Labor woes burn Canada miners as prices heat up
By Nicole Mordant
TORONTO, March 7 (Reuters) - Up to half of Canada's aging mining-industry work force could retire in the next few years, a minerals conference heard on Monday, alarming news for companies already facing a growing skills shortage.
A recent surge in metals prices has sparked a rush into exploration, expansion, and the launch of new projects, creating demand for geologists, mining engineers, geoscientists, fitters, electricians and truck drivers, among other skills.
But labor supply is short, the result of a 20-year recession in the mining industry until 2001 and negative public perception about the industry, which have led to a reluctance to consider it as a career choice.
Last week, it was reported that Bronzewing, one of Australia's largest gold mines, would not reopen because of an acute labor shortage. Several smaller, earlier-stage projects in other parts of the world have been delayed because of work overload and a lack of skilled staff at assay laboratories.
"We are seeing a critical shortage of skilled trades in our industry," said Paul Hebert of Canada's Mining Industry Training and Adjustment Council, a body that is conducting a study into the make-up and needs of Canada's minerals sector labor force.
According to early results from the survey, the average age of Canadian mining industry employees is 50. There is evidence that fewer young people are starting careers in mining, and mining-specific university courses are getting rolled into other disciplines.
A major obstacle to recruitment is the cyclical nature of mining. In times of strong prices workers are needed but as soon as prices turn, companies tend to lay off staff.
"We are saying let's not drive out our brightest and youngest as the cycle turns down," said Patricia Dillon, corporate relations manager at Teck Cominco Ltd., who is working with Hebert on the Canadian study. Hebert and Dillon were addressing delegates at the Prospectors & Developers Association of Canada conference in Toronto.
Another problem is the public's perception of mining. In 1994, a U.S. opinion survey done by Roper Research ranked mining as the worst perceived industry out of 24. It came in behind tobacco as the public equated it with pollution, avarice and exploitation.
John Meech, a professor in the University of British Columbia's mining engineering department, said schools have a role to play to change these perceptions. UBC has adapted its program to focus on environmental issues, sustainable mining, safety and the use of technology.
He said that the industry is its own worst enemy. "They always complain when there are shortages... but they treat human relations in their companies the same as they treat environmental issues. They only plan for the next six months," he said referring to the cycle of layoffs and hiring.
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