May’s numbers for investment in building construction from Statistics Canada show that Saskatchewan has seen a 21.2 per cent year-over-year increase in this category in March 2024 over March 2023 (seasonally adjusted), which ranks third in terms of percentage change among the provinces. This follows in the wake of the 19.4 per cent year-over-year increase that was recorded in February 2024 (seasonally adjusted).
“It is clear that people and businesses are more confident investing in Saskatchewan than ever before,” Trade and Export Development Minister Jeremy Harrison said. “Our construction sector is seeing this growth because of the deliberate efforts we’ve made to create a creative business environment industry can rely on. This unprecedented investment into the province is creating new jobs and opportunities in every corner of our province.”
In March 2024, investment in building construction totaled $392 million in Saskatchewan.
Investment in building construction is calculated based on the total spending value on building construction within the province.
A report released by Statistics Canada earlier in May indicates that the value of building permits in Saskatchewan increased by 15.8 per cent year-over-year for March 2024 compared to March 2023 (seasonally adjusted).
Private capital investment is projected to reach $14.2 billion in 2024, an increase of 14.4 per cent over 2023. This is the highest anticipated percentage increase in Canada.
This is an exciting time of year to be in our industry. Summer is nearly here, and the push is on to get out and construct all the projects you have been contracted to develop.
Seeing crews out on worksites doing what it takes to repair or build a road, replace pipes and other infrastructure underground or prepare a site for a future building is undeniable evidence of all that our industry does to support our communities and the provincial economy.
As I drive around – on roads our members built – I look around to see so much other infrastructure that requires heavy construction to exist: the sidewalk where pedestrians can safely walk; those lots being developed so more houses can be built in a subdivision that will welcome many more families to live in our city in a new neighbourhood that will flourish; those kids playing basketball on a court using materials donated by one of our members; families packed in a half ton that is pulling an RV headed out on the highway to a provincial park to make memories on a family vacation;
that rail line being used by that train carrying cars of agricultural commodities or manufactured equipment to other parts of the country where they will be used or to reach ports to export to other countries. I hear the planes coming into my city knowing they are going to land on the airport runway. I trust there will be a parking lot where I will park my vehicle when I arrive at my destination.
We built that. The members of our association are the ones who made sure high quality, durable infrastructure is constructed so other people living in our communities can enjoy a high quality of life.
This infrastructure makes travel easier and safer. Getting to school and work every day is possible because of the infrastructure that our members build and maintain. It prepares future stages of development so people have places to work and live.
While it is common for our industry to just get the job done and focus on ensuring it gets done well, I think there is value in stopping to consider just how impactful that infrastructure is in our daily lives and how significant it is to a functioning society.
There is so much for a person to notice and take pride in once we start looking for it. While those in the industry know it, let’s remind others of it too.
While you are working this summer on whatever project your crew is doing, remind people we built that – whether you are telling the employees at the hotel where you are staying, the restaurant where you eat or the gas station where you fill up. Not only do they get the benefit of this new infrastructure, but indirectly, they also benefit from the money your company is spending in their community as your crew moves in for the duration of the project. That indirect benefit helps to support their jobs and income.
Telling people which projects we are working on helps others who are not in our industry see that it is real people – not simply dollars and documents – who make infrastructure happen. Reminding other people of exactly what our industry builds and maintains and how that betters the lives of our family, friends and neighbours is an important message to deliver so the value of our industry’s work is recognized and appreciated.
In turn, this helps our message land more impactfully when we meet with governments who rely on us to construct the infrastructure they decide to build. Governments pay attention to the public who vote them into office. Having the public value our contribution to our communities helps reinforce what SHCA says to politicians.
I hope your summer is filled with solid projects that make a difference to the many people living and working in our province. Here’s to a safe and prosperous season ahead.
Highways Minister Lori Carr announced an estimated $57-million-project will resume construction this spring to twin segments of Highways 6 and 39 between Regina and southeast of Corinne.
“Work will continue on this important corridor to ultimately enhance the safety and efficiency of tourism, trade and commuter traffic,” Carr said. “Transportation infrastructure projects support our strong and growing export-based economy, which sustains our quality of life in our great province of Saskatchewan.”
The project includes nearly 15km of twinning on two Highway 6 segments:
One 7.8km long segment south of Regina between the Bypass and the Highway 306 turnoff; and
One 7.1km long segment north of Corinne on Highway 6 to southeast of Corrine on Highway 39.
