Contractors struggle to keep up with Sault construction pace: new hospital, Essar Steel gobble up skilled trades.

AuthorRoss, Ian
PositionNEWS - Sault Ste Marie Construction Association

An immigration push by Sault Ste. Marie contractors and labour to attract foreign workers has attracted only a dribble of new recruits from the U.S.

A growth spurt across all construction sectors in the Sault has put a ton of pressure on local companies to supply mechanical tradespeople for out-of-town contractors working on a new hospital and industrial expansion at Essar Steel Algoma.

Understandably, the local industry is struggling to catch up.

The Sault Area Hospital construction project has been gobbling up plumbers, pipe and steamfitters, and the city's biggest private employer, Essar Steel Algoma, has aggressive plans to spend $160 million US to expand its production next year.

It includes a slew of new projects and upgrades, including a co-generation plant and coke oven work.

"It's a perfect storm, but a good one to have," says Sault Ste. Marie Construction Association manager Rick Thomas.

To address the critical labour shortage, Human Resources and Social Development Canada gave approval under their foreign worker program for more than 100 slots to be filled for construction projects in the Sault. An application was jointly filed by four companies and local trade unions.

As a way of protecting Canadian jobs, rules dictate it's an employer and program-specific application process. Foreign workers with temporary work permits can't be shuffled to other projects, and other companies.

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"We also knew if we put foreign workers into other slots, we would some free people up to go to the hospital from other sites."

The Sault applicants were granted 104 slots, but only a dozen have been filled. They were sourcing workers in northern Michigan where there are sister trade locals.

Inter-provincial regulations to improve labour mobility have not really improved the manpower supply situation.

"The average well-skilled pipefitter can have his choice of employment anywhere in this country."

The open call for labour in Alberta has made any recruiting efforts meaningless.

"We know who's scheduling work and we're not completely aware of what's going on in other parts of the country."

To try to close the gap on the skilled trades shortage, the local industry has resorted to the apprenticeship route. Fifty three new plumbing and steamfitting apprentices have started in the last two to three years in the Sault.

But it takes four to five years to create a journeyman. "That's one avenue to fight the problem but it's long-term payoff."

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