The perfect storm of economic expansion, declining birth rates and ageing of the workforce in many industries across British Columbia has hit the mineral exploration and mining sector hard, just as it is experiencing significant growth. The lack of skilled workers has the real potential to threaten the economic and social contributions made by this sector to B.C.  

Canada’s mining sector, which is growing at twice the rate of the economy, has forecast a shortfall of 92,000 workers in the next decade.  The situation in British Columbia’s mineral exploration and mining sector, which includes service and supply companies, is even more acute, with an estimated need for 15,000 additional workers over the same period. The situation is described well in the following quote:

“The #1 challenge facing Teck Cominco is the pending labour shortage; almost 50% of Teck’s labour force will be eligible for retirement in 5 years.” Donald Lindsay, President and CEO, Teck Cominco Limited

The mineral exploration and mining sector in British Columbia has experienced a strong resurgence over the past six years with an increase in exploration expenditures soaring from $29 million in 2001 to $416 million in 2007. There are more than 700 mineral exploration projects underway and over 30 new mining projects are proposed. This growth rate is expected to continue well into the future as the world’s demand for commodities rises to unprecedented levels.

The B.C. mining industry, the safest heavy industry in the province, includes the 20 major operating coal, metal and aggregate mines. The B.C. mineral exploration and mining sector impacts directly, and indirectly, over 100,000 jobs in the province – almost 1 in every 20 jobs. A lack of skilled workers threatens the significant economic contributions from the B.C. mineral exploration and mining sector.

The shortage of skilled workers in the B.C. mineral exploration and mining sector is further exacerbated by the province’s strong economic growth, competition from other sectors for workers with similar skills and the under-utilization in the workforce of women, Aboriginal youth, persons with disabilities and immigrants. 

It is clear, that without pre-emptive and concerted action on the labour shortage issue, the B.C. mineral exploration and mining sector will suffer, and correspondingly so too will the B.C. economy. 

In response to this urgency, industry leaders established a BC Mineral Exploration and Mining Industry Labour Shortage Task Force. The Task Force, with assistance from Service Canada, brought together senior business leaders, union and Aboriginal representatives, industry associations, training and education providers and government agencies.