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A separate survey found that nearly one in 10 workers (nine per
cent) have been asked to take on a lower role. In terms of gender,
11 per cent of male professionals were demoted versus eight per
cent of women. Employees ages 35 to 54 (10 per cent) were down-graded
positions more often than those ages 18-34 (nine per cent)
and 55 and older (seven per cent). Additional findings:
■■ HR managers at companies with 1,000 or more employees were
most likely to have seen a worker demoted (83 per cent).
■■ While 52 per cent of professionals who were downgraded
positions tried to handle the news as gracefully as possible, 40
per cent got upset and lost interest in work and 18 per cent quit.
■■ Male employees (23 per cent) and those ages 18 to 34 (28 per
cent) most often resigned in response to being demoted.
“However difficult it may be to move into a lower position, it
can also be an opportunity for workers to re-evaluate what they
really want out of their careers,” said Koula Vasilopoulos, a dis-trict
president for OfficeTeam. “By understanding the basis for the
demotion and focusing on professional development and growth,
employees may find greater job satisfaction and better position
themselves for advancement in the future.”
SALARIES EXPECTED TO INCREASE BY
2.6 PER CENT IN 2019
Employers in Canada are expecting salaries to rise by an average
of 2.6 per cent in 2019, according to Morneau Shepell’s annual
survey of Trends in Human Resources. This is consistent with the
actual 2.6 per cent average increase in 2018. The national fore-cast
for salary budget increases for 2019 includes expected salary
freezes, with 4.6 per cent of respondents expecting a zero-salary
budget for 2019.
“Employers remain relatively confident about compensa-tion
expectations in the coming year,” said Anand Parsan, vice
president, compensation consulting. “Those expecting healthier
financial performance in the coming year outpace those expect-ing
worse performance by six to one. In the face of this optimism
and a labour market with no slack, however, employers remain
guarded about salary increases, perhaps reflecting anxiety over the
possibility of more trade protectionism, rising interest rates and a
Canadian economy operating close to its capacity.”
The expected 2.6 per cent increase is consistent with the current
rate of inflation. In July, the Bank of Canada noted that consumer
price index inflation is expected to rise to about 2.5 per cent, before
settling back to 2.0 per cent by the second half of 2019.
Employers in Québec and Ontario are expecting salary increases
of 2.6 and 2.5 per cent respectively, while salary increases in other
provinces ranged from 2.3 to 2.6 per cent.
“Given the tight labour market and aging population in Canada,
now more than ever, employers are challenged to attract, retain
and motivate their employees,” said Parsan. “With limited funds
to spend on salary increases, employers need to take a step back
and look at the entire picture. Compensation needs to be viewed
from a total rewards perspective and not in a piecemeal fashion.
Intangible items such as flexible work arrangements, health and
wellness, coaching and mentoring, learning and advancement
opportunities and special recognition programs might be the edge
employers need in the war for talent.”
FORTY-ONE PER CENT OF EMPLOYERS IN CANADA
REPORT DIFFICULTY FILLING POSITIONS AS
EMPLOYERS STRUGGLE TO FIND WORKERS WITH
THE RIGHT BALANCE OF SOFT AND HARD SKILLS
Forty-one per cent of Canadian employers report difficulty fill-ing
jobs, according to the ManpowerGroup 2018 Talent Shortage
Survey. Skilled trades are the hardest jobs to fill in Canada followed
by sales representatives and drivers. At a time when organizations
face a tightening labour market and the lowest unemployment
IN TERMS OF GENDER,
11 PER CENT OF MALE
PROFESSIONALS WERE
DEMOTED VERSUS EIGHT
PER CENT OF WOMEN.
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