Nearly 13km of the existing lanes of Highways 6 and 39 from north of Corinne to southeast of Milestone will also be repaved.
The two-year project began in 2023. It resumed in May and is expected to be completed this year, pending weather. Drivers can expect minor delays through work zones with one-way traffic. Flaggers will be present throughout construction hours to help guide the flow of traffic.
The stretch of Highway 6 from Regina to southeast of the junction of Highway 39 near Corinne has an average of more than 3,400 vehicles per day.
“We appreciate the patience and understanding of all motorists during this project’s short-term inconvenience for the long-term benefit to our highway system,” Carr said.
The federal government is contributing more than $27 million toward this project. The Government of Saskatchewan is funding the remaining $30 million.
“I am thrilled to share that, in 2023, the total injury rate was the lowest in the province’s recorded history,” said WCB chair Gord Dobrowolsky. “This only happened due to the combined efforts of workers, employers, labour and safety associations and safety leaders across the province.”
Under the requirements of The Workers’ Compensation Act, 2013, the WCB remained fully funded with a sufficiency ratio of 135.7 per cent in 2023. This means it has the ability to cover the future costs of all claims in the system.
“Our objective is always to ensure sufficient funds are available to meet required benefit levels and protect against unexpected claim activity or potential fluctuations in economic conditions,” said WCB CEO Phillip Germain. “The process for managing our funded position is based on our approved sufficiency policy. The sufficiency policy establishes a framework of guidelines, measurements and targets to achieve a fully funded status and sets the target range for the sufficiency ratio of between 100 and 140 per cent.”
As part of its annual reporting, the WCB provided financial highlights from its 2023 results, including:
The WCB covered 409,158 full-time equivalent workers in 2023, compared to 400,392 in 2022.
Claim costs were $223.4 million in 2023, up from $188.1 million in 2022.
The WCB’s sufficiency ratio was 135.7 per cent as of year-end 2023, compared to 136.5 per cent* in 2022. (*To reflect the changes in the International Financial Reporting Standards (IFRS), in 2023, the sufficiency ratio has replaced the WCB’s funding percentage. Prior to 2023, the calculation of funding percentage excluded the unrealized gains and losses on investments in the injury fund.)
Due to increased payroll, an increased maximum assessable wage rate and increased premium rates, the WCB reported premium revenues of $337.6 million in 2023, up from $304.8 million* in 2022. (*Premium revenues are restated for 2022 to align with the changes in IFRS 17.)
The WCB reported investment income of $172.6 million in 2023, compared to an investment loss of $132.1 million in 2022. In 2023, the investment portfolio had a return of 8.2 per cent at market, compared to a loss of 5.5 per cent in 2022. Investment income includes realized income and unrealized gains or losses on investments during the year and can fluctuate significantly year to year to reflect the change in the market value of investments.
“Through this $150 million, multi-year initiative, the WCB is engaging customers, partners and WCB staff in its journey to implement the changes that it believes are necessary to meet customers’ expectations now and into the future,” said Germain. “The program touches everything we do at the WCB and how we support our customers by modernizing every aspect of our service delivery models, technological tools, business processes, workplace culture and engagement with partners.”
When it comes to road safety, small changes can have big impacts: this is the conclusion of a research project led by Pedestrians Québec and the team of Marie-Soleil Cloutier, professor and director of the Pedestrians and Urban Space Laboratory at the Institut national de la recherche scientifique (INRS).
The project “On foot safely: developing the crossing of arteries” made it possible to analyze the effect of interventions aimed at making the crossing of arteries safer for pedestrians. Professor Cloutier, who is also director of the INRS Centre Urbanisation Culture Société, has studied the interactions between people walking and vehicles.
The professor was able to grasp perceptions of various safety issues, such as vehicle speed or motorists’ respect for the right of way. The data examined comes from collections in the form of observations and questionnaires on site, before and after interventions such as the removal of a traffic lane or the addition of a pedestrian shelter in the centre of a wide artery.
“Sometimes, relatively simple interventions can have concrete effects,” said Marie-Soleil Cloutier. “Over the course of the study, we documented an improved sense of security and a reduction in vehicle interactions. The verdict: it is not always necessary to plan major development works to improve cohabitation between the different populations using the road.”
