Construction and maintenance activity in Nova Scotia underwent some fluctuations in 2023, with a slight decline observed. The sector experienced a notable increase in non-residential construction, but this was offset by a larger decrease in residential-sector activity. This adjustment is attributed to rising interest rates, which have dampened demand for new housing in the province, following a peak in investment levels in 2022.
Despite the challenges in the residential segment, activity in the non-residential sector remains robust. Strong growth has been observed across engineering construction and in the industrial, commercial, and institutional buildings sector.
BuildForce Canada has released its 2024–2033 Construction and Maintenance Looking Forward report for Nova Scotia. The report forecasts that residential construction activity will rebound after 2024 as interest rates stabilize, and it is expected to continue growing until the end of the projection period. On the other hand, non-residential activity is anticipated to reach its peak in 2025 before gradually contracting through to 2030 as major projects currently underway wind down.
Employment prospects are projected to improve over the forecast period. Residential employment is forecasted to increase by 2% above 2023 levels by 2033, while non-residential employment is expected to rise by 8%.
Bill Ferreira, Executive Director of BuildForce Canada, emphasized the need for the construction sector in Nova Scotia to address labor force growth to meet anticipated employment demands in the short term. He highlighted challenges such as increasing retirements and competition from other industries for younger workers. However, he expressed confidence that conditions would return to balance by 2025.
The report predicts that approximately 8,200 workers, or 22% of the current labor force, will retire from Nova Scotia’s construction industry by 2033. To meet rising employment demands, the industry will need to recruit as many as 10,600 workers by that time.
While the industry expects to recruit about 7,400 new workers aged 30 or younger from the local population over the same period, there will still be a gap of 3,200 workers that will need to be filled from various sources outside the existing labor force.
Duncan Williams, President and CEO of the Construction Association of Nova Scotia, noted the positive trend of increased registrations and completions in provincial apprenticeships, which bodes well for meeting future workforce needs.
The report also sheds light on the representation of women and Indigenous peoples in the construction industry. While the number of women employed in the industry has increased, they still make up a small percentage of the total workforce. Efforts to recruit more women and Indigenous peoples into the sector are underway to address this under-representation.
Trent Soholt, Executive Director of the Nova Scotia Construction Sector Council, highlighted the industry's commitment to building a more diverse and inclusive workforce. He emphasized ongoing efforts to recruit individuals from under-represented groups, including women, Indigenous peoples, African Nova Scotians, people with disabilities, and newcomers to Canada.
BuildForce Canada is an industry-led organization focused on supporting the labor market development needs of Canada’s construction and maintenance industry. The organization collaborates with key industry stakeholders, governments, and training providers to identify trends impacting labor force capacity and to support workforce development initiatives.
For more information, contact Bill Ferreira, Executive Director, BuildForce Canada, at [email protected] or 613-569-5552 ext. 2220. This report was produced with the support and input of various provincial construction and maintenance industry stakeholders and was funded in part by the Government of Canada's Sectoral Workforce Solutions Program.
For local industry reactions to this report, please contact:
Trent Soholt, Executive Director, Nova Scotia Construction Sector Council – ICI, at 902-832-4761.
Duncan Williams, President and CEO, Construction Association of Nova Scotia, at 902-468-2267.