1. 1 PRESENTERS: Stephen Crocker, AHRC Board Executive Kelly Lendsay, President and CEO & Craig Hall, Chief Fulfillment Officer, AHRC Marie-Christine Bernard, Conference Board December 11, 2015 Indigenoushr.ca Employment Opportunities for the Indigenous Workforce in Major Projects

2.  Introductions  About the Aboriginal Human Resource Council  LMI Data Presentation – Major Projects  Implications and Applications of LMI Results  Indigenous Participation in major projects  Company Engagement  Adjourn Agenda Indigenoushr.ca

3. Aboriginal Human Resource Council (1998) Leaders in Indigenous inclusion Public-private social enterprise ISO certified Innovations in workplace learning Supply/demand orientation Workplace & partnership focused Indigenoushr.ca

4. Our orientation is with Canada’s large company segment Some of the Council’s Clients and Leadership Circle Members.

5. Our System Backbone: The Inclusion Continuum Indigenoushr.ca

6. Our Indigenous Inclusion System Helps Companies Engage With and Build Relationships with Indigenous People, Businesses and Communities

7. Indigenoushr.ca The Council’s 9- point Framework offers a way to understand and order the competencies that companies and organizations need to increase their engagements and relationships

8. Labour Market Project Update Employment Opportunities for the Indigenous Workforce in Major Projects 8 Indigenoushr.ca Data presentation Canada’s economy and major projects Data Implications and Applications

9. Welcome to Marie-Christine Bernard Associate Director, Provincial Forecasts 9 Indigenoushr.ca

10. With this project the Conference Board of Canada assessed labour market demand associated with Canada’s major resource development projects over the next 10 years We identified projected future job openings by occupation and by region This information can help inform Aboriginal leaders and policymakers to ensure that the Aboriginal labour force has access to the training required to take advantage of the upcoming opportunities in Canada’s resource sector Our analysis focused solely on labour market needs in resource extraction We did not include occupations related to the development phase of resource extraction projects Background Information on Research Project

11. The Conference Board compiled a list of close to 115 of Canada’s largest and most important proposed natural resource projects. Not a full list of every project that will move ahead over the next decade but they represent the majority of likely new major investment spending given current and expected market conditions. Value of the major projects In total, investment spending is estimate to be $342 billion over the next ten years. About $240 billion are energy related projects and will occur mainly in Alberta About $68 billion are mineral mines. $17 billion (energy and minerals) are in the territories. Major Natural Resource Projects

12. Investment Distribution by Region Source: The Conference Board of Canada

13. Investment on Major Projects by Sector Source: The Conference Board of Canada; Public Information Released by Companies

14. To derive labour demand, we estimated the economic impact of the major projects expected to get underway in the resource sector. We used our detailed econometric forecasting models for each of the 10 provincial economies and three territories to establish a forecast for the resource sector from 2015 to 2025. With a forecast for output in hand we were able to derive an employment forecast. We broke out the employment forecast in two groups: expansion and replacement demand. Finally we broke down the forecast results even further by estimating the demand for workers by occupation. Methodology

15. I will be presenting the results for Canada. We want to know where labour demand pressures are going to be felt. This will help to establish what trades and skills will be most in demand as a result of the expansion in the resource sector and the ageing of the workforce. Results

16. Results for Canada

17. Where are oil prices headed? WTI Crude Price, US$ per barrel Sources: Bureau of Economic Analysis The Conference Board of Canada. 46 % drop

18. Canada: Oil Production. (million of barrels per day) Source: Statistics Canada; The Conference Board of Canada.

19. Canada: Natural Gas Production. (billion cubic feet per day) Source: Statistics Canada; The Conference Board of Canada.

20. Metals and Precious Metals Prices (2015=100) Sources: The Conference Board of Canada ; World Bank.

21. Canada: Metal Mining Output has favourable prospects. (metal mining output, $2007 billions) Source: Statistics Canada; The Conference Board of Canada.

22. Canada: Non Metal Mining Output Expected to Rise Over Long Term. (non-metallic mineral mining output, $2007 billions) Source: Statistics Canada; The Conference Board of Canada.

