2016 Tech TalentBC Report

March 2017

Our Vision

for top global talent.

a go-to destination

To establish BC as a globaltop 10 tech ecosystem and

This report assesses the demand and supply of human capital among 32 occupations comprising BC’s thriving tech sector, to address employer concerns about talent shortages constraining growth.

Purpose & FormationObjective

SourcesPrimary Data 11 surveys, 5 subsector committees, 5 workforce committees, 27 key informant interviews

Secondary DataBC Stats, Stats Canada, LMO, LFS, BC Headset, BC Tech Jobs, Partner resources, Other

This report is part of a Sector Labour Market Partnership (LMP) program supported by:

Produced in partnership with:Partners

Constrained Growth Scenario: 165,500

We forecast the development of about 16,500 new tech jobs between 2016 - 2021. However, the demand for employment from BC’s tech companies is nearly 3x higher.

Key Findings

Expanded Growth Scenario: 196,000

BC’s tech sector will be able to support 47,000 new jobs by 2021, representing 30,500 additional, unmet jobs (on top of the 16,500 in the constrained growth scenario).

To support the 30,500 additional job openings,

BC will require access to new, key sources of talent by 2021:

12,500 new entrants

(new graduates) to fill entry-level roles.

8,500 Immigrants

to fill key senior-level or specialized roles.

9,500 other workers

(reskilled workers, career transitioners, and under-represented groups) to

fill key roles.

Computer programmers, Software engineers, Graphic designers, Systems analysts, QA UX/UI designers, civil and electrical engineers, computer/network technicians, technical sales specialists and business managers.

BC tech’s top in-demand occupations

BC's tech sector reached approx. 149,000 jobs in 2015 and is on pace to grow to 165,500 or 196,000 by 2021 under two possible scenarios:

BC Tech Sector Overview

BC’s tech sector includes a wide array of industries and regions across the province.BC Tech Scope: Subsectors and Regions

Information and Communications Technology (ICT)

Lifesciences (LS)

Interactive and Digital Media (IDM)

Cleantech (CT)

Engineering Services (ES)

Source: KPMG British Columbia Technology Report Card, 2015 Edition

Distribution and Growth of CompaniesIn a sign of progress, the number of companies growing from small to medium and large sizes has increased.


Over 80% of tech companies in BC are considered small (<10 employees)

Grew by 17%

Grew by 18%

Grew by 14%

Companies with<10 Employees

10-19 Employees

20-49 Employees

50+ Employees


Tech Sector Revenue & EmploymentWhile BC’s tech sector revenue growth has increased by a CAGR of 6%, the future demand for tech talent will outpace the current growth of the sector’s employment rate.

Top occupationsby 2015 include:

Employment Composition & Top Jobs

Technical and specialized roles

comprise the largest current and anticipated portion of hiring needs.


As the province shifts to a knowledge economy, successfully scaling BC’s strong base of tech startups into globally competitive anchor companies is of critical importance to the province’s future prosperity. Talent Fuels the BC tech sector. Building a solid foundation of human capital, whether home grown or globally sourced, is among our critical success factors.

Our Opportunity

– BILL TAM, President & CEO BC Tech Association

“

”

Tech Labour Demand & Supply Forecasts - 2016-2021

New entrants: 40%(New graduates from post-

secondary institutions)

Other local talent: 31%(Talent sourced from other local supply groups, including underrepresented groups and career transitioners)

Immigrants: 29%(Talent sourced from outside of Canada)

Employment in Key Sources of Talent

Forecasted supply by source12,500 tech jobs + 4,000 non-tech jobs

Forecasted labour demand

As is, BC Tech is on pace to grow to 165,500+ jobs by 2021, adding 16,500+ net new jobs at a CAGR of 1.8%.

Employment Demand & Supply Forecasts - 2016-2021

The Constrained Growth Scenario

6,500from new entrants

5,000from immigration

5,000from other local supply


With rapid expansion, BC tech will grow to 196,000 jobs by 2021, growing at a CAGR of 4.7% and requiring an additional 47,000+ workers.The Expanded Growth Scenario

~19,000from new entrants

~13,500from immigration

~14,500from other local supply

Forecasted supply by source36,000 tech jobs + 11,000 non-tech jobs

Forecasted labour demand


Approximately 5,000 jobs will go unfilled per year, totaling nearly 30,500 unfilled jobs by 2021.

