Community and Employer Partnership Plan
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1 Community and Employer Partnership Plan Employment Program of British Columbia Vernon Catchment (#53) Contact Information: Kim Lauritsen, EPBC Program Manager ext. 244 Leigha Horsfield, General Manager Community Futures North Okanagan ext rd Street Vernon, BC T F
2 Introduction Community Futures North Okanagan is a community-based, not-for-profit Corporation offering a comprehensive selection of business and employer services, employment assistance services, and economic development initiatives, as determined and required by local and regional communities. Community Futures North Okanagan has been involved in community economic development activities since 1985 and each service stream is aimed at assisting the communities of the North Okanagan to find local solutions to complex economic issues. The North Okanagan region is located in the north end of the Okanagan Valley and includes the population centres of Armstrong, Coldstream, Enderby, Lumby, Spallumcheen and Vernon. Each area is unique and offers its own strengths and challenges in terms of its labour market and employment opportunities. As a Contractor delivering services of the Employment Program of BC (EPBC) in the North Okanagan, the Community and Employer Partnership (CEP) Plan is developed annually to support the Ministry of Social Development and Social Innovation's Labour Market and Development Agreement Annual Plan at the local level. This plan is intended to increase the employment opportunities for unemployed British Columbians through the use of partnerships, shared information, technology, innovative processes, along with creative solutions and best practices Community Futures and its service partners have extensive and diverse mandates to deliver services in the North Okanagan that are aimed at addressing the economic needs of the specialized populations they serve. The CEP Plan reflects specifically the ongoing activities of Community Futures North Okanagan and aligns with the organization's Mission Statement which is "To assist the citizens of the North Okanagan to achieve significant improvements in permanent employment and sustainable development." Community Futures North Okanagan and its service partners have strong relationships and extensive networks in the communities they serve. This plan was developed in consultation with Kindale Developmental Association, Vernon and District Immigrant and Community Services Society (VDICSS), NexusBC, Okanagan College, the City Consultations were conducted through one-to-one interviews with key staff in each agency. The CEP plan reflects those activities and partnerships which serve to support employment through addressing specific labour market needs that are identified annually. More specifically, the plan focuses on how the WorkBC Employment Services Centre will address skills shortages, accessibility to services and labour market information, new economic and employment growth and services for specialized populations. 2.
3 The plan is available online to the general public, and reflects the ever-changing needs of residents and employers in the North Okanagan. The plan will be referred to and used as a basis for planning during regularly scheduled WorkBC Management, Partner, Job Developer and Communications meetings. Updates to the plan will reflect the immediate and changing needs within the labour market as a result of new initiatives brought forward through ongoing community consultation. The last section of this plan is designed to ensure that goals and planned activities remain an active part of the daily functions of the WorkBC Employment Services Centre in the North Okanagan. Clear targets, responsibilities, partnerships / community attachments to support activities and outcome reporting methods are outlined. The plan is designed to coordinate efforts to achieve the following goals: Establish channels to collect and disseminate relevant and timely labour market information Create inclusive approaches to respond to labour market issues through direct client services and collaborative partnerships with employers and key stakeholders Coordinate a system to ensure that clients, employers and the community have access to services and supports Create a comprehensive marketing approach that represents a broad range of strategies Establish diverse strategies and services to respond to the needs of specialized populations Coordinate a strategy to avoid duplication of communication to community and employers Maintain clear and measurable targets in order to evaluate the successes and future opportunities North Okanagan Labour Market Snap Shot In its entirety, the North Okanagan has a population of approximately 84,354 (census 2016). This is an increase of 3.8% since 2011, with most growth occurring in the Vernon area. This rate of population growth is significantly lower than the provincial average of 5.6%. 1.1% (Enderby) to 5.9% (Armstrong and Lumby). The North Okanagan represents the eighth largest population centre out of the 29 regions in British Columbia. Further demographic and labour market information for communities in the North Okanagan includes: Vernon Population (2016 est.): 40,116 Increase of 5.1% from 2011 Age demographic profile: 25-44: 8, % 45-64: 11, % 65+: 10, % Median Age: 46.0 Employment statistics: Labour force participation rate: 58.8% Median Family income: $56,211 (85.4% of BC median) Historical roots: Incorporated in 1892 with origins in farming and fruit growing. Area is 94.25km². Primary industries/sectors: Health care and social service Retail Service sector (food/ accommodation/tourism) Major employers: Interior Health Authority School District 22 Kal Tire Tolko Silver Star Mountain Predator Ridge Sparkling Hill Resort 3.