Helping municipalities rethink their intersections
With the collaboration of the administrations of Montreal, Longueuil, Laval and Gatineau, seven intersections were observed, including four of them where interventions were made to modify the pedestrian crossing. Reading this data, Pedestrians Quebec’s message is clear: cities have the power to act to make their arterial roads more user-friendly and safer.
“Year after year, we see that arteries have the highest number of pedestrian deaths in Quebec.”
– Sandrine Cabana-Degani, Pedestrians Quebec
The project team has also created a series of fact sheets and video clips to present the results of the study and encourage municipalities to review problem areas.
“Year after year, we see that arteries have the highest number of pedestrian deaths in Quebec,” said Sandrine Cabana-Degani, executive director of Pedestrians Quebec. “Faced with this problem, our project aimed to study the existing solutions to make it safer to cross arteries. The results of this research will help equip municipalities that wish to take action. Because our arterial streets also need safety.”
Highlights
According to the analysis of road safety reports in Quebec, between 2015 and 2019, one in three pedestrian deaths occurred on a main artery
Before the interventions made during this project, less than 50 per cent of the pedestrians surveyed felt safe at major artery intersections
After the interventions:
There was a marked improvement in the feeling of not being pressed for time during the crossing
The number of pedestrians who found that motorists were driving too fast decreased
Pedestrian traffic light compliance increased at intersections with an arterial street
There were 50 per cent fewer interactions at intersections, i.e., occurrences where there was two metres or less between vehicle and pedestrian on the roadway
The federal government’s housing strategy is a long-awaited step forward to build more homes, but significantly more investment is needed to address critical infrastructure needs and the housing crisis, says Canada’s construction industry.
The federal government’s plan announced in this budget, as well as actions taken through the 2023 Fall Economic Statement, promises at least 1.2 million more homes for Canadians, on top of what the industry was planning to build. Yet, with estimates by the Federation of Canadian Municipalities showing that each new housing unit requires $107,000 in public infrastructure investment, an additional $128 billion is needed to build, support and connect these homes to essential housing-enabling infrastructure. This is a major shortfall in the investment needed. Moreover, the focus on measures to ease lending for homebuying and rezoning may only serve to exacerbate demand in the long-term with no real long-term vision on how to increase supply.
“Budget 2024 sets a bold objective to help Canadians buy homes but misses the mark on delivering sufficient investment and a plan to ensure a steady flow of funds to address our nation’s infrastructure challenges,” said Mary Van Buren, president of the Canadian Construction Association (CCA).
“While we acknowledge some initiatives, such as funding for creating affordable apartments, training and recruiting more workers, and upgrading water and wastewater systems, the conditions attached and lack of strategic vision are concerning.”
With growing demands to not only build more homes but also the inevitable requirement for the necessary housing-enabling infrastructure to connect these homes to the services they need, CCA says the urgency to collaborate with provinces, municipalities and the industry is more pressing than ever.
“We need investments in infrastructure that are made based on the real needs of Canadians – projects that are shovel-worthy rather than just shovel-ready,” said Van Buren. “This visionary and consultative approach is what Canadians deserve.”
Canada’s construction industry underscores the urgent need for the federal government to implement policies and incentives that support not only housing construction and related essential infrastructure, including trade-enabling infrastructure, but also investment and help bypass construction’s boom and bust cycle. This includes programs to build the workforce needed and construction projects that share risk so that innovation and investment is encouraged, not hampered.
CCA calls for a shift in federal strategy when it comes to infrastructure investment and housing affordability – one that aligns all orders of government and equips the construction industry with a supportive policy environment. Canada’s construction industry stands ready to collaborate with all levels of government and stakeholders to address these critical challenges and build a better future for all Canadians.
Heavy civil construction is filled with dedicated, hard-working and passionate individuals who take great pride in a job well done. While some outside of our industry might think heavy construction is only about paving, we know there is so much more happening when we look at the work done by our membership. That is why we use the tagline, “If the Earth moved, it was us.”
The scale of the infrastructure developed and maintained by our members is tremendous. These projects often have long timelines, complex engineering requirements and significant environmental considerations. Highways, roads and parking lots are just a few examples of public infrastructure improvements that SHCA members complete.
Other heavy civil construction projects include excavating and preparing sites for commercial and industrial sites or subdividing land into individual lots for homes. There are those who do underground utility work and some who tackle water infrastructure, such as water diversion tunnels, water and sewer lines, water drainage and irrigation ditches and bridges.
