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Labour Market Snapshot February 2024

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February 2024

Labour Market Snapshot


Note to readers Labour market information (LMI) is actionable intelligence pertaining to the supply and demand of labour. It puts raw data into context and facilitates better decisions by employers, workers, job seekers, policymakers, educators, career practitioners, academics, students, parents, and more.

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LMI at Trucking HR Canada is prepared by our team of analysts using Statistics Canada census and labour force survey data, as well as qualitative and quantitative research directly from employers that fills gaps in the publicly available data.


Trucking and logistics labour market stabilizing in 2023 Introduction One of Trucking HR Canada’s top

In 2021, employment in the trucking and logistics

strategic priorities is to help meet our

sector hit a 10-year record high of almost 790,000

industry’s HR challenges by providing

as the economy rebounded following the severe

relevant, accurate, and accessible labour

response to the COVID-19 pandemic. Throughout

market information (LMI). Our quarterly

2022 and 2023, labour market pressures in the

reports provide data that is not available

sector started to ease. In 2023, employment

anywhere else along with in-depth

was less than 1% above the 10-year average

analysis by experts who understand the

at 752,200. While the number of vacancies for

trucking and logistics sector.

drivers is decreasing, employers are still wrestling with lower-than-average unemployment rates, indicating that the pool of experienced drivers seeking work is relatively small. This underscores

Trucking HR Canada is committed to bringing

the ongoing need to recruit and train brand new

you employment information and strategies to

drivers to meet the demand for trucking services.

help meet the demands of the changing supply chain landscape. We use these quarterly insights to keep our programs and resources up to date to help you build the skilled workforce your

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organization needs to thrive.


After a post-pandemic surge, Canada’s trucking and logistics labour market is stabilizing The COVID-19 pandemic shocked Canada’s

sector. Trucking HR Canada’s 2020 and 2021

labour market and it is still suffering from lingering

labour market research found that 60%–70% of

effects. Many industries suffered almost complete

trucking and logistics employers had to reduce

shutdowns and unemployment rates across the

hours or lay off workers during the first few months

Canadian economy spiked. The post-pandemic

of the pandemic but by mid-2020, employment

impacts are still playing out across the country,

rebounded, with total annual employment in 2020

with persistent labour shortages in health

sitting roughly at the ten-year average. As the

care, accommodation and food services, and

Canadian economy began to recover from the

construction, to name a few. The experience in

initial shock of the pandemic, the labour market

the trucking and logistics sector was somewhat

in trucking and logistics surged, with employment

different. Although demand for trucking services

across the sector hitting a ten-year high of

dropped off sharply in the first few months of

almost 790,000 in 2021 and vacancy rates for

2020, it surged later in the year as Canadians

drivers hitting record highs. By the close of 2023,

adjusted their purchasing patterns and the

employment in the sector was cooling with the

demand for food, fuel, medical supplies and

total number of workers at 752,200, less than 1%

personal protective equipment increased. The

above the ten-year average.

impact was significant in the trucking and logistics

900 880 860 840

EMPLOYMENT (‘000) IN CANADIAN TRUCKING AND LOGISTICS SECTOR, 2014–2023

820 2021 789.1

780

2023 752.2

760 740 10 Year Average 746.6

720 700 680

2014

2015

2016

2017

2018

2019

2020

2021

Graph Source: T rucking HR Canada, Statistics Canada Labour Force Survey, custom data request, 2023

2022

2023

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Employment ('000)

800


Following a significant drop in employment in the

unemployment rate dropped from a high of 4.6%

trucking and logistics sector in the first quarter of

in March to just 3% in December, the lowest

2023, the number of workers in the sector surged

unemployment rate among trucking and logistics

through the last three quarters of the year, peaking

workers all year.

at 782,500 in November. At the same time, the

TOTAL EMPLOYMENT (‘000) AND UNEMPLOYMENT RATE (%) TRUCKING AND LOGISTICS SECTOR, 2023 3-MONTH MOVING AVERAGE

 Employment (‘000)  — Unemployment Rate March 4.6%

800

5.0 4.5

780

782.5

Employment ('000)

760

758.9

760.7

3.5

761.5

751.7

740

3.0

743.6

720

December 3.0%

728.9

726

4.0

2.5 2.0

713

711.8

1.5

700

Unemployment Rate (%)

775.2

774.2

1.0 680

Jan.