23. Sources: Statistics Canada; The Conference Board of Canada. Canada’s Forestry and Fishing Sector Forecast ($2007 billions)

24. Canada: Extraction Employment Outlook, by Industry (in 000’s) Source: The Conference Board of Canada; Statistics Canada

25. Canada: Employment by Industry and Skill Level - 2014 Source: The Conference Board of Canada; Statistics Canada

26. Canada: Job Openings in the Resource Sector from 2015 to 2025, by Cause and Skill Level Source: The Conference Board of Canada; Statistics Canada

27. Canada: Top Occupations in the Resource Extraction Sector – 2015 to 2025 Source: The Conference Board of Canada; Statistics Canada Aged 55 or over ExpansionRetirement Other Replacement Demand Job Openings (sum) Occupation2015 to 2025 Skill 1. Transport truck drivers26%4432,574 7773,794C 2. Heavy equipment operators (except crane)22%6162,319 7773,712C 3. Underground production and development miners 13%1,5861,131 5563,273B 4. Senior managers - construction, transportation, production and utilities 33%6761,474 4112,560M 5. Managers in natural resources production and fishing 20%4671,166 5082,140M 6. Construction millwrights and industrial mechanics 22%2821,191 4251,898B 7. Heavy-duty equipment mechanics19%596 907 3501,853B 8. Geoscientists and oceanographers24%597 920 3281,845A 9. Financial auditors and accountants21%387 972 3801,739A 10. Logging machinery operators22%639 754 2891,681B

28. Canada: Top Occupations in the Resource Extraction Sector – 2015 to 2025 Source: The Conference Board of Canada; Statistics Canada Aged 55 or over ExpansionRetirement Other Replacement Demand Job Openings (sum) Occupation2015 to 2025 Skill 11. Supervisors, mining and quarrying20%549 640 2731,462B 12. Administrative assistants25%109 908 3021,319B 13. Accounting technicians and bookkeepers29%153 852 2451,250B 14. Chain saw and skidder operators29%427 497 1921,116C 15. Contractors and supervisors, oil and gas drilling and services 16%(385)1,029 4691,113B 16. Administrative officers21% 91 734 2521,076B 17. Industrial electricians21%259 586 2161,061B 18. Geological and mineral technologists and technicians 15%288 506 2531,047B 19. Purchasing agents and officers19%131 525 227882B 20. Welders and related machine operators16%132 510 227868B

29. Canada: Top Occupations in the Resource Extraction Sector – 2015 to 2025 Source: The Conference Board of Canada; Statistics Canada Aged 55 or over ExpansionRetirement Other Replacement Demand Job Openings (sum) Occupation2015 to 2025 Skill 21. Managers in agriculture49% 13 637 168818M 22. Petroleum engineers14%(50) 584 280814A 23. Mining engineers23%333 336 122792A 24. General office support workers21% 56 536 185777C 25. Accounting and related clerks21% 60 473 173705C 26. Forestry technologists and technicians19%177 363 159699B 27. Janitors, caretakers and building superintendents 31%123 449 127699D 28. Power engineers and power systems operators 19%122 383 166670B 29. Inspectors in public and environmental health and occupational health and safety 19%115 401 153669B 30. Petroleum, gas and chemical process operators 14%(368) 631 343606B

30. Employment in the resource extraction sector in Canada is expected to grow just 0.2 per cent between 2014 and 2025. The oil downturn is dampening the results. Most of the new 65,000 job opportunities in the resource extraction sector over the next decade are projected to come from workers retiring. Our long term outlook for occupations suggest that there will be demand for occupations in a diverse range of skills but the majority will require formal training or education. In many provinces, Aboriginal people are under-represented in the resource sector workforce. Conclusion for Canada

31. Questions for Marie-Christine On The Data Analysis 31 Indigenoushr.ca

32. Indigenous Participation in Major Projects 32 Indigenoushr.ca  Issues  Opportunities  Role of LMI  Strategies

33. Value of this LMI Data 33 Indigenoushr.ca  Highly useful information: An impetus for increased engagement and relationship building;  Multiple uses to stakeholders e.g. information helps guide training investments for ASETs, course offering for post-secondaries and engagement/recruitment plans for companies;  But, how to best leverage this information? Different strategies are needed…we need to drill deeper to probe this question using an example.