4 Coldstream Population (2016 est.): 10,648 Increase of 3.2% from 2011 Age demographic profile: 25-44: 1, % 45-64: 3, % 65+: 2, % Median Age: 43.6 Employment statistics: Labour force participation rate: 67.1% Median Family income: $77,860 (118% of BC median) Historical roots: Incorporated in 1906 with origins in farming and ranching. Area is 67.25²km. Primary industries/sectors: Forestry and sawmilling Ranching Local government Major employers: Tolko Lavington Planer Regional District N. Okanagan Okanagan College School District 22 Spallumcheen Population (2016 est.): 5,106 Increase of 1.3% from 2011 Age demographic profile: 25-44: % 45-64: 1, % 65+: 1, % Median Age: 44.3 Employment statistics: Labour force participation rate: 67.7% Median Family income: $59,391 (90.3% of BC median) Historical roots: Incorporated in 1892 with origins in farming and ranching. Large rural municipality of km². Primary industry: Farming Sawmilling Light manufacturing Major employers : Tolko Armstrong Division Rogers Foods Kohler/Maax Rapid Span Enderby Population (2016 est.): 2,964 Increase of 1.1% from 2011 Age demographic profile: 25-44: % 45-64: % 65+: % Median Age: 47.7 Employment statistics: Labour force participation rate: 53% Median Family income: $43,804 (67% of BC median) Historical roots: Incorporated in 1905 with origins in farming and forestry. Land area is 4.23 km². Primary industry: Farming Health care, social service Major employers: Splatsin First Nation North Enderby Timber Service Sector Armstrong Population (2016 est.): 5114 Increase of 5.9% from 2011 Age demographic profile: 25-44: 1, % 45-64: 1, % 65+: 1, % Median Age: 45.9 Employment statistics: Labour force participation rate: 60.1% Median Family income: $53,544 (81.3% of BC median) Historical roots: Incorporated in 1913 with origins in farming and ranching. Small rural municipality of 5.24 km². The City of Armstrong is completely surrounded by the District of Spallumcheen. Primary industry: Farming Service sector Major employers: (in neighboring Spallumcheen) Tolko Armstrong Division Rogers Foods Kohler/Maax 4.
5 Lumby Population (2016 est.): 1,833 Increase of 5.9% from 2011 Employment statistics: Labour force participation rate: 60.3% Median Family income: $52,803 (80.3% of BC median) Primary industry: Logging Farming Recreation Age demographic profile: 25-44: % 45-64: % 65+: % Median Age: 41.8 Historical roots: Incorporated in 1955 with origins in farming and forestry. Land area is 5.27 km². Major employers: Tolko White Valley Division/ Woodlands Tolko contractors InSite Seniors Care D&M Auto Recycling Castle Cheese The land area is 7, km 2. 5.
6 Traditionally, the economy of the North Okanagan had been dependent on forestry and agriculture for growth and expansion. However, during the 2000s, residential construction, retail and real estate became the driving industries of the economy. These industries are very dependent on a booming economy and, as such, following the 2008 became very challenging as consumer spending and construction stagnated. The rapid rise in unemployment in more stable industries (for example, manufacturing/wood processing), significantly impacted family income and in turn consumer spending. Close to a decade after the 2008 recession, construction, retail and real estate have again resumed their positive economic impact on the community. The region is characterized by a large number of small and medium-sized businesses. Ninety-one percent of all businesses in the region have less than twenty employees, and those considered large businesses (200+ employees) constitute less than 0.5%. There is migration to the region from professionals looking to establish their practices, which contributes to this statistic. The region has a higher unemployment average than the provincial average, but depending on the specific community, the rate may be even higher. The region also has a high self-employment rate especially in the service sector. Three out of four jobs in the North Okanagan are in the service sector. The unemployment rate for the region is included in the rate determined for the Thompson-Okanagan. This rate is currently 7.3% (April 2017) which is slightly lower 6). This is demonstrated by an Unemployment in the region is higher than the BC average and over 20% of the population relies on BC Income Assistance and Employment Insurance compared to a BC average of 16%. This rate of dependency on the social safety net creates strain on the local economy and social services. Youth unemployment is more than double the adult unemployment rate. Many young people continue to leave the region for education and employment opportunities in larger centres. Those who do obtain sustainable work quite often