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This trend is forcing employers to increase wages to attract and retain workers. Even in the unionized setting there is a trend toward incentive programs, bonuses, or other variable pay to keep employees.(4)
How does Canada and its employers counter act this trend? Increasing fertility rates is not seen as a realistic possibility, previous programs to increase birth rates have been unsuccessful and it is too late for this strategy to have a serious impact...
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Immigration will help but it is likely to be only part of the story. Even if 400,000 immigrants were added per year Canada's population would still decline. Competition for immigrants will be fierce since all of the G7 countries are facing the same crisis. Part of the solution will have to be keeping older employees actively engaged in the workforce...
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