Canadian Job Market Set to Boom: Nearly 60% of Employers Plan to Hire

Frustrated job seekers may soon be in luck as a swath of openings are expected in the labour market.

Nearly 60% of Canadian businesses plan to increase their number of permanent positions before the end of the year, according to a recent survey from Robert Half Canada Inc. Additionally, 45% of hiring managers expect to be on the hunt for contract workers with specialized skills.

“Many organizations are ready to advance important business priorities, but successful execution relies on having the right skills in place,” said Koula Vasilopoulos, senior managing director of Robert Half Canada. “Employers are broadening their talent strategies, leveraging both permanent and contract professionals to access critical skills and keep strategic projects moving forward.”

Which Sectors Are Hiring Most?

The legal sector is expected to make the biggest push for new employees, with 75% of hiring managers planning to add staff this year. Meanwhile, 66% in marketing, 64% in human resources, and 59% in finance also plan to expand their teams.

This hiring surge comes as Canada’s unemployment rate has fallen every month since April, with June’s rate at 6.5%. Statistics Canada will release its July report next Friday.

“Following May’s exceptionally strong gain, hiring moderated in June, and the unemployment rate returned to where it began the year,” said TD Bank economist Maria Solovieva. “Pulling back the lens, Canada’s labour market has made modest, but positive progress over the past year.”

Skills Shortages: A Persistent Challenge

Despite the positive outlook, 53% of businesses are finding it more difficult to find people with the right skills. Skills shortages have resulted in project delays for 56% of hiring managers, while 48% had to cancel a project entirely due to a lack of necessary qualifications.

Technical skills, industry-specific knowledge, and leadership are the competencies most difficult for recruiters to find.

“Finding professionals with specialized, in-demand skills remains a challenge for many organizations, and employers are increasingly seeking flexible ways to address talent gaps,” Vasilopoulos added.

How Employers Are Adapting

When such skills aren’t available in the talent pool, 37% of managers prioritize “high-potential” candidates and invest in their development. Another 56% plan to seek help from staffing firms to access the specialized skills they need.

“A staffing partner can provide access to skilled professionals who can contribute quickly, maintain business momentum and support long-term future growth,” Vasilopoulos said.