarios.

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

53

Figure A1: Employment and Hiring Requirements Forecasting Model


STEP 1:
Data collection

STEP 2:
Model development
and testing

STEP 3:
Research and obtain forecasts
of employment drivers

Retirement age,
by scenario

Collect and analyze


potential drivers
of employment

Test various model


specifications and choose
model that best explains
variation in employment

Develop forecasts
of employment drivers
for each scenario

Retirement rate,
by year, by scenario

Educational
attainment

STEP 4:
Produce forecasts of
employment, by scenario

Changes in employment,
by year, by scenario

STEP 5:
Hiring requirement,
by scenario

Inputs

Outputs

STEP 6:
Occupational hiring
requirement forecast,

Non-retirement
separation rate

Occupational breakdown
in mining industry

Source: Mining Industry Human Resources Council, 2013

MiHRs hiring requirements forecasting Model combines the effects of various economic indicators (e.g., changes
in commodity prices, productivity, downstream output sales) on employment, retirement rates and non-retirement
separation rates, to produce estimates of hiring requirements.

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A MiHR Report

Appendix B
MiHRs Model of supply for each occupation starts with the existing supply, adds in new entrants, and then subtracts
people who leave. The Model assumes three main sources of new entrants: school leavers, immigrants and others;
the latter group consists generally of people who switch occupations or re-enter the workforce after temporarily leaving it.
The Model also assumes three paths of departure from the workforce: moving to another country; retiring; and leaving for
other reasons, which include transferring to another occupation, temporarily leaving the workforce, disability or death.

Available Talent Model Inputs and Assumptions


Model inputs come from a combination of sources. Due to the level of detail required for these analyses, it was
necessary to use census data. The census is the most detailed source of employment data available from Statistics
Canada. It provides the simultaneous breakdown of employment by industry, region, occupation and other required
demographic detail. The major weakness of the census data is that it is compiled only once every five years and
the most recent census data available is from 2006. As such, the forecast for supply data begins in 2007. Where
possible, more recent data (e.g., from the Labour Force Survey) is incorporated into the forecast, to verify and validate
the estimates from 2007 to 2010. Forecasts, particularly cumulative counts, are for the 2012 to 2023 period only.

Employment by Occupation
MiHR generates estimates of employment, retirements and other exits by occupation, as part of its hiring requirements
forecasts. Employment outlooks for each occupation in mining were tied to MiHRs employment forecasts. Employment
estimates for each occupation in other industry sectors were tied to The Conference Board of Canadas forecasts for
non-mining sectors.
Employment by occupation is used to help estimate migration patterns in the Model. Employment for each occupation
is divided into two categories: the mining industry and other industries. The census data provides information on
the starting points of these two series. The mining portion of employment is taken from MiHRs mining employment
forecasts, and employment for all other sectors is taken from The Conference Board of Canadas employment forecasts.
These results are then totalled to generate total employment by occupation.
The underlying assumption behind this methodology is that occupational employment in the mining sector will grow
at the same pace as the entire mining industry, and that occupational employment outside of the mining sector will
grow at the same pace as the rest of the economy. This is a reasonable assumption, as it implies that the share each
occupation occupies both within the mining sector and within the rest of the economy will remain constant.

Migration
Net international migration forecasts are based on estimates of net international migration for Canada by occupation,
taken from Human Resources and Skills Development Canadas (HRSDCs) Canadian Occupational Projection System
(COPS) Model.
Net interprovincial migration is based on the balance of supply and demand of workers in a particular occupation. This
assumes that a surplus of workers ( a soft labour market) leads to net outward migration, while a lack of workers (a tight
labour market) leads to a net inflow of workers in a given province. According to modelling done by The Conference Board
of Canada, the unemployment rate in a region is an important determinant of migration flows, and the gap between supply
and demand is a proxy for the unemployment rate for each occupation.

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55

The forecasts of employment by occupation are used to generate net migration estimates for each occupation.
Interprovincial and international immigration by occupation is known from the 2006 census. To forecast immigration,
the share of immigrants by occupation, relative to total immigration, is kept constant over the forecast period, and
applied to The Conference Board of Canadas provincial forecast for immigration by province. This is done for both
interprovincial and international immigration.
This methodology incorporates the relative mobility of each occupation into the forecast. Occupations where people
have historically been less likely to move will continue to display this characteristic and those with historically higher
levels of mobility will continue to behave in a similar manner. As well, by tying the forecast to The Conference Board of
Canadas existing forecasts for provincial immigration, this methodology incorporates a measure of the attractiveness
of a region. The Conference Board forecasts are dependent on the relative tightness of a regions labour markets and
its historic ability to attract migrants.

