Employment base still shifting; Knowledge-based businesses are taking over from the more traditional employers

BYLINE: Walter Cordery, Daily News

The computer revolution is bringing new employment opportunities to Nanaimo.

As this area's economic reliance on traditional employers and industries wanes, new knowledge-based employers are moving in to fill the void.

A glance at the city's top employers reveals that there is only one (the Harmac pulp mill) traditional resource -dependent employer that cracks the top 10.

"We are definitely seeing a trend towards more knowledge and high-tech employers in this area," said Carolyn Tatton, executive director of the Mid-Island Science Technology and Innovation Council.

"Traditional resource industries are on the decline and it's knowledge-based companies that are on the increase."

Tatton's organization recently surveyed its members and found that high-tech firms are increasingly looking for skilled workers.

"We see no end to the growth for our members," she said.

Most of the companies in the knowledge-based sector are small but two (RMH/NCO Teleservices and Shaw Cablesystems) are among Nanaimo's top 10 employers, according to the city's 2008 economic community profile.

RMH/NCO employs 1,100 people (ranking third in the city), with Shaw at 475 workers (ranking eighth).

Greg Scollon, regional manager at Shaw, said that number may even be outdated as his company has been "hiring steadily, with no end in sight."

Scollon's region encompasses Central Vancouver Island and not just Nanaimo.

"We've got 621 staff members -- that's everything from field technicians, planning staff and customer services representatives," said Scollon. "We are always looking for more qualified people to join our workforce."

Shaw's implementation of a digital phone service has increased demand for technicians and other highly skilled people, he said.

"We offer very good-paying jobs. People start at the $16-per-hour range and that's for entry-level, front-line staff."

He said that was a fairly standard starting wage for his industry.

Being in Nanaimo and having access to graduates from Malaspina University-College helps Scollon when it comes to recruiting new employees.

"Absolutely the number of qualified staff in this region has not dried up yet."

Shaw's Nanaimo operation also houses a call centre, where technical service calls are placed if the main troubleshooting centre in Kelowna can't handle the number of calls.

"Most of our employees do work out of Nanaimo," he said.

Access to qualified staff is one of the biggest concerns knowledge-based business owners have, the MISTIC survey found.

Not only does Scollon hire Malaspina graduates, he hires many students.

"We do get many of our staff who start here right out of college but we also have part-time staffers who are attending college," he said.

From call centres to high-tech innovators, central Vancouver Island companies are in need of qualified employees.

"This is a real growth area of the economy," said Marilyn Hutchinson, Nanaimo's economic development officer.

"We aren't relying on the forest industry or other primary sectors like fishing anymore."

Hutchinson predicts the growth in knowledge-based employment will continue in the mid-Island, especially if Malaspina is granted full university status because it would become a magnet for students who may choose to live in this area after they graduate.

Though the majority of Nanaimo's top 10 employers are one branch of government or another, even public employers are looking for highly skilled workers, said Tatton.

"Every organization -- whether public or private -- these days relies somewhat on technology and all of them need services to support that technology," she said.

Hutchinson agrees.

It is obvious why some of Nanaimo's top 10 employers can be considered knowledge-based employers, said Hutchinson, pointing out that the list includes the Nanaimo-Ladysmith school district (2,100 employees), Nanaimo Regional General Hospital (1,600), Malaspina University-College (1,000) and the Department of Fisheries and Oceans Pacific Biological Station (250).

What is not obvious are the number of small, high-tech manufacturing firms that are becoming established in the area, said Tatton.

"In Nanaimo, we have a growing number of really good software manufacturers," she said, pointing out that many local knowledge-based companies service the fish farm industry.

"We have 52 businesses listed in MISTIC's directory, just in advanced manufacturing alone."

Besides having a diverse and skilled workforce, Nanaimo's climate and location is attracting these industries to the area.

"Our biggest selling factor as far as bringing businesses here is the lifestyle and also that the rents in this area are lower than they are in Greater Vancouver and Victoria," said Hutchinson.

One factor that is exciting to both Hutchinson and Tatton is that many of the knowledge-based companies that have opened shop in this area are relatively new.

Pointing to MISTIC's survey, Tatton said it found that "on average our members have only been in operation since 1992 and many of our members only started business in the past 10 years."

On average, MISTIC's members employ 22 employees and many of the companies (43%) are planning to make new investments into their businesses during the next three years.

Hutchinson said the slow but steady growth of knowledge-based companies is expected to continue in the mid-Island.

"Information has become valuable and we anticipate more and more knowledge-based employers coming here, which should help as the traditional resource sector jobs are on the decrease."

WCordery@nanaimodailynews.com

250-729-4229

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The Nanaimo-Ladysmith school district employs more people in Nanaimo than any other organization, 2,100 in total.

Following is a list of the remainder of the city's top 10 employers and the number of people they employed when the city's economic development office completed its profile of Nanaimo businesses in January.

Nanaimo Regional General Hospital (1,600 employees);

RMH/NCO Teleservices (1,100);

Malaspina University-College (1,000);

B.C. Ferry Services Inc. (658);

The City of Nanaimo (498);

Harmac Pacific Ltd. (495);

Shaw Cablesystems (475);

McDonalds (395);

Department of Fisheries and Oceans Pacific Biological Station (250).

Source: City of Nanaimo

Geography
Source
Nanaimo Daily News (British Columbia)
Article Type
Staff News