find lower paid positions and struggle to meet the relatively high cost of living. The largest age demographic for individuals in the region is between the ages of 45-64, with many individuals continuing to work and contribute to the knowledge base of the area. The median age is 45.8 years, among the highest in the province. More residents are over 65 years than there are school age children, and the 85+ category is the fastest growing age group at 6.4% per year. The school age population in the North Okanagan has reversed its downward trend recently going from a 4.4% decrease between 2006 and 2011 to a 1.4% increase between 2011 and Local schools have now been experiencing increases in enrollment as they expand classroom space and teaching staff. The percentage of the working age population (15 to 64 years of age) in the region is 4.3% lower than the provincial average, in large part due to a rapidly growing number of residents 65 years and over. While the number of people 65 and over increased by 3,435, the number of working age residents actually decreased by 490. force participation rates and a declining workforce. Going forward, it is expected that two-thirds of all local job openings will result from replacement demand. In the next ten years there will be approximately 3,500 more people leaving the workforce than young adults entering, resulting in skills shortages and recruitment challenges in certain sectors Canada Census data shows that migration from within BC and from other provinces represents the major driver of local population gains. The increase in population due to immigration totals 11% including 3.2% by visible minorities. Immigration of Syrian Refugees under the - ory. There have been only an Younger people have access to many quality public and private post-secondary institutions, however, the rate of high school to post-secondary transition directly from high school is one of the lowest in the province. 6.
7 Due to limited well-paying employment locally, a large number of residents have chosen to work in areas with plentiful oil and gas employment. However, due to the downturn in oil and gas prices over the past few years, many workers were laid off and have struggled to find local employment that pays similarly. Despite oil and gas prices remaining relatively low, economic activity in Northern oil and gas areas is now picking up. Housing options are also a major challenge in the North Okanagan. A much higher number of detached dwellings (64.2%) exist compared to the BC average (44.1%) while a lower number of multi-family dwellings (28%) are present versus the BC average (52%). One- and two-person households are the norm with relatively fewer larger households. Attainable housing matched to demand and income is limited in the current housing inventory. Affordable Housing has become an ever increasing problem for those moving to the North Okanagan as well as for current residents with limited income levels. This chart illustrates the rising cost for a one-bedroom suite and the decreasing availability of rental units. October Total Rental Units Vacant Units Vacancy Rates (%) Average Rents ($) , , , , Another significant challenge in the North Okanagan is the lack of childcare availability. A 2016 telephone survey of local daycares conducted by Community Futures North Okanagan found that very few childcare spots are available locally, and those that are get filled quickly. This, along with the high cost of childcare, places pressure on families to operate with only one source of income. The North Okanagan is considered to be well diversified in that there is no one dominant industry that employment relies upon. According to the 2011 Canada Census, the five sectors with the highest distribution of the local labour force are: Retail and Wholesale (12.7%) Health care and social services (11.3%) Manufacturing (11.1%) Construction (10.3%) Tourism/accommodation and food services (6.5%) The objective of the Okanagan Economic Development 2020 Labour Market Outlook study was to assess the current factors that affect the local labour market now, and to identify gaps that may persist until This study examined the top five occupations for which specific industries found it difficult to source skilled labour. These industries and related occupations are: Manufacturing Sector Welders and Related Machine Operators Structural Metal and Plate work Fabricators and Fitters Machinists and Machining and Tooling Inspectors Sales Representatives Wholesale Trade Graphic Designers and Illustrators Wholesale and Retail Trade Sector Retail Salespersons and Sales Clerks Cashiers Heavy Duty Equipment Mechanics Sales Representatives Wholesale Trade Technical Sales Specialists 7.
