by SHCA SHCA

Saskatchewan Sees Remarkable Growth in Construction Investment

In early January, Statistics Canada reported significant growth in Saskatchewan’s building permits. The total value of building permits in the province reached $249 million in November 2023 (seasonally adjusted). This is an 83.9 per cent increase from November 2022, and the highest increase in all of Canada. Saskatchewan also experienced notable month to month growth, showing an increase of 19.3 per cent compared to October 2023.

“Continued strength in building permits showcases our province as the prime location for construction and investment across the nation,” Trade and Export Development Minister Jeremy Harrison said. “These figures demonstrate the confidence that individuals and businesses have in making real and tangible long-term investments in our province. It is a reflection of the stability and strength of our investment climate that we have worked hard with our partners and stakeholders to create.”

These figures build on Saskatchewan’s strong economic performance. Most recently, Statistics Canada’s Labour Force Survey showed employment in Saskatchewan reached a record 600,200 in December 2023, adding 22,100 full time jobs year-over-year. This ranked Saskatchewan second among the provinces in terms of percentage change at 3.8 per cent. Saskatchewan ended the year with a seasonally adjusted unemployment rate of 5.0 per cent, below the national average of 5.8 per cent. 

According to Statistics Canada, wholesale trade has also increased by 22.9 per cent in October 2023, when compared to October 2022 (seasonally adjusted). The total value of wholesale trade for October 2023 is nearly $5.7 billion. Investment in building construction continues to grow, reaching $493 million for October 2023.

Building permits are the dollar value of construction permits for residential and non-residential buildings.

by SHCA SHCA

Jack Brodsky Named CTV Saskatoon’s 2023 Citizen of the Year

Jack Brodsky has been named CTV Saskatoon’s 2023 Citizen of the Year for his decades of work as a community builder who made a difference in the lives of countless youths

An SHCA board member was named CTV Saskatoon’s 2023 Citizen of the Year for his decades of work as a community builder who has made a difference in the lives of countless youths.

Jack Brodsky, who has lived in Saskatoon since he was four years old, is a graduate of Aden Bowman Collegiate Institute. In 1978, he became a certified engineering technologist though Saskatchewan Polytechnic.

In the following years, Brodsky learned the family construction business while also learning the importance of giving back to the community. He was a co-owner of the Saskatoon Blades from 1976 to 2013 and was instrumental in developing a scholarship program for graduating Western Hockey League players. He’s also volunteered for many organizations and has served on multiple boards.

Read the next issue of Think BIG magazine this spring to learn more about Brodsky’s commitment to the construction industry and his community.

by Shantel Lipp Shantel Lipp

SHCA’s Plans for 2024

Shantel Lipp - Portrait

The start of a new year is a time to consider how we want to improve our situation. Whether it is your own personal life or your professional endeavours, it is a good time to initiate what is necessary to inspire change that will make a difference. 

Getting where we want to go is not something we can typically do on our own. We often need others to join in our activities and support us if we are to achieve change that matters. That is true in your role – as a business owner or an employee – and it is true in mine and each of our board members’ as well. We must work with others and dedicate the time and effort necessary to move toward realizing that vision together. 

At the Saskatchewan Heavy Construction Association (SHCA), change is often discussed and as the voice of the industry. We have plenty to say about the changes needed in Saskatchewan to support our economy remaining strong. I promised in my last message published in “The Interchange” that I would have more to share about how SHCA will be speaking out about how Saskatchewan is not keeping up. That applies to long-term planning, infrastructure funding and government policy renewal.

Through the year, SHCA will be very active, speaking up about what matters to our members and our province. Now that 2024 is underway, the board and I are preparing for how this year will unfold so that we optimize when we deliver important messages not only to those in government, but all who will be running in this year’s elections as well as voters.

We have an MLA reception scheduled for SHCA on March 4. This event is your opportunity to speak directly to the MLAs to fill them in on the industry’s strengths and challenges, and describe how government impacts you positively and negatively. 

Saskatchewan’s budget is typically delivered that same month, so we will be watching closely to see what it contains as it relates to our members and the work available to you. We are looking for the government to show it understands the need for long-term infrastructure planning and funding, including multi-year commitments as seen in our neighbouring provinces. We also want to see changes to procurement practices and greater transparency. 

Between now and then, we will continue to speak up about employment opportunities in our industry. Finding those who would be a good fit for jobs you need filled is a challenge, even though heavy construction employers are known to be one of the better paying employers in the province – statistically second only to the mining sector. I know that when hiring, you often see attitude as being more important than experience and that employers in our industry are often willing to train, seeing that training is an investment to secure the employees you need. We will be promoting the reasons why those looking for a new employment opportunity should consider heavy construction for their future. 

This will help build what the province requires so people and goods can move through and beyond our province. We know other industries are as interested as we are in seeing Saskatchewan maintain and build infrastructure that meets the level of growth in the province. We will be finding ways to deliver that message together with them. 

