Canadian IT sector has unique problem: Low unemployment rate

By most accounts, having a low unemployment rate is a stellar mark that suggests the economy is going strong. But in parts of Canada, where the unemployment rate of the information technology sector is at all-time lows, it’s actually making it harder for people to find IT jobs, the Winnipeg Free Press reports.

According to the news source, a recent report shows Manitoba’s information and communication technologies sector had an unemployment rate of 2.4 percent. All over the sector, CEO were reporting well-stocked payrolls, while candidates with the proper job skills likely found it easy to get a job. However, the sector is now expected to surge even further, and many firms are wondering if there will be any skilled workers to fill the open positions, or if they’ll all already be employed.

The forecast growth has been attributed to the coming boom in mobile technologies, which will create new IT jobs all over the country. To prepare, the Information Communication Technologies Association of Manitoba (ICTAM) recently brainstormed, the result of which was a document that was written and based on a survey of hundreds of tech leaders.

Coming out on top as the biggest issue, the media outlet stated, was finding the best IT talent.

“Talent is working capital for the sector,” said Kathy Knight, the organization’s CEO. “The industry is entering a growth period and there is a shortage of the right skills.”

Karna Gupta, the president of the national industry group, agreed with Knight, saying that the problem won’t only affect Manitoba, but the country as a whole.

“Access to talent is the biggest struggle,” Gupta said. “Ten years ago, people from around the world came to study in Canada, the U.S. and the U.K. Typically, they would stay and contribute to those economies where they completed their studies. Now they are going back to their home countries where, in many cases, there is more intense economic growth.”

According to a separate report from ICTAM, nearly 1,500 IT firms can be found in Manitoba, with about 80 percent of these located in Winnipeg. Every year, the sector brings in roughly $800 million in revenue, and estimates show the sector directly supports goods and services exports that amount to more than $200 million per year.

All told, the industry contributes about $1.29 billion to the nation’s GDP, which is expected to grow as more IT jobs become available and product development surges.

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