8 Finance and Insurance Sector Other Financial Officers Insurance Agents and Brokers Sales Representatives Wholesale Trade Professional, Scientific, and Technical Services Sector Computer Programmers and Interactive Media Developers Technical Sales Specialists Wholesale Trade Computer Network Technicians Sales Representatives Wholesale Trade User Support Technicians Accommodation and Food Services Sector Cooks Food Counter Attendants, Kitchen Helpers, and Related Occupations Light Duty Cleaners Food and Beverage Servers Chefs For the 2017/18 period, CEP activities will focus on three industries that are large in local scale and face the greatest difficulty in securing sufficient labour. These industries are Manufacturing, Retail and Wholesale Trade, and the Tourism, Accommodations and Food sectors. The 10 Major Employers in the Vernon Area Employer Employees Interior Health Authority 2,350 Tolko 1,100 School District 22 1,000 City of Vernon 600 Kal Tire 350 Silver Star Resort Predator Ridge Resort Sparkling Hill Resort Walmart 300 Approximate Real Canadian Superstore 300 Approximate 8.
9 There are a number of major development projects under way in the North Okanagan in 2017/18. BC Hydro Regional Headquarters - $23.6 Million and 120,000 sq. ft. Multiplex North facility - $11.5 Million BX Crossing - $12 Million, 86-unit residential housing development Parkwood Retirement Resort $18 Million and 150 units 78-lot development with 21 building permits issued The Hamlets $20 Million and 250-unit seniors housing facility Tanner Place 10-unit seniors housing project development Enderby Seniors Housing Society 36-unit seniors residential development Okanagan College Trades Facility $6.2 Million; will house multi-purpose trades shops for electrical, carpentry, plumbing, welding and pipefitting apprenticeship programs Restoration Lands Major renovation of a 450,000 sq. ft. manufacturing facility in Lavington, not utilized since 2008 Emerging Industries in the region include: Advanced Technology The outlook for the high-technology industry sector is extremely positive. In response to this growth, the Silicon Vineyard and Accelerate Okanagan were established to encourage future growth, support the development of advanced technology infrastructure, and provide a forum for high-technology businesses to network. The $35 million, 105,000 sq. ft. Okanagan Centre for Innovation has just opened in Kelowna and will house Accelerate Okanagan, an industry development organization. The province of British Columbia has launched the $100 million to the BC Tech Fund. 9.
10 Many tech businesses in Vernon have reported that their most recent hires have been from outside of the North Okanagan despite efforts to hire a local applicant. They report that Technical and Sales staff are the hardest positions to fill. Tech companies have recognized that Vernon has a competitive advantage over Kelowna in attracting IT professionals due to lower housing costs and recent advancements in high speed internet infrastructure, and it is seen Film The Okanagan Valley has become known as an established film production location. The North Okanagan community supports the film industry with assistance from the Okanagan Film Commission. The Okanagan Film Commission provides valuable resources and connections to the film industry, including a library with over 750 locations, as well as a crew membership database. Over the past three years, many movies have been filmed in the North Okanagan with big-name stars such as George Clooney, Anthony Hopkins, John Cusack, Christina Ricci, Wesley Snipes and others. Agri-tourism Agri-tourism represents a major area of economic growth and opportunity in the Okanagan. The importance of agri-tourism to the economy is demonstrated by the number of tourism visitors exposed to the plentiful scenery, recreation and lifestyle opportunities of the Okanagan who are inspired to return to live and invest locally. Based on these factors, it is clear that there is a huge opportunity to expand agri-tourism business in the North Okanagan. Community Futures North Okanagan provides workshops to local businesses on how to move their new businesses forward amid extensive government regulations tied to the industry. expanding in the region. This included the region implementing a hotel tax which has resulted in new revenues for spending. Community Futures North Okanagan is very active in local economic d Economic Development Advisory Committee. Together, local businesses continue to be surveyed to better understand the opportunities and challenges that can be supported by community economic development initiatives. Community Futures North Okanagan continues to coordinate Vision North Okanagan, an independent council of development plans and strategies. Information regarding current client needs is communicated to influential representatives of this group. This initiative also provides WorkBC Employment Services Centre staff and clients with up-to-date and local information on developments and future employment opportunities. There has been a continuing concern for economic development in our region because of fragmented political structures in the North Okanagan. This issue is now moderating and new political councils and economic development players are beginning to work more collaboratively together. This advancement in improved communication, cooperation and cross-boundary support can be largely attributed to the work of Vision North Okanagan and the attitudes of its participants. Business attraction to the North Okanagan has been difficult recently. This, coupled with a number of larger employers moving their businesses to the US or other regions, has resulted in a focus to support existing businesses to grow and diversify their products and services in order to offer more sustainable employment to the region. The focus of those working in economic development and the focus of the activities of the Community and Employer Partnership plan is to strengthen existing businesses and opportunities for more viable employment. 10.
