By RCCAQ
Robert LaGarde
Every two or three years, the Coalition pour la promotion des professions en assurance de dommages conducts a survey to draw up a profile of the workforce within damage insurance companies in Québec. Here are the results of the 2017 edition.
The 2017 survey, which covers the years 2017 to 2019, once again shows the major staffing needs for the four job categories: brokers, agents, claims adjusters and underwriters. According to Robert LaGarde, president and CEO of the Coalition, “This year’s results are similar to what we have seen since the Coalition was formed in 2002. Every year there are pressing needs, and this year is no exception, with 5,300 positions needing to be filled by the end of 2019. So, succession planning is more important than ever!”
A historically high number of departures in the industry
This figure of 5,300 vacant positions is impressive, and is even slightly higher than at the time of the previous survey in 2013 (which anticipated 5,169 hires for 2014, 2015 and 2016). What was surprising, though, was the number of departures in the past three years. Indeed, 3,640 employees left their jobs, either to retire or to switch to another career in the industry or another sector of activity.
To get a better understanding of the categories of positions that the 5,300 newly hired employees will fill, the Coalition also asked companies to indicate how many employees they anticipate will leave their ranks over the next few years. More specifically, the Coalition wanted to know what proportion of these new employees would be hired to replace departing employees and what proportion would be hired to fill newly created positions. It turns out that nearly 60% of the employees that companies expect to hire in 2017 and 2018 will be for newly created positions. According to Mr. LaGarde, “This shows robust optimism. Executives, expecting their businesses to grow, are planning to hire new resources accordingly.”
The particular situation of brokers
Brokers’ needs are even more urgent. In fact, 2,090 of the 5,300 job vacancies are for broker positions. Moreover, a greater proportion of brokers left their jobs (to retire, to take on a new challenge in the industry or to switch to another field) than the other three professions; the number of departures peaked at 681 in 2016, accounting for 49% of the departures in the four job categories.
Solutions are within reach to meet needs
Faced with these growing needs, brokerage firms, like other companies throughout the industry, have turned to new strategies. In fact, roughly one out of every four companies that hired professionals in the past two years recruited at least one candidate who had immigrated here recently.
“When you realize that new immigrants will make up 17% of the Quebec labour force in 2021, you will understand that it is essential for the brokerage sector to head in this direction as well,” Mr. LaGarde stressed.
The Coalition is also very keen to explore this avenue of recruitment. On May 25 of this year, together with the City of Montreal, it participated in the launch of a program with the BINAM (Bureau d’intégration des nouveaux arrivants à Montréal). This program is aimed at facilitating the integration of newcomers into Montréal. Under this project, concrete action will be taken to quickly identify immigrants who already have a knowledge of damage insurance and to integrate them into the industry.
Young retirees also make up a highly promising pool from which to hire future employees. More and more, professionals are choosing not to retire all at once, opting instead to reduce their workload gradually. “Brokers who adopt this strategy are true godsends for firms!” Mr. LaGarde enthused. “They are familiar with the intricacies of the industry, and can act as both brokers and mentors for the next generation. They are very valuable resources, and the industry does not make use of them enough.”
Far too few firms plan their business succession
Even with such significant, challenging staffing requirements, firms should be much more vigilant and accommodating. According to the Coalition’s survey, only 32% of firms have taken measures to ease the transition to retirement. Even more surprisingly, 58% do not consider it appropriate to implement such measures!
This is therefore definitely an issue to which executives will need to devote serious attention.
The Coalition works on behalf of all industry stakeholders
In addition to this survey, the Coalition manages a wide array of initiatives aimed at promoting insurance professions.
The Coalition, which enjoys an awareness rate of 87% of the companies in the industry and has a mission that is still regarded as highly relevant, clearly plays a key role in the development and the future of our industry.
