New employees are not entering the workforce with all the skills they need for their new jobs, a new BMO report concludes.
The study found Canadian employers are making skills training for new hires a high priority. Fortunately, for Canadian employers, there is money in the 2013 federal budget for skills training.
The report found three main trends:
- 38% of small businesses stated new hires require basic training;
- 22% found new hires require significant training and guidance; and
- the need for training new hires was most prevalent in large corporations, where 47% needed training.
"The level of talent and expertise of a small or large business' employees are the very foundation of success and are often the source of competitive advantage," said Steve Murphy, BMO senior vice-president of commercial banking.
"Whether it's enrolling new and existing employees in specialized training programs at community colleges, career colleges, union training halls or through internal programs, ensuring there are resources dedicated to the training and development of new employees is essential and should continue to be a top priority for business leaders."
In the 2013 budget released last week, the federal government is providing matching grants to ensure workers have the skills they need.
Up to $5,000 will come from Ottawa, with matching amounts from the provinces and employers to total $15,000 or more.
"This step addresses what is considered a significant employment and economic issue [and] comes at a good time for many Canadians seeking work and the employers looking to attain talent and bolster productivity and profitability," Murphy said.
"The measures in Budget 2013 will have a positive impact on the health and long-term stability of Canada's workforce."