Meeting unmet demand for talent

Labour CompositionTo meet the demand of 35,000 jobs, the tech sector will require:

12,500new entrants

8,500immigrants

9,500other local supply

To meet the talent shortage, BC will need to boost supply from key sources of talent.

Examining Supply Source Challenges

Supply Challenges from Talent Sources

New entrants(New graduates from post-

secondary institutions)

Other local talent(Talent sourced from other local supply groups, including underrepresented groups and career transitioners)

Immigrants(Talent sourced from outside of Canada)

Enrollment Numbers

Job Readiness and Skills Development

Co-op and Experiential Learning


Challenges: New Entrants40% of roles sourced are in the new entry segment, indicating a need for ongoing and annual supply of graduates from PSE institutions.

Capacity in engineering and tech programs has not been keeping up with interest, only 65% of applicants admitted between 2011-2015. In 2013 only 17% of BC undergrads pursued a degree in tech, less than Ontario and Alberta.

Tech employers rank the quality of new grads' technical skills favourably, where as interpersonal and communications skills have room to grow.

Of the top tech-related university disciplines (Engineering & Tech and Mechanical & Electrical Engineering) had co-op placements with participation rates over 50% from 2010 - 2014.

Raseel Sehmi

Which is better? Slide 15 or 16? Choose one concept.

Sourcing channels

Wait times and unclear instructions

Job readiness & workplace integration


Challenges: ImmigrantsStreamlining immigration pathways would help all sub-sector companies source skilled talent for to mid to senior level and specialized roles.

The top immigration channels used are Express Entry, BC Provincial Nominee Program and the Temporary Foreign Worker Program.

Average wait times is four to six months and 20% of companies report seven months or longer.

High ratings for technical skills and job performance but there is room to grow in interpersonal skills, ramp up time and cultural fit.

Challenges: Recruiting and Retaining Talent in BC


Lack of Mid & Senior level talent

an issue for 60% of companies yet makes

up only 20% of recruitment needs.

Local Compensation rates are an issue.

Average weekly wages have increased in the BC tech sector to the

second highest in Canada.

Salary competition from other jurisdictions

is driving up local salaries and hindering recruitment

from other major tech centres.

Brain Drainis taking place.

Approx. 30-50% of 2011 graduates in tech and engineering worked

outside BC and Canada.


Challenges: Other Local Talent

Career transitioners require retraining and upskilling initiatives to transition into the tech sector.

Women represented only 15-20% of BC's tech labour market from 2006 - 2015 -- lower than the Canadian average of 45%.

Many demographic groups are underrepresented in the tech sector and must be better supported and trained to enter tech careers.

First Nations aged 18 to 65 represented represented less than 1% of BC's workforce, as did individuals with disabilities.

RecapFor each of the labour sources, there are large gaps between what BC is on track to produce and what is needed by the tech sector.

Individuals entering the sectormust possess a practical blend of technical and ‘soft’ skills to provide value to organizations.

Meeting the accelerated employment demand

of BC’s tech sector requires the following additions by 2021:

12,500 new entrants

(graduates) to fill entry-level roles.

8,500 Immigrants

to fill key senior-level or specialized roles.

9,500 other workers

(reskilled workers, career transitioners, and under-represented groups) to

fill key roles.

Increase the capacity of post-secondary programs to produce additional graduates each year in tech-relevant programs as well as non-tech programs.

Increase the supply of immigration and foreign workers for senior level and specialized roles.

Increase investment in retraining initiatives, enabling the transition of local non-tech and underrepresented groups of workers to the tech sector.

Increase investment and significantly expand co-op and experiential learning opportunities for all post-secondary and K-12 tech programs.

Increase investment in pre- and post-arrival skills development programs for foreign talent.

Our Call to Action

Thank [email protected]