34. Encouraging Indigenous entry to Transport Truck Driver occupation: Roles of Various Groups 34 Indigenoushr.ca Company Roles: Leadership needed and Policy adoption Will and resolve – e.g. “Convince me to hire Indigenous versus new Canadians”; Both HR and joint venture approaches required; Engagement competencies required; Specific attraction campaigns needed (e.g. career information, employer branding, )

35. Encouraging entry to Transport Truck Driver occupation 35 Indigenoushr.ca Indigenous Organizations’ Roles Career awareness; Identify candidates (do they know who wants to become a truck driver?); Pre-career readiness – literacy etc., soft skills? Facilitate the application process; Support to companies and new hires? Funding to stay in school? Business support for ventures/ partnerships. Learning how to participate in supply chain.

36. Encouraging entry to Transport Truck Driver occupation 36 Indigenoushr.ca Education/Training Organization Roles The right program offer in place? Do they know how to attract Indigenous people to their programs? Right supports for students? To retain them? Establish training standards Manage the “pipeline of graduates”, aligning with demand

37. Pulling all the levers as once… 37 Indigenoushr.ca  First awareness… then engagement… then relationships need to happen;  The company needs a business case to hire Indigenous (in a major project context perhaps it’s the Indigenous content requirements for large business procurement. Also needs to align with company’s business cycle);  Indigenous small business or development corporations need to be ready for a partnership or joint venture. (issues include scale, business fit, complementary skills available).

38. Pulling all the levers as once…cont. 38 Indigenoushr.ca  In this situation there is a clear business case for the training facilities that provide truck driver training. So the issue is more about “access to training”;  The size and scale of the need for truck drivers suggests a need for coordinated strategies instead of each Aboriginal training organization trying to respond to this demand on their own.  Training and employment funds need to be aligned with needs. Pulling the funding levers is itself a challenge, requiring partnership development which requires pre- investment from all parties.

39. Perspectives on “Engagement” 39 Indigenoushr.ca  What does engagement mean in the context of Indigenous/non-Indigenous relations? – Company, Indigenous and Post Secondary Perspectives?  What do we mean by effective or successful engagement?  How will better engagements lead to better results in Indigenous employment, business development, participation in major projects, community wellness?

40. On Engagement… – Indigenous Perspective 40 Indigenoushr.ca “The companies we have been most successful with have taken the time to get to know us better. Just as we have got to know them as well. Good relationships whether it be for business, employment or social development reasons all hinge on discovering the similarities as well as the differences we share.” -- Dan Christmas, Long time Senior Advisor at Membertou First Nation.

41. On Engagement… – Company Perspective 41 Indigenoushr.ca “The economy is brutal in Alberta right now. Companies have had to make some radical changes, just to survive. Once active in Indigenous engagement, many companies are making severe cuts or eliminating entirely their Indigenous Relations Divisions or programs ” -- Stephen Crocker – 40 years in the workforce

42. On Engagement… – Post Secondary Perspective 42 Indigenoushr.ca “The linkages still aren’t there. Even if Indigenous people earn the learning credentials, where are the bridges to the companies that will employ them? As education attainments improve and we gain more graduates, where will they work? We grapple with career services and how they need to be delivered to meet the particular needs of Indigenous grads.” -- U of Manitoba Professor

43. Increasing Indigenous Participation in Major Projects 43 Indigenoushr.ca LMI Data offers an important piece of information which can be a catalyst for Companies, Indigenous organizations and Post-Secondaries to begin the process of building engagements then relationships; There is a need to further facilitate these engagements and these relationships -- a role the Council can play.

44. Closing Observation 44  Recently the Truth and Reconciliation Commission of Canada made a call to action setting three challenges for corporate Canada. Meaningful consultation, respectful relationships on major projects; Equitable access to jobs, training, education opportunities in the corporate sector; Provide education to management and staff on Indigenous history, training to gain cross cultural competencies Indigenoushr.ca

45. Discussion Q & A To learn more about workplace inclusion services and the Leadership Circle: Kelly J Lendsay, President & CEO klendsay@Indigenoushr.ca306 291 0424 klendsay@Indigenoushr.ca Craig J Hall, Chief Fulfillment Officer chall@Indigenoushr.ca902 665 2257 chall@Indigenoushr.ca Indigenoushr.ca