Using Labour Market Information

What is labour market information?

The traditional definition of LMI refers to descriptive and statistical information about occupations, wage rates, unemployment rates, employment outlooks, education and training, and economic trends and conditions.

However, as LMI is becoming more essential to career development, its definition has expanded. LMI now refers to any information that is used for labour market-related planning and decision-making. This is an important change because it recognizes that LMI is part of the career planning process. As work and life become more intertwined, information about how the labour market works should be part of every stage of career planning.

Understanding the economy

Information about how the economy works is a major part of LMI. Developing economic literacy means learning about basic economic principles and terms and understanding how economic trends affect the labour market. As the world becomes more complex, you need to know about the economy so that you can more easily identify where there will be work opportunities.

The best place to start learning about the provincial economy is to use the provincial publication entitled A Guide to the BC Economy and Labour Market.

A Guide to the BC Economy and Labour Market

http://www.guidetobceconomy.org/

If you're planning to work in B.C., you need to know what kinds of jobs are available in the province, which industries are hiring new workers, and where you're likely to find an employer who needs someone with your skills and abilities. You should also know how B.C.'s economy is structured, which industries employ the most people, how the economy has been changing, and how it's expected to change in the future.

This LMI publication provides an engaging and understandable overview of the provincial economy for non-economists.

Every time you want to find new work opportunities or change career direction, you will have to use LMI. Being able to gather, analyze and apply LMI on your own is an important skill for successful career management.

There are many sources of LMI available. You can find thousands of web sites, publications, studies, and books about the economy and the labour market. With so many possibilities, individuals have to learn to navigate through all the possibilities and chart their own course based on their own needs.

Here's a process you can use:

• Identify the factors that have an impact on the labour market, and describe the various labour market information topics.
• Find the appropriate sources of LMI and gather facts related to each area.
• Analyse what the facts mean and then apply them to your career planning process.

The aspects of the labour market that this section covers are:

• Globalization
• Technology
• Demographics
• Occupational LMI
• Education & training LMI
• Industry/sector LMI
• Labour mobility and community LMI

With globalization, investment is easily moved across borders. International corporations and small businesses participate in a global marketplace where everyone is potentially a customer or a competitor. International economic and trade agreements and alliances also continue to reduce barriers to trade and investment.

Although many people disagree with the inevitability of globalization and worry about its effects on the autonomy of national economies, the reality remains that workers must understand how these forces affect their opportunities for making a living.

Research topics:

• How does globalization affect the community where you want to work? What companies are doing business in the global marketplace?
• What does it take for these companies to compete globally?
• What skills do you need to be able to work for these employers?
• What is the impact of globalization on your community and on you?

The application of technology in the labour market is constantly creating new occupations and new ways of working. It will continue to be a major influence in all areas of our lives.

Research topics:

• How is technology affecting your daily life?
• How is technology (for example, computers and telecommunications) affecting the area of work you are interested in?
• Do you have the computer skills that are required for the work you want to do?
• Can you use the Internet, e-mail, phone and fax effectively?
• Are you prepared to commit to continuous learning to keep up with changes in technology?

Canadian demographer David Foot believes that a demographic approach to career planning always involves analyzing the needs of the largest segments of the population. He suggests that when it comes to predicting behaviour, the most useful demographic variable is age. His book Boom, Bust & Echo provides many clues about where employment will be found in the future.

Research topics:

• What is the impact on work opportunities of an aging Baby Boomer (those born between 1948 and 1966) population?
• What effect is the Echo Generation (born between 1980 and 1995) having on the economy?
• What are the population characteristics of the community where you want to work? Is the population increasing or decreasing? What is the age and gender distribution? What is the rate of immigration?
• What does this information mean for the demand for goods and services and for work opportunities?

Remember that LMI related to wages, working conditions, vacancy and employment opportunities can vary a great deal regionally, provincially and nationally, so it's important to research occupations in the community where you are interested in working.

Research topics:

• What kinds of work and fields of study interest you?
• What skills and education do you need for the occupation, and what programs are available?
• What occupation(s) does this field of study qualify you for? What are the existing and expected employment opportunities overall for these occupation(s)?
• What are the wages and the working conditions? What are the skills and experience requirements expected by employers?
• How can you maximize your chances relative to others (for example, through volunteer or co-op work)?
• What are the opportunities for self-employment?

When choosing a training program, prospective students need to consider many issues.

Research topics:

• What is the difference between "education" and "training"?
• What is the difference between the various types of public post-secondary institutions in B.C.?
• What is the difference between public and private post-secondary institutions?
• What are the costs/benefits of the program you are considering?
• What kind of credential or certification will you receive from the institution?
• What programs and services are available to help you finance your education?
• Can you get credit for any prior learning (including learning acquired in non-formal settings)?
• Can you work and study at the same time?
• Is the program available by distance education?

Another important aspect of Education & Training LMI is the experience that former students and graduates had in their post-secondary programs. Check out the articles under Defining a Skill for information on student outcomes and graduate follow-up surveys.

Examples of economic industries are Tourism, Health Care, Forestry, Culture and Entertainment.

There is a difference between occupations and industries. There are many industries that make up the economy, and each industry is made up of a variety of occupations. Note that an occupation is what a person does, while an industry or sector is where a person performs that occupation. As an example, nursing is the kind of work (occupational area) nurses do, but they can perform that work in the health care industry (for example, hospital surgical nurse), in the education industry (school nurse) or in forestry (occupational health and safety nurse).