We welcome contractors, suppliers, engineers and other professionals as members. They are designing and planning, supplying materials and equipment, and constructing structures that are cost effective while maintaining the flow of public operations and delivering results that will benefit people for decades to come. There are also those whose financial expertise and legal proficiency are necessary for contracts to be developed and proceed. Other professionals are responding to tenders, doing payroll, processing payments and conducting other administrative work necessary to keep our members’ businesses running.
The work of our members supports other major sectors of Saskatchewan’s economy, including the transportation, agriculture and energy sectors. Many recent projects that have proceeded in Saskatchewan began with the work of SHCA members.
SHCA members can be found at sites where canola crush plants are developed, where mines need access roads and haul roads, at airports where runways are being improved and much more. These are just a few examples of how our industry supports the evolving infrastructure needs and economic growth of Saskatchewan in ways that go beyond building, widening and improving highways.
What’s the big deal? All of this work and all of these people are an immensely big deal – not just to our association, but to our province and its prosperity. I am mentioning all of this because I know there are others out there doing this vitally necessary work who would benefit from being an SHCA member.
We want to welcome more of them into the association. We are developing even more ways to provide additional resources and deliver greater value to our existing membership, which I feel confident will appeal to new members as well.
Growing our membership and reviewing our members’ return on investment were two of the priorities set by the SHCA board at its April meeting. Another priority is to work with other industries to deliver messages to the voters, candidates and parties about the importance of adequate investment in the critical infrastructure needed by our province to create more opportunities in Saskatchewan.
We will work to deliver this message as we head towards a fall provincial election. I’ve said it before, and I’ll say it again: Saskatchewan has a big job ahead of it. Getting on top of it will take someone speaking up to say we need to do better. That someone will be us – SHCA, representing members who continue to better Saskatchewan. We encourage SHCA members to like SHCA on Facebook or LinkedIn to follow this advocacy as it unfolds.
Everything to know about the CRA’s new requirements
By Jim Olson, CPA, CMA, MBA, KPMG Enterprise Tax
With busy schedules, the last thing most people want to think about is whether they will have an additional filing obligation to the Canadian Revenue Agency (CRA), caused by an express trust arrangement that they may not be aware of.
Trusts (including bare trusts), with limited exceptions, will have to report certain beneficial ownership information on an annual basis for taxation years ending after December 30, 2023, under the new trust reporting requirements.
Due to these requirements, enacted on Dec. 15, 2022, more trusts will have to begin filing a T3 (a trust return) annually. The additional information that must be reported includes the name, date of birth, tax identification number, country of residence and address of the trustee(s), settlor(s), beneficiary(ies) and controlling person(s) (e.g., protector(s)) of the trust.
Despite a trust arrangement not having had to file a T3 in the past, due to the new CRA requirements, you are now obligated to file a return that has a Schedule 15 (which is where the information on trustee, setter and beneficiary will go).
Penalties for non-compliance are $25 per day, with a minimum penalty of $100 and a maximum penalty of $2,500. If the failure to file was made knowingly, there is an additional penalty of five per cent of the highest fair market value of property held by the trust, with a minimum penalty of $2,500.
That’s the formal messaging, but what does this mean for most of us? What are some situations that would create a trust or bare trust arrangement?
A bare trust arrangement is formed when a trustee holds and manages assets on behalf of a beneficiary. Unlike other types of trusts, a bare trust has very limited powers for the trustee, and the beneficiary is considered the absolute owner of the trust property. These situations are very common and often don’t include formal trust documents.
Some examples of bare trusts are:
Individuals who are added as a co-owner of a bank or investment account, or on title to real property for administrative ease during an owner’s lifetime or for estate purposes
Corporations that hold title to real property on behalf of a beneficial owner (which is a common arrangement in the real estate sector)
Real property managers who have deposit revenues from which they pay expenses on behalf of the beneficial owner
If you find yourself thinking you would rather not bother with the filing, think again. Penalties for non-compliance are $25 per day, with a minimum penalty of $100 and a maximum penalty of $2,500. If the failure to file was made knowingly, there is an additional penalty of five per cent of the highest fair market value of property held by the trust, with a minimum penalty of $2,500. So, if you are on title to a house or farmland for estate purposes, five per cent of the fair market value could be significant.