School Leavers
The forecast of school leavers is generated using two methods. The first method is based on the occupations historic
ability to attract people leaving school; if a certain share of the population under the age of 25 has historically entered
a particular occupation, it is assumed that the share of entrants will be similar in the future. Thus, the number of new
entrants depends on the age profile of the workforce. School graduation figures and forecasts for specific occupations
are also considered.
Second, to estimate the number of school leavers by occupation, the educational attainment of workers aged 25 to 34 is
used to establish the education profile for each occupation. The 2006 census provides the most recent data on the number
of workers by age group, occupation, and highest certificate, diploma or degree obtained. This information is combined
with demographic data to estimate the number of school leavers per occupation. An estimate of how attractive a particular
occupation is to school leavers is also applied for each occupation. Finally, estimates of how many school leavers will enter
the workforce every year are created. School-leaver estimates are calculated for three broad levels of education: high school
diploma or lower; trade, college or other post-secondary education below the bachelors degree level; and university degree.

Retirements
Retirement leavers are estimated using MiHRs forecasted retirement rates by province, that combine labour force
participation rates by age and level of education, and forecast separations starting with the 2006 Census age profile
of the industry.

Other Entrants
The last group of new entrants is the other category, which largely consists of new people entering from other
occupations or re-entering the workforce. Given the degree of training required for many of these occupations, it is
very likely that these entrants would be already trained in that occupation. For simplicity, the number of new entrants
is assumed to be a certain percentage of the existing labour force. This rate is set equal to the other leavers rate
that MiHR uses as part of its existing Models and is constant across occupations. In this manner, other entrants are
precisely equal to and offset other leavers.

Other Leavers
Other leavers include people moving to other occupations, people temporarily leaving the workforce, and people
dying. The leavers rate is sourced from MiHRs existing Models. The Model then assumes equilibrium in other
labour mobility, thus the Model matches other exits with other entrants.

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A MiHR Report

Appendix C
This Appendix lists the North American Industry Classification Codes (NAICS) and National Occupational Classification for
Statistics (NOC-S) codes used throughout this report to define the mining industry. MiHR is engaged in ongoing, iterative
research to include more NOC-S codes in this definition of the sector and to better capture Statistics Canada data
related to the mining-industry workforce.

Industry Definition and Scope


Statistics Canada, the main source of Canadas labour market information, uses two different coding systems to classify
data: the North American Industry Classification System (NAICS) and the National Occupational Classification for
Statistics (NOC-S). Both systems provide a hierarchical structure that divides higher-level categories into more detailed
categories in order to group similar establishments and individuals.
NAICS codes are used by statistical agencies throughout North America to describe economic and business activity
at the industry level. The system features a production-oriented framework where assignment to a specific industry
is based on primary activity, enabling it to group together establishments with similar activities.
The NOC-S system was developed by Statistics Canada and Human Resources and Skills Development Canada (HRSDC)
to provide standardized descriptions of the work that Canadians perform in the labour market. NOC-S codes organize
labour-force participants according to the nature of work they perform, thereby enabling similar occupations to be
grouped. NOC-S codes are specific to Canada.
There is no single NAICS code that directly corresponds to all phases of the mining cycle (which includes exploration,
development, extraction, processing and reclamation). Similarly, there is no single set of NOC-S categories that pertain
to only mining. People employed in occupation groups that are prevalent in mining also work in a variety of other
industries. Together, the NAICS and NOC-S systems provide a means for grouping statistics to obtain estimates of
employment and workforce demographics using Statistics Canada data sources. A full description of both classification
systems can be found on Statistics Canadas website.

The Mining Sector, Industry Classifications


MiHR has defined the sector according to the following NAICS codes, thereby providing the best correspondence
between the industrys main primary and processing activities as defined by Natural Resources Canada. The NAICS
codes that define the mining industry include:

NAICS 2121: Coal mining. This industry group comprises establishments primarily engaged in mining bituminous
coal, anthracite and lignite by underground mining, and auger mining, strip mining, culm bank mining and other
surface mining.

NAICS 2122: Metal ore mining. This industry group comprises establishments primarily engaged in mining
metallic minerals (ores). Also included are establishments engaged in ore dressing and beneficiating operations,
whether performed at mills operated in conjunction with the mines served or at mills, such as custom mills,
operated separately.

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57

NAICS 2131: Support activities for mining and oil and gas extraction. This industry group comprises
establishments primarily engaged in providing support services, on a contract or fee basis, required for the
mining and quarrying of minerals and for the extraction of oil and gas. Establishments engaged in the exploration
for minerals, other than oil or gas, are included. Exploration includes traditional prospecting methods, such as
taking ore samples and making geological observations at prospective sites.

NAICS 3311: Iron and Steel Mills and Ferro-Alloy Manufacturing. This industry group comprises
establishments primarily engaged in smelting iron ore and steel scrap to produce pig iron in molten
or solid form.