Feb.

Mar.

Apr.

Mar.

Jun.

Jul.

Aug. Sept.

Oct.

Nov.

Graph Source: T rucking HR Canada, Statistics Canada Labour Force Survey, custom data request, 2023

Dec.

0.0

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660

0.5


Drivers’ employment rose in the last two quarter of 2023 Employment among transport truck drivers

sharply over the last three quarters of the

increased over the course of 2023, averaging

year, settling at 3.5% in December. The lower

317,300 drivers. Unemployment of truck drivers

unemployment rate indicates a smaller pool of

peaked in April 2023, reaching 6.5%, but dropped

potential job applicants in the driver occupation.

TOTAL EMPLOYMENT (‘000) AND UNEMPLOYMENT RATE (%) TRANSPORT TRUCK DRIVERS, 2023 3-MONTH MOVING AVERAGE

 Employment (‘000)  — Unemployment Rate

400

7

April 6.5%

350

328.8

250

285.1

281

287.3

340.3

6

340.2

330.4

327.4

5

305

December 3.5%

4

200 3 150 2

100

1

50 0

Jan.

Feb.

Mar.

Apr.

Mar.

Jun.

Jul.

Aug. Sept.

Oct.

Nov.

Graph Source: T rucking HR Canada, Statistics Canada, Labour force survey, custom data request, 2023

Dec.

0

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Employment ('000)

288.7

349.5

Unemployment Rate (%)

300

343.7


Vacancy data for the third quarter could point to easing of the driver shortage Between Q3 2022 and Q3 2023, the number

estimated to have decreased from 8% to 5%.

of vacant driver position decreased by 6,765

This could signal an easing of the tightness in the

positions and the occupational vacancy rate is

labour market for drivers.

NUMBER OF VACANCIES AND VACANCY RATE (%) TRANSPORT TRUCK DRIVERS Q3 2022–Q3 2023

 Vacancies  — Vacancy Rate Q3 2022 8% 30,000

9 8

25,000

26,905

21,685

20,000

20,140

7 6 5

15,000 4 10,000

3 2

5,000 1 0

Q3 2022

Q4 2022

Q1 2023

Q2 2023

Q3 2023

0

Graph Source: T rucking HR Canada and Statistics Canada Labour force survey, custom data request and Table 14-10-0328-01 Job vacancies, proportion of job vacancies and average offered hourly wage by selected characteristics, quarterly, unadjusted for seasonality, 2023

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Vacancies

23,860

Vacancy Rate (%)

23,205

Q3 2023 5%


Fresh insights coming soon

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Trucking HR Canada is finalizing its updated labour market system and databases. In 2024, we will be publishing an updated comprehensive labour market outlook report. This report will showcase brand new labour market analysis and forecasts to 2030. The report will also reveal the results of THRC’s newest employer survey, highlighting the changing priorities, HR challenges and labour market outlook of Canadian trucking and logistics employers.


Trucking HR Canada’s labour market information initiative has the following reports available: × Labour Market Snapshot January 2023 × Labour Market Snapshot June 2023 × Labour Market Insights Special Vacancy Report August 2023 × Labour Market Snapshot November 2023 Want to stay informed? Subscribe to our newsletter HERE Follow us on X-TWITTER@THRCCanada | LINKEDIN-IN @trucking-hr-canada


For more information about this briefing or

When referring to the information presented in this

Trucking HR Canada, please contact us:

report, please cite Trucking HR Canada, or use

104-720 Belfast Rd.

the following reference:

Ottawa, Ontario

Trucking HR Canada. (2024).

K1G 0Z5

Labour Market Snapshot: February 2024.

(613) 244-4800

Ottawa: Trucking HR Canada.

theteam@truckinghr.com truckinghr.com

Copyright © 2024 Trucking Human Resources Canada All rights reserved. The use of any part of this publication, whether it is reproduced, stored in a retrieval system, or transmitted in any form or by any means (including electronic, mechanical, photographic, photocopying or recording), without the prior written permission of the Trucking Human Resources Canada, is an infringement of copyright law.


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