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Business & Financial 2019 DRIVING EXCELLENCE | LABOUR MARKET REPORTS 2019 BUSINESS & FINANCIAL Compensation Workforce Business & Benefits Trends & Financial Employment Forecast MCPCC | LABOUR MARKET REPORTS 2019 CONTENTS BUSINESS & FINANCIAL MOTOR CARRIER PASSENGER COUNCIL OF CANADA INTRODUCTION . 3 PART ONE OVERVIEW 4 DATA SOURCES . 5 INDUSTRY-SPECIFIC . 5 PUBLICLY AVAILABLE INFORMATION . 5 STATISTICS CANADA . 5 SECTOR DATA . 5 OCCUPATION DATA . 5 PART TWO BUSINESS ENVIRONMENT 7 INDUSTRY PROFILE . .. 7 STRUCTURE . 7 INDUSTRY REVENUES AND GOVERNMENT CONTRIBUTIONS . 7 SERVICE PROVIDERS . 8 VEHICLES . 9 PART THREE VEHICLE PROGRESSION AND CLIMATE CHANGE 11 ELECTRIC VEHICLES (EV) . 11 CANADIAN CITY COMPARISONS . 13 POWERING ELECTRIC VEHICLES . .. 15 SUMMARY . 16 AUTONOMOUS VEHICLES . 18 CONSULTATION SCOPE . 18 CONSIDERATIONS . 19 RESEARCH FINDINGS . 20 CURRENT STATE OF AVS . 20 LIMITATIONS OF AVS . 21 AV LEGISLATION . .. 21 AVS IN PUBLIC TRANSIT . 21 PART FOUR PUBLIC SECTOR INVESTMENT 22 URBAN TRANSIT . 22 FEDERAL . 22 ALBERTA . 22 BRITISH COLUMBIA . 22 ONTARIO . 23 QUEBEC . 24 SCHOOL BUS . 24 PART FIVE RIDERSHIP AND SERVICE 25 PART SIX EMPLOYMENT COSTS 27 PART SEVEN LABOUR MARKET IMPACT 29 AGEING WORKFORCE . 29 SCHOOL BUS RECRUITMENT . 29 SUSTAINABILITY OF INTERURBAN AND RURAL BUS COMPANIES . 29 PART EIGHT CONCLUSION 30 ENDNOTES . 31 2 MCPCC | LABOUR MARKET REPORTS 2019 BUSINESS & FINANCIAL MOTOR CARRIER PASSENGER COUNCIL OF CANADA INTRODUCTION The MCPCC provides a crucial National forum for industry, labour, government, and education to share resources and information . MCPCC’s work is focused on several key areas: raising awareness of and advocating for the bus industry across Canada, reaching government, education, and the public; reporting much needed www.buscouncil.ca labour market information, recognizing the outstanding service of bus professionals; promoting industry-wide career opportunities, and the exceptional training and development that has contributed to the industry’s commendable safety record. MCPCC is constantly seeking innovative ways to work with industry and government to promote the Bus Industry as a critical link in the nation’s transportation infrastructure. It is a privilege to advocate for the exceptional men and women dedicated to this essential service. For more information, contact MCPCC 10350 Yonge Street, Suite 206 Richmond Hill, Ontario L4C 5K9 Tel: (905) 237-0533 [email protected] ©All rights reserved. The use of this publication, in whole or in part, reproduction, storage in a retrieval program or transmission in any form or by any means (electronic, mechanical, photographic, photocopying or recording) is prohibited, without the prior written permission of the Motor Carrier Passenger Council of Canada, and is an offense under the Copyright Act. Copyright © 2019 Motor Carrier Passenger Council of Canada (MCPCC) This project was funded in part by the Government of Canada Sectoral Initiatives Program The opinions and interpretations are those of the authors and do not necessarily reflect those of the Government of Canada 3 PART ONE OVERVIEW The motor carrier passenger industry has significant economic increase profitability of an integrated transportation infrastructure. and societal influence on Canada and Canadians. The many Our Industry has fully embraced these opportunities for growth, benefits include: public mobility, cost-efficient transportation progress, and innovation. that stimulates economic development, environmentally sound solutions to traffic congestion, reduction of energy consumption While mass public transportation will remain the backbone around and improved air quality. which sustainable mobility solutions will thrive, complementary solutions are making the passenger transportation market more Over the past few years, the industry has seen a transformation complex. The trending technological innovations have ironically to digitization, and the emergence of new mobility players. reinforced the importance of the human aspect in public Digitizing transportation services, if done well, can improve the transportation as our mission is to serve the public effectively while efficiency, create better experiences for customers and ultimately adapting to changing structures. KEY TRENDS IMPACTING THE INDUSTRY KEY TRENDS POTENTIAL IMPACTS DEMOGRAPHICS • Ageing Population • Loss of skilled workers • Increased average age of workforce • Smaller labour pool • Migration and Immigration • Economic growth constrained by labour shortages • Urbanization • Curtailments/cancellations of rural services TECHNOLOGY • Automation • Job loss • Artificial Intelligence • Restructuring of existing occupations • Digitization • Emergence of new jobs and careers • Increased demand for advanced technical and “soft” skills • Falling demand for mid-skilled jobs CLIMATE CHANGE • Electrification • Challenges for carbon-intensive sectors • Increased investment in “green” sectors • New skill requirements • Initial higher procurement costs 4 MCPCC | LABOUR MARKET REPORTS 2019 BUSINESS & FINANCIAL DATA SOURCES OCCUPATION DATA PART ONE Survey of Employment, Payrolls and Hours3 INDUSTRY-SPECIFIC • Provides a monthly portrait of the amount of earnings, as well as the number of jobs (i.e., occupied positions) and hours worked. OVERVIEW • Ongoing consultations and interviews with participants • Information available at the 4-digit NOC level. from industry employers and employees, labour, associations, • Information available at the national and provincial/territorial education, manufacturers and governments levels. • Customized Industry surveys of a representative sampling of employers, owners, managers and human resources practitioners Job Vacancy and Wage Survey4 covering all sub-sectors in all provinces and territories • Job Vacancy Component of the JVWS collects data on the • A comprehensive review of secondary sources, databases and number of job vacancies by occupation and economic region internet search on a quarterly basis. Additional information is also available by occupation, such as the average hourly wage offered, the proportion of job vacancies for full- and part-time positions, the duration of job vacancies, and the levels of education and PUBLICLY AVAILABLE INFORMATION experience sought for the job. • Provides information at the 4-digit NOC code. The following section outlines publicly available labour market • Data can be split by province (Alberta, Ontario, Quebec, information, disseminated by the Canadian federal government. BC, Manitoba only provinces/territories that consistently provide at a quality at the “acceptable” level and above). STATISTICS CANADA • Data tables produced quarterly. Statistics Canada administers five surveys that provide a snapshot Employment Insurance Statistics5 of current labour market events. These surveys are: the Labour • Reports on the operation of the Employment Force Survey (LFS, record number 3701), the Survey of Insurance Program. Employment, Payrolls and Hours (SEPH, record number 2612), • Provides complementary labour market statistics at the national Employment Insurance Statistics (EIS, record number 2604), and provincial level, as well as for sub-provincial areas. Job Vacancy Statistics (JVS, record number 5202), and the Job • The statistics released include the number of beneficiaries, types Vacancy and Wage Survey (JVWS, record number 5217). These of benefits, benefit payments, the number of claims, as well as surveys provide varying degrees of granularity and timeliness with the number of disqualifications and disentitlements. respect to bus industry labour market information. • Estimates are also produced by detailed age and for 140 occupation groups to the 2-digit NOC codes.6 SECTOR DATA Labour Force Survey1 (LFS) Statistics Canada also administers the Annual Passenger Bus and Urban Transit Survey. Data are typically released 2 years after • Provides estimates of employment and unemployment. survey administration and includes: • Survey results provided 10 days after the completion • Financial performance of the industry;7 of data collection. • Sources of operating revenue and expenses;8,9 • LFS data are used to produce the well-known unemployment • Capital expenditure;10 rate as well as other standard labour market indicators such as • Equipment operated;11 the employment rate and the participation rate. • Fuel Consumption;12 • Information available at the 2-digit NAICS level. 13 • Maintenance costs; 14 Job Vacancy Statistics2 • Employment and compensation; and • Revenue and passenger trips (urban transit only).15 • Provides a monthly portrait of the level of unoccupied positions, job vacancy rates and unemployment-to-job vacancies ratios. • All estimates are produced at various levels of cross-classification It should be noted that a change in the questionnaire in 2014 of geography (province and territories) and industry (available at limits the comparability of results for some questions. the 2-digit NAICS level). 5 MCPCC | LABOUR MARKET REPORTS 2019 BUSINESS & FINANCIAL PART TWO BUSINESS ENVIRONMENT Employment and Social Development Canada16 (ESDC) Limitations of Bus Industry LMI ESDC uses the models of the Canadian Occupational Projection There are two principal and interrelated challenges associated System (COPS) and the National Occupational Classification with open bus industry LMI. Data that are available on a timely (NOC, 2016 version) to develop projections of future trends in basis (i.e., LFS) are typically rolled up to the 2-digit NAICS the numbers of job openings and
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