Workforce Development Retention and Recruitment Alberta Agriculture and Forestry October 29, 2015

Content Alberta’s Labour Market Workforce Retention Workforce Recruitment AF’s Workforce Development Initiative Questions 2

Alberta’s Labour Market 3

Current Labour Market Alberta’s Unemployment Rate is 6.5% (national 7.1%). The map shows the unemployment rates as of September 2015, for each Alberta Economic Region –Edm 6.1% –Red Deer 7% –Cgy 6.9% Ag employment up 7,200 from September 2014 to 61,800 4

Current Labour Market 5 Data Source: Statistics Canada, Labour Force Survey 2014 Sustainable labour force?

Workforce Retention 6

The Cost of Turnover Many studies show that the total cost of losing an employee can range from tens of thousands of dollars to 1.5-2X annual salary New Hire Costs –Time (staff hours and dollars) spent recruiting and training new hires Termination Costs –Exit interviews, severance, legal costs, time spent on termination Loss of Productivity Costs –Loss of productivity prior to departure of worker, during vacancy, during orientation & training and during transition Exit Costs –Costs of increased errors/defects, lost or dissatisfied clients, misused materials or equipment, decreased workforce morale, etc… 7

Importance of Retention Reduce costs associated with turnover –Turnover created more turnover (spiral effect) Increased workforce morale Increased productivity –Economic value of employee over time Enhances recruitment –Effective retention strategies begin during the recruitment process Good turnover? –Actively disengaged employees 8

Importance of Retention 9

Retention Drivers Compensation –Significant but not most important factor (too little or too much can cause problems) Job Fit –Critically important. Are you attracting the right person for the job? Career Opportunities –Younger folks are motivated by growth, career opportunity, and meaning Work Environment –Does the job make use of an employees skills? Are they appreciated? Do they feel included in the workplace? 10

What does a Retention plan look like? Increased Compensation? –Not sustainable Referral Program –Costs less –Takes less time to recruit –Greater understanding of what job entails –Stays with company longer Onboarding Program –More productive worker –More productive faster –Stays with company longer Rewards Program –CARES ( Compensation, Assistance & Benefits, Recognition, Equal work/life balance, System of career development 11

Workforce Recruitment 12

Strategic Recruitment Opportunities What is strategic recruitment? How does it fit into your plans? What is working in your current hiring process? What have you done to fill your labour needs? What can you do differently to attract more qualified workers? 13

Strategic Recruitment Opportunities During the hiring process; –Do you have to say yes? OR –Can you say no? 14

Strategic Recruitment Opportunities Options to recruit strategically –High school career counsellors –Post-secondary –Targeted / strategic messaging –Social media Focus on marketing agriculture – Diversity of careers available in the sector 15

Agriculture Industry Overview Agriculture Crops e.g. wheat, canola, vegetables Livestock e.g. cows, pigs, chickens Crops e.g. bakery, confectiona ry Livestock e.g. beef, hog, chicken Bio-industrial e.g. hemp fibre, cosmetics Primary agriculture or Farming Agriculture support services e.g. machinery dealer, agronomist, commodity broker, researcher, veterinarian Related industries e.g. logistics, transportation, farmer’s markets, retail Processing Beverage Processing, Vegetable Processing

Strategic Recruitment Opportunities Options to recruit strategically –Referral program –Partnerships with immigrant serving societies –Collaborative strategies with other businesses –Be unique in your advertising –Be strategic in your offerings Relocation assistance Assistance integrating into community Subsidized housing for the first few months Waive the waiting period for company benefits If you do not have company benefits look into getting these 17

Strategic Recruitment Opportunities Options to recruit strategically –We cannot compete with the higher wages in other sectors –So sell what you can offer Full time, year round work Work outdoors or with animals Opportunity for paid overtime Time in lieu for overtime worked, if you can manage this Opportunity to grow Training provided 18

Strategic Recruitment Opportunities Options to recruit strategically –If you have long term employees, talk to them What is it that keeps them with you? Why do they like the work? What drew them to the industry? Get these great people to be your recruiters –They know what they like about the job and the company so pay them to bring in someone they will be happy to work with. 19

Workforce Development Initiative 20

Grants for primary ag and food processing –Retention (50% up to $25,000) –Productivity Improvement (80% up to $25,000) Services –Coaching Initiatives –CAHRC, Farm Safety, Green Certificate Scott, Al and Gerard – 21

Questions? Gerard Bos