There are occupations that are specific to an industry, such as a miner to mining, but there are also many occupations found in all industries, such as clerical occupations. Perhaps the biggest confusion about the industry/occupation distinction concerns service occupations versus service industries. Workers in service occupations are not necessarily employed in the service sector. Cooks also find employment in logging camps and sales representatives work for manufacturing firms. But most workers in service occupations work in a service industry (as cooks work in accommodation and food services).

Many occupations are becoming less distinct. To be successful, workers will need to be able to acquire a variety of skill sets that they can apply to a variety of industries, and the skill sets they acquire could cross a variety of occupational areas. For example, a computer programmer may also need to know sales and marketing, plus accounting and finance, in order to work in a small high technology firm.

What is most important is knowing your skill sets and how you can apply them in the world of work. Nuala Beck, author of Excelerate: Growing in the New Economy, says that it doesn't matter what subject a person studies (or what skills he or she has), ". . . as long as you apply what you've learned in an industry that has a real future in the new economy." Of course, there is still work to be had in "sunset" or declining sectors, but workers in these sectors need to keep track of trends to be prepared to find new opportunities in other areas if necessary.

Research topics:

• What are the "sunrise" (growing) industries in the B.C. economy? What are the "sunset" (declining) industries? What is causing the growth/decline?
• How are globalization and technology affecting the industry you are interested in?
• What effect will demographic changes have on the industry?
• What is the history of the industry?
• What is the size of the industry? What is its projected growth?
• Who are the key people/leaders in the industry?
• Who are the major employers?
• What occupations/roles are in demand in the sector?
• Who are the customers/clients the sector serves?
• What involvement does government have in the sector?
• What skills, education and training are expected of workers in the sector?

People who move across provincial or territorial boundaries - particularly those who work in regulated occupations - sometime face delays, extra costs or other difficulties in having their qualifications recognized. This has the effect of preventing or restricting their labour mobility and their ability to work.

The Agreement on Internal Trade (AIT), which came into effect in 1995, makes it easier for people, goods and services to move across Canada. Chapter 7 of the AIT - the Labour Mobility Chapter - notes that any worker qualified for an occupation in one province or territory must be granted access to employment opportunities in that occupation in any other province or territory. This is particularly significant to Canadians who work in regulated professions (like medicine or engineering) or trades (such as machinists and industrial mechanics). Additional information on labour mobility in Canada can be accessed on the Internet at:

http://www.sdc.gc.ca/en/hip/hrp/corporate/labourmobility/ labourmobility.shtml

As well, the Working in Canada website has been developed to provide licensing requirements of regulatory bodies in all provinces and territories and other employment and relocation information. Workers can access this information at:

http://workingincanada.gc.ca

Community information

The more you know about the community and region where you want to work, the better the chances are that you will find work. Information related to work at the local level is called "community LMI." This includes local economic activity, potential employers, growing and declining sectors, and local services and programs.

Research Topics:

• What are the major sectors doing business in your community? Are they
  growing or declining?
• Who are the potential employers and what sector are they in?
• What skills, education and training do employers in your community expect?
• What are the seasonal employment trends in the community?
• What are the demographic (population) trends?
• What are the opportunities for self-employment?
• What education and training opportunities are available for you in the community?

Demographics: We're getting older

Facts: The B.C. population is aging due to the long-term historical decline in fertility rates. The number of births has decreased in the last 20 years, while the number of deaths has increased. The baby boom that occurred between the end of World War II and the mid-sixties helped delay the onset of the full effect of this aging. However, as these "boomers" reach retirement age, the aging of the population will accelerate. Source: BC Stats

What this means: A growing population contributes to economic growth and additional employment. An aging population creates demand for specialized consumer goods and services. For example, as they get older, Baby Boomers demand more services in health care, travel and recreation, and arts and culture. In addition, as this large group ages, there will be more retirements than ever before. This will create more job opportunities for younger people and more recent entrants to the labour market, especially those with the education and training required for professional and skilled trades occupations.

Facts: Self-employment has grown much faster than the pace of paid employment in B.C., as well as compared to the national average. Although the majority of employees work full time in B.C., self-employment is accounting for a growing proportion of overall employment in the province. Growth in self-employment reflects the dynamic and fast changing world of work. While self-employment is increasing in most occupations, there is a greater proportion in certain lines of work, such as construction, agriculture, and professional, scientific, technical and business services.

What this means: At some point in your career, you may wish to become self-employed. Self-employment means you need to develop the entrepreneurial and self-management skills to help you take advantage of the work opportunities that come your way. Those with years of experience and higher skills, education and training will have additional opportunities to work for themselves.

Facts: It is expected that of the total number of job openings projected to be available in upcoming years, more will result from replacement needs than from economic growth. This high rate of replacement will be mostly the result of the retirement of B.C.'s aging population.

What this means: Younger people who have had trouble breaking into the labour market will have increased opportunities as more jobs become available as a result of retirements.

Facts: Almost three-quarters of job openings generated by economic growth and replacement of retiring workers will require some form of education and training beyond high school. The unemployment rate for people who have not completed high school is almost twice as high as the rate for high school graduates and three times higher than for post-secondary graduates.

What this means: The knowledge economy puts a high premium on continuous learning. Most new jobs created will require some form of post­secondary education or training. Broadening your skills and acquiring more education and training will help you succeed in today's economy. It pays to stay in school, and workers need to keep on learning throughout their careers to be successful.