NAICS 3313: Alumina and Aluminum Production and Processing. This industry group comprises
establishments primarily engaged in extracting alumina.

NAICS 3314: Non-Ferrous Metal (except Aluminum) Production and Processing. This industry group
comprises establishments primarily engaged in smelting, refining, rolling, drawing, extruding and alloying
non-ferrous metal (except aluminum).

NAICS 2123: Non-metallic mineral mining and quarrying. This industry group comprises establishments
primarily engaged in mining or quarrying non-metallic minerals, except coal. Primary preparation plants, such
as those engaged in crushing, grinding and washing, are included.

NAICS 5413: Architectural, engineering and related services. This industry group comprises establishments
primarily engaged in providing architectural, engineering and related services, such as structure design, drafting,
building inspection, landscape design, surveying and mapping, laboratory and on-site testing, and interior,
industrial, graphic and other specialized design services. Note that only a portion of this NAIC code relates to
Geosciences, Surveying and Mapping, and Assay Laboratories)

Occupation Classification
Listed on the following page are the 66 NOC-S codes that MiHR uses to define the occupations that are essential to the
mining sector. Often an occupation can have multiple titles and it can be difficult to interpret which label is the correct
one. In that instance, Statistics Canada offers a means to map or connect job titles back to the proper NOC-S code. A
resource to map NOC-S codes to job titles is found on the Human Resources and Skills Development Canada website
(specifically the Quick Search box).1
For example, a Quick Search for Haul Truck Driver underground mining shows that this occupation maps directly to
Underground mine service and support workers. The site will also show which job titles are listed for each occupation
category. For example Heavy equipment operators (except crane) include job titles such as: apprentice heavy equipment
operator; heavy-duty equipment operator; heavy equipment operator; operating engineer, heavy equipment; ripper operator
heavy equipment; shovel operator heavy equipment; spreader operator heavy equipment; stacker operator
heavy equipment.

1 See www5.hrsdc.gc.ca/NOC/English/NOC/2011/Welcome.aspx

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A MiHR Report

NOC Code

Title

A111

Financial managers

A112

Human resources managers

A121

Engineering managers

A371

Construction managers

A381

Primary production managers (except agriculture)

B011

Financial auditors and accountants

B012

Financial and investment analysts

B021

Specialists in human resources

B211

Secretaries (except legal and medical)

B541

Administrative clerks

B573

Production clerks

B575

Dispatchers and radio operators

B576

Transportation route and crew schedulers

C012

Chemists

C013

Geologists, geochemists and geophysicists

C015

Other professional occupations in physical sciences

C021

Biologists and related scientists

C031

Civil engineers

C032

Mechanical engineers

C033

Electrical and electronics engineers

C034

Chemical engineers

C041

Industrial and manufacturing engineers

C042

Metallurgical and materials engineers

C043

Mining engineers

C044

Geological engineers

C048

Other professional engineers

C054

Land surveyors

C111

Chemical technologists and technicians

C112

Geological and mineral technologists and technicians

C121

Biological technologists and technicians

C131

Civil engineering technologists and technicians

C132

Mechanical engineering technologists and technicians

C133

Industrial engineering and manufacturing technologists and technicians

C134

Construction estimators

C141

Electrical and electronics engineering technologists and technicians

Ca n a d i a n M i n i n g I n d u s t ry 10 -y e a r H R o u t lo o k

59

NOC Code

Title

C153

Drafting technologists and technicians

C154

Land survey technologists and technicians

C155

Mapping and related technologists and technicians

C162

Engineering inspectors and regulatory officers

C163

Inspectors in public and environmental health and occupational health and safety

G412

Cooks

H013

Contractors and supervisors, pipefitting trades

H016

Contractors and supervisors, mechanic trades

H111

Plumbers

H112

Steamfitters, pipefitters and sprinkler system installers

H121

Carpenters

H212

Industrial electricians

H326

Welders and related machine operators

H411

Construction millwrights and industrial mechanics (except textile)

H412

Heavy-duty equipment mechanics

H611

Heavy equipment operators (except crane)

H621

Crane operators

H622

Drillers and blasters Surface mining, quarrying and construction

H711

Truck drivers

H812

Material handlers

H821

Construction trades helpers and workers

H822

Other trades helpers and workers

I121

Supervisors, mining and quarrying

I131

Underground production and development miners

I141

Underground mine service and support workers

I214

Mine workers

J011

Supervisors, mineral and metal processing

J111

Central control and process operators, mineral and metal processing

J121

Machine operators, mineral and metal processing

J125

Inspectors and testers, mineral and metal processing

J311

Workers in mineral and metal processing

60

A MiHR Report

www.mihr.ca

www.mininghrforecasts.ca

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