An opportune time to deliver that message will be ahead of the elections that will take place in Saskatchewan later this year, which is an election year for the province as well as in municipalities, so we will be seeing politicians campaigning later this year. The first election is the provincial election, which is to be held on or before Oct. 28, 2024. Not long after, those voting for mayors and councillors in urban municipalities as well as reeves and councillors representing odd-number divisions in rural municipalities will go to the polls on Wednesday, Nov. 13, 2024. 

As I said at the beginning of this message, we want to improve our situation, and by our situation, I mean more than our industry’s situation. What we are bringing forward is important beyond those in heavy construction. It matters to our province’s fate. It is significant to many industries that contribute to our economy and its strength. It impacts the future prosperity of our province and its people as well as the services they rely on for their quality of life. 

I also said getting where you want to go requires others to join in. Our members can help to amplify the messages our association is delivering. I encourage you to actively participate in SHCA’s activities this year and to share the messages we will be delivering so they reach every corner of our province. Keep an eye on our website and follow our social media accounts for updates on all we have planned and will undertake this year. 

by SHCA SHCA

WCB Approves 2024 Premium Rates

The Saskatchewan Workers’ Compensation Board (WCB) has approved the 2024 average employer premium rate to remain unchanged from the 2023 rate of $1.28 per hundred dollars of payroll.

 “The primary drivers of the 2024 premium rate are claim costs and payroll,” said Gord Dobrowolsky, WCB’s chair. “The average premium rate this year will not increase, however we are expecting total costs to continue to rise in the future. This could place upward pressure on premium rates. The WCB’s rate model ensures a balance between stable rates and a fully funded compensation system.”

 In 2022, 90 per cent of employers achieved zero injuries and zero fatalities. The WCB is working to support workers and employers across the province to prioritize and effectively manage workplace safety. Currently, serious injuries account for the majority of claim costs within the workers’ compensation system. Approximately 10 to 13 per cent of claims result in more than 80 per cent of costs.

The WCB has a legislative obligation to remain fully funded. In response to changing accounting standards, the WCB has finalized a comprehensive review of the funding policy. The funding policy has been superseded by the sufficiency policy, which measures funding adequacy in a different way. The sufficiency policy reconfirms the WCB’s commitment to hold sufficient funds to balance long-term obligations to workers and employers.

 “To help reduce volatility in premium rates under the new accounting standards, the WCB’s sufficiency policy targets a range of between 100 and 140 per cent funded to cover the costs of current and future claims,” said Phillip Germain, the WCB’s CEO. “The 2024 rate ensures we will be able to maintain our funded position.”

Employers can help prevent work-related injuries through effective safety management systems. By working together, all stakeholders can prevent disability through effective rehabilitation and return-to-work plans can help employers reduce claim costs and manage work-related injuries. By reducing the number and severity of injuries in the workplace, industry premium rates will be positively impacted. Employers and the WCB can work collaboratively to develop safety management systems and return-to-work programs to help prevent and manage work-related injuries.

To further support workers and employers, WorkSafe Saskatchewan, the partnership between the WCB and the Ministry of Labour Relations and Workplace Safety, launched the 2023-2028 Fatalities and Serious Injuries Strategy in March of this year. The updated strategy, built on the success of the 2019-2021 strategy, focuses on two key streams of work that will be undertaken to reduce injuries and fatalities – a regulatory and enforcement stream, and a prevention and learning stream. The strategy lays out a direction for working together with stakeholders, including non-profit safety associations, to address high-risk industries and occupations that are resulting in workplace fatalities and injuries.

 “The WCB will continue to work closely with employers, workers and health-care providers to support the prevention of work disability through collaborative planning,” said Dobrowolsky. “As we head into 2024, we continue our commitment to eliminate workplace fatalities and injuries in the workplace. It is only together that we will achieve this vision.”

by SHCA SHCA

2023 Fall Economic Statement Lacks Concrete Actions

The 2023 Fall Economic Statement, released near the end of November, focused heavily on necessary housing investment, but fell short in other important areas including measures to shore up Canada’s trade-enabling infrastructure. Approximately two-thirds of Canada’s GDP is from trade, yet the statement remained silent on bolstering Canada’s trade network which pays for the social infrastructure Saskatchewan enjoys.

The announcement to leverage the Canada Infrastructure Bank to support more housing may finally recognize the fact that more homes cannot be built without the essential housing-enabling infrastructure to support it – a position the industry has repeatedly emphasized to all orders of government. Details on these necessary investments are missing. The industry is expecting to see a long-term, comprehensive infrastructure investment plan in the federal government’s 2024 Budget.

The industry is encouraged that the federal government recognizes the workforce shortage yet a focus on internal labour mobility rather than more progressive policy changes to immigration are not the answer. Free mobility within Canada is simply not an adequate solution to address the workforce shortage when collectively Canada does not have enough workers coast to coast. This is why the industry is calling on the government to help address the workforce shortage by overhauling immigration to attract labour from abroad.