11 Labour Market challenges and issues specific to individual North Okanagan communities: Vernon Lack of industrial land for expansion Rising 65-plus population leaving the workforce Limited employment opportunities for youth Coldstream Residential and commercial/industrial expansion is constrained by Agricultural Land Reserve Absence of a downtown core to attract new businesses, retail trade, accommodation, etc. Public transportation limitations Spallumcheen Lack of new business opportunities and few jobs for young people Shortage of qualified industrial workers Public transportation limitations Slower population growth Armstrong Shortage of new business opportunities and start-ups Few jobs for young residents Industrial and commercial development is restricted by the Agricultural Land Reserve Lack of year-round venues for Agricultural producers to sell their products Enderby Abundance of seniors and retirees and a small population of young residents Limited products and services provided by local business Lack of opportunities for young job seekers Public transportation limitations Development land supply is constrained by Agricultural Land Reserve High transport costs and the absence of rail transportation Lumby Significant public transportation limitations Slow population growth Difficulties for new business start-ups Continued slow growth due to limited growth in the Forestry sector 11.
12 Labour Market Challenges and Strategies - North Okanagan Summary of Local Labour Market Challenges: Higher general unemployment rate than provincial average Higher unemployment rate for specialized populations Income Assistance and Employment Insurance participation rates are higher than provincial average, including higher youth participation Education levels lower than provincial average Higher rate of retirement and aging population in region (negative natural growth) one in five residents are seniors Childcare is very hard to secure High number of job seekers are limited by mental health challenges Lack of skilled workers and limited training opportunities in some regional areas Lower wages than provincial average Unwillingness of lower-skilled workers to accept lower-paid, entry level positions Major industries such as tourism, hospitality and agriculture provide only seasonal employment Current housing inventory is expensive and in short supply Lack of public transportation between rural areas and larger centres Enhanced job creation is required to attract young employment-aged individuals and families to the region, especially those with entrepreneurial skills Need for job seekers to have access to timely employment services and accurate labour market information for future planning Regional collaboration required to attract and support emerging and existing industries Large percentage of small and medium-sized businesses requiring services to support growth Business retention and succession planning required to sustain current employment opportunities Significant lack of labour force for the Manufacturing, Retail and Wholesale Trade, and Tourism, Accommodations and Food sectors 12.
13 2017/18 Strategic Priorities Prepare job seekers for jobs in Manufacturing, Retail and Wholesale Trade, and Tourism, Accommodations and Food sectors by providing training, employer presentations and a job fair Create new programming for youth that addresses the gap in knowledge, training and skills that employers require Deliver employee recruitment and retention best practices to employers in major industries identified as having labour force shortages Promotion of specialized population job seekers to fill labour shortages through Customized Employment and Job Development Ensure specialized populations are accessing services and receiving personalized programming to support permanent labour market attachment Establish diversified and reliable channels for collecting and disseminating labour market information Ensure all EPBC services are marketed and accessible Enhance training opportunities in region by partnering with training institutions to develop new programming Work with all stakeholders to create opportunities for long-term employment in the region Identify opportunities to increase service utilization to rural communities such as Armstrong 13.
14 Design, Measurement and Evaluation of CEP Activities Activities and targets for the CEP are based on compiled labour market information, internal targets, Key Performance Measures and through other reports related to service utilization, client outcomes and feedback from EPBC staff working directly with clients. CEP activities are evaluated on an ongoing basis. Measured results are obtained through internal client surveys, focus groups, stakeholder evaluations and other feedback channels. Client Satisfaction All EPBC staff have a hyperlink in their signatures to the customer satisfaction survey Online and paper copies of surveys are collated, reviewed and assessed weekly All surveys include the option to have a Community Futures staff member follow up with the client for further feedback, questions or concerns Employer Engagement CEP quarterly reports provide targets for activities and track current progress Activities related to connecting with employers and industry associations in these reports correspond directly to the annual CEP plan strategic goals and priorities. Coordination with Other Community Service Providers An annual survey is distributed to other service providers and stakeholders in the community Results of these surveys are used to measure the effectiveness of current operations and guide the design of future enhancements The 2017/18 CEP plan is responsive to the ever-changing needs of employers, job seekers and overall regional economic development. 14.
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