However, the news is not all bad. The CRA has created a number of exemptions that will not have to comply with this new requirement. Some exemptions include:
Trusts in existence for less than three months at the end of the tax year
Trusts that hold assets with a total fair market value that does not exceed $50,000 throughout the tax year (some restrictions on the assets)
Certain regulated trust accounts, such as a lawyer’s general trust account
Trusts that are registered charities or a paragraph 149(1)(I) non-profit organization
How childcare can bolster construction workforce retention
By Lisa Laronde, Canadian Association of Women in Construction
When the Royal Commission on the Status of Women put forward its report and recommendations in 1967 on what steps might be taken to ensure women have equal opportunities, the issue of childcare was included. Yet, nearly 60 years later, women still face the monumental issue and challenge of childcare in Canada.
Today, nearly 62 per cent of women participate in the labour force, according to Statistics Canada, and that number continues to grow. In the industry, 12 per cent of the construction workforce are women, but only approximately five per cent of women represent workers on site. For our industry to grow and for women to play a larger role in construction, we must address some of the critical challenges they face and the barriers to their successful careers.
While childcare is not an issue that affects women alone, we know that women (52 per cent) are “significantly more likely than men (42 per cent) to provide care,” according to a Statistics Canada report. As the industry looks to support women in our sector, we must look at the issues impacting us, and daycare is one of the significant issues.
When Canada’s Building Trades Unions, which represents over half a million skilled trades workers across the country, undertook focus groups in 2021, participants identified barriers to accessing childcare that they had experienced during their careers, including:
Limited daycare provider hours that don’t correspond with the shifts they work
Long waitlists to access childcare
Long-term commitments to one childcare facility that don’t correspond with the cyclical nature of construction
Lack of qualified childcare professionals and drop-in childcare options
Flexible and available childcare options needed
To be part of the workforce, workers need to have access to childcare options, and that is an increasing challenge across Canada.
According to a Policy Alternatives paper, “half of younger Canadian children live in a postal code that has more than three children for every licensed childcare space.” There is a need for childcare in Canada, and we know that if the availability of childcare isn’t addressed, it will impact women and their careers.
A job in construction can provide a flexible environment that allows individuals to balance the demands of life and work in a positive and fulfilling way. As industry leaders, we need to recognize the challenges and take action to solve them.
As our country needs more and more skilled workers, we need to ensure that workers have access to childcare and that childcare is not a barrier to having a successful and sustainable career in construction.
It isn’t just about the available space, it’s about the hours when workers can access childcare for their families. While the average weekly working hours for Canadians is 35.7, the average working hours for those in construction is 40.2. Just like our colleagues working on the frontlines, our workers have shifts outside of the standard 35-hour work week between the hours of nine to five, and we need daycares that offer non-traditional hours of care that are affordable and flexible.
It’s about more than children
While childcare is one part of the equation, it is also about family care. When I speak to women in the industry, I often hear of their challenges in supporting their aging parents and juggling the demands of family care.
“More than five million Canadians provide care to family members or friends with chronic health conditions, disabilities or aging-related functional limitations while also working, most in full time jobs,” the University of Alberta wrote in a press release about a Statistics Canada report. Whether it is taking their elderly parent to the doctor, responding to emergencies or worrying whether they are safe and healthy in the home, there are enormous demands when it comes to overall family care.
Whether it is child or family care, the construction industry needs to support women and help create an environment that allows them to balance the demands of home and work in a meaningful and positive way.
These demands can be the catalyst for women leaving their careers. According to the University of Alberta, “Women accounted for almost 60 per cent of the 214,000 workers who left the paid labour force in 2018 due to caregiving duties.” Whether it is child or family care, the construction industry needs to support women and help create an environment that allows them to balance the demands of home and work in a meaningful and positive way.
At the Canadian Association of Women in Construction, we are dedicated to helping address the issues that impact women in construction. This year, in co-operation with our global association counterparts, we are going to do a deeper dive into the issue of child and family care for women in construction. As we focus on attracting women to the construction industry, we must recognize the issues that may impact them remaining in the industry. It is about understanding the issue and building solutions that will support women.
A job in construction can provide a flexible environment that allows individuals to balance the demands of life and work in a positive and fulfilling way. As industry leaders, we need to recognize the challenges and take action to solve them.