Finally, while the commitment to getting major projects built faster is positive, implementation will rely in part on the government’s willingness to review and modernize their procurement practices. This includes considering alternative delivery models and better balancing risk between owners and contractors.

The Canadian construction industry will continue to partner with government to build a strong foundation for a stronger Canada.

by Shantel Lipp Shantel Lipp

Planning for 2024

Shantel Lipp - Portrait

The Infrastructure Summit & Trade Show was all I hoped it would be.  I hoped those who attended would find it relevant, practical and impactful, and based on the reviews I have received, it seems to have hit those marks. Summit delegates shared rave reviews of the format of the summit, and attendance for the first year far surpassed my expectations.

As we bring 2023 to a close, I am so pleased with what we have planned for 2024.

The summit was so successful that it will be the model for all future fall conferences, and we look forward to growing this event in future years. Planning for 2024 has already begun. All attendees, sponsors and exhibitors will be surveyed to gain additional information about successes as well as opportunities for improvement to make next year’s event even better.

I was told again and again there was something for everyone, which is exactly what we hoped would be appreciated. The goal of the summit was to showcase the entire industry, so that’s why there were sessions that related to business, earthmoving, paving, equipment and production.

The technical sessions were very valuable, I was told, as was the opportunity to hear about projects outside of Saskatchewan like the Ten Mile Slide in B.C. Over a very busy two days, the summit featured 34 technical sessions, two keynote presentations, 28 exhibitor tradeshow booths and was capped off with the industry awards ceremony. All the breakout rooms were full, as were the morning keynote sessions.

Highlighted by many at the summit were the opportunities for contractors, consultants and Ministry of Highways representatives to connect over our need to work collaboratively rather than meeting in confrontation. Our keynote speaker on the first morning of the summit was Mark Nesbitt, who has worked for more than 30 years in the aggregate, mining, trucking and construction industry. He explained why building relationships matters when you are trying to develop employees working for your company as well as advance your own career and business. You can read more about what he shared during his address in the next issue of Think BIG magazine.

The setting of the summit was conducive to team building and that brought people together to get to know one another and see how we can better work together to achieve what must be accomplished.

That need to work together to achieve monumental accomplishments was a key message delivered during the panel discussion on the first day of the summit. There is a need to plan long term and invest appropriately in trade infrastructure to grow Canada’s economy. Several national groups dedicated to trade, business, construction, manufacturing and more joined together to form a coalition that is pressing politicians across the country to take this need seriously.

Representatives of some of those groups in the coalition were brought together for the panel discussion to describe the relationships and work that came together to develop the Canada Trade Infrastructure Plan (CTIP). CTIP urges the Council of the Federation to pursue a federally-leveraged, nation-building plan to revitalize Canada’s trade-enabling infrastructure to support sustained economic growth and expand and diversify Canada’s global trade profile. More on this work will be shared in the next issue of Think BIG as well.

While others focus on the federal government, my attention is on the 2024 election year for provincial and municipal governments. My efforts will be dedicated to pressing them on vital matters. Through most of 2024, expect to hear much from SHCA about the ways in which Saskatchewan is not keeping up. That applies to long-term planning, infrastructure funding and government policy renewal.

This lack of commitment is causing us to lag. Saskatchewan creates billions of dollars in trade every year and there are targets and efforts dedicated by the province to grow our trade. A significant portion of the provincial GDP depends on trade. Our transportation infrastructure must be able to support even more movement of products and people in and out of the province, so we must do more than keep up.

I look forward to sharing with you more details about this effort we will undertake in the coming year, and I ask that you help us amplify this message so it reaches the province’s voters and becomes an issue on the campaign trail. I know that you know it matters, but we must help others recognize and appreciate its vital importance.

Until then, I hope you have an enjoyable December filled with lots of cheer and goodwill ahead of a safe and prosperous new year. 

by John Mark Aquino John Mark Aquino

 $25 Million Highway 6 and Ring Road Overpass Project Reaches Midway Point

Construction has paused for the winter on the $25 million Highway 6 and Ring Road overpass project in Regina. When complete, the improvements will better support and build Saskatchewan’s export-based economy.

“This infrastructure project will allow the transportation system to better and more safely handle truck and other traffic on a key economic corridor,” Highways Minister Lori Carr said. “This project builds a stronger Saskatchewan and will help protect the ability to ship goods more efficiently.”

The project involves construction of a pair of new overpasses and associated works at the location of the existing two structures at Highway 6 and Ring Road, which is also sometimes referred to as the south end of Albert Street in Regina.

The new overpasses will each have a clearance height of 5.3 metres and will accommodate larger vehicles. The overpasses being replaced had 4.7 metres of clearance and are nearing the end of their service life, as they were originally completed in 1966. The new overpasses will each continue to have two lanes of traffic.

Construction on the project began in spring of 2023 and saw the new northbound overpass open to traffic in late October. Two-way traffic can now flow normally using both overpasses. 

The new southbound overpass and the remainder of the projects are expected to be completed in 2024, with construction resuming next spring.