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g more<br />

ns<br />

rowing demand for<br />

arket<br />

The report also found that most of the occupations that faced<br />

25-to-29 years<br />

shortages in 2005 were those that required a university degree.<br />

These included occupations in the natural and applied sciences, as<br />

well as several health, education and management occupations.<br />

45-to-54 years<br />

40% 50% 60%<br />

2005<br />

25-to-29 years<br />

Community College,<br />

CEGEP<br />

Trade certificate<br />

45-to-54 years<br />

There is increased recognition by governments that the key to<br />

sustained competitiveness, growth and prosperity is the ability of<br />

firms to innovate and adapt in a rapidly changing and highly<br />

globalized business environment. To thrive in such an environment,<br />

all sectors depend on high quality human capital as an essential<br />

source of skills, knowledge and ideas. Because universities are<br />

uniquely positioned to drive the formation of this type of human<br />

capital, the continued evolution towards a more innovative,<br />

knowledge-based economy will increase labour market demand<br />

for university-educated graduates.<br />

The growing recognition of the role of small- and medium-size<br />

enterprises in national economies also has the potential to drive<br />

growth in labour-market demand. Small, young, innovation-focused<br />

enterprises have the potential to grow rapidly, and university<br />

graduates are key contributors to the success of these enterprises.<br />

The OECD has recently highlighted how governments can facilitate<br />

Community College, CEGEP<br />

growth 2010 among SMEs by linking them with university knowledge<br />

and research flows, and ensuring they have access to highly skilled<br />

human capital. 25 A recent U.K. study shows that SMEs that attracted<br />

university graduates have been growing much more quickly than<br />

those which did not hire graduates. As governments in Canada<br />

continue to encourage innovation and growth among SMEs, labourmarket<br />

demand for the linkages, skills, and knowledge that graduates<br />

can offer will continue to grow. This situation is not unique to<br />

SMEs. In public and private enterprises of all sizes, taking innovative<br />

approaches to organizing the workplace and developing products<br />

and services is increasingly recognized as vital to improving<br />

productivity and staying competitive.<br />

Competitiveness will increasingly become a preoccupation of<br />

Total<br />

both the private and public sector in the years to come, as Canada<br />

Trades<br />

prepares for a demographic shift Proportion that of will employees see with baby a boomers retire<br />

university degree 2010<br />

from the workplace. From 2010 to 2030, the population over the<br />

Employment change 1990 to 2010<br />

age<br />

Services<br />

of 65 will double, resulting in greater demand for services–<br />

Clerical and<br />

financial, Secretaries social and health – to support this aging population. During<br />

that time, population growth alone will not generate signi ficant<br />

labour force increases, especially in the latter half of the period,<br />

to meet the demand created by this demographic shift. 26 Under<br />

Statistics Canada’s medium population growth scenario, there would be<br />

only eight percent more adults aged 25-to-64 over the next 20 years<br />

compared<br />

Professions<br />

to a 30 percent increase in this working age population<br />

in professors the past 20 years. For the Canadian economy to grow, the labour<br />

force -30% will need 0% to grow 30% in both 60% size and 90% productivity. 120% 150%<br />

Primary – Forestry,<br />

Agriculture, etc.<br />

Manufacturing<br />

Other Sales and<br />

Technical, administrative<br />

and health support<br />

Management<br />

Business and Finance<br />

Professionals<br />

Art, Culture and<br />

Recreation professionals<br />

Health Professionals<br />

Engineers and<br />

Applied Scientists<br />

Social and Legal<br />

Teachers and<br />

While the number of retirements overall will increase, the outlook<br />

for Canada’s economy is further exacerbated by the rapid increase<br />

in the number of highly experienced and productive graduates who<br />

Thousands employed aged 50 or older<br />

400<br />

300<br />

200<br />

100<br />

0<br />

FIGURE 30: The demand for knowledge workers is being<br />

driven by employment growth in occupations that typically<br />

require university education<br />

Source: Statistics Canada, Labour Force Survey<br />

FIGURE 31: Looking ahead, labour demands will grow further<br />

given the need to replace the number of people expected to retire<br />

800<br />

In 1990, just 270,000 of all<br />

working university graduates<br />

Graduate degrees<br />

700 were age 50 or older<br />

Bachelor's<br />

600<br />

By 2009, 1.13 million were<br />

50 plus – a 4.2-fold increase<br />

over 1990<br />

500<br />

1990<br />

1992<br />

1994<br />

1996<br />

1998<br />

2000<br />

2002<br />

2004<br />

Source: AUCC using Statistics Canada Labour Force Survey data<br />

Bachelor’s<br />

Graduate degrees<br />

2006<br />

2008<br />

By 2009, 1.13 million we<br />

- a 4.2-fold increase ove<br />

In 1990 just 270,000<br />

of all working university<br />

were age 50 or older<br />

AUCC<br />

Trends in Higher Education | Volume 1. Enrolment | 35

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