Forecast: Employment in Financial Services Sector in Canada

The employment in the financial services sector in Canada has shown a fluctuating trend between 2013 and 2023, with volumes standing at 1.77 billion hours in 2023. The period from 2013 to 2023 has seen periods of both growth and decline, with key events such as a 3.63% drop in 2017, a 3.9% decrease in 2020, and a notable 6.09% rebound in 2021. However, the overall Compound Annual Growth Rate (CAGR) for the five years leading up to 2023 is a modest 0.19%, indicating a relatively stable job hours growth on average.

Looking forward, the forecast from 2024 indicates a gradual decline in employment hours in the financial services sector, with a CAGR of -0.43% over the next five years, anticipating volumes to reduce to 1.72 billion hours by 2028. This projected trend suggests there could be underlying structural adjustments within the industry, signaling a contraction phase or efficiency-driven reductions in workforce hours.

Future trends to watch for include the impact of technological advancement and automation within financial services, the potential for remote work to alter traditional employment hour metrics, and the broader economic conditions influencing financial markets and their demand for employment. Adapting skill sets and workforce competencies will be critical to aligning with the evolving demands of the sector.