Bursaries designed to combat labour shortage in auto industry
British Columbia’s aftermarket automotive industry is predicting a critical labour shortage, with nearly one-third of the workforce leaving in the next five years.
With 55 as the average age of those working in the field, the 1,000-member Automotive Retailers Association of B.C. believes nearly half of the workforce will be gone in the coming decade with automotive trades suffering the greatest losses.
A 2017 labour market study done by the B.C. Auto Sector Alliance in conjunction with the provincial government says demographic trends, competition from other industry sectors, advancements in automotive technology and increasing business complexity are creating challenges for employers attempting to recruit qualified staff.
Affected industry sub-sectors include aftermarket parts, auto glass, auto recyclers, collision repair, mechanical repair along with towing and recovery.
The report estimates labour demand will increase by almost five per cent with the need for 2,234 new positions in the next four years. Most of the demand will be in the skilled trades.
The report concludes there is a growing need to attract, recruit and retain new workers to meet the challenge of finding qualified candidates for jobs. This will mean going outside the usual hiring practices and looking outside the automotive industry to attract potential candidates from competing industries.
As a response to declining numbers of people entering the trades and seeking apprenticeship opportunities, the Automotive Retailers Foundation began awarding $1,000 bursaries to people entering the trades who are registered in apprenticeship programs three years ago. Last year, there were seven recipients.
The bursaries were developed to aid low-income individuals earning $40,000 or less who are enrolled in a post-secondary automotive industry-related training program. While all students enrolled in an automotive-related program are encouraged to apply, priority in awarding bursaries is given to those who demonstrate the greatest financial need.
“It is important for the industry to invest in the people given the critical labour shortage that we see ahead,” says foundation president Ken McCormack, who is also president and chief executive of the Automotive Retailers Association of B.C.
He says applications for the seven available $1,000 bursaries have been slow to come in this year and the deadline is fast approaching.
For more information on the Automotive Retailers Foundation bursaries go to ara.bc.ca/foundation