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Canadian Telecommunications Labor Market Review, 2019 - Canada’s Telcos are Reshaping their Workforces in Advance of 5G - ResearchAndMarkets.com

February 12, 2019

DUBLIN--(BUSINESS WIRE)--Feb 12, 2019--The “Telecommunications Labor Market Review: Canada” report has been added to ResearchAndMarkets.com’s offering.

Operators in Canada are pursuing a wide range of business strategies as they look to reduce one of their largest overhead costs, i.e. the workforce. Apart from using automation and digitalisation to cut costs, telcos are also relying on voluntary separation programs (VSPs) to reduce these costs. A case in point is Shaw, which offered a VSP in early 2018, as part of its broader initiative to cut staff costs amid technological changes.

TNOs are also reshaping their workforces to prepare for new technologies like 5G. While 5G is at an early stage in Canada, lots of new 5G-related jobs are expected to appear, from deployment to testing and applications. However, total headcount for the telecom sector fell YoY by 1.3% to reach 163K in 3Q18. Canada’s telcos are slowly scaling down their network departments and pushing hard on unions for concessions. That is likely to lead to additional M&A.

Below are a few highlights from the report:

Telco revenue was up by a 6.6% annualized rate in 3Q18, while capex grew 9%. Early 5G buildouts were a major reason for growth. Labor costs for telcos in Canada are in the 23%-24% range of total opex, or around 30% of opex (excluding D&A). The average labor cost per employees in Canada was $54.7K in 2017, marginally higher than the global average of $54.3K.

Topics Covered

1. Key economic indicators - Canada

2. Canada’s labor market - Communications industry

3. Telecom revenue & capex analysis - Canada

4. Telecom labor cost analysis - Canada

5. Telecom opex and profitability analysis - Canada

6. Recent labor trends in Canada

7. 5G to spur employment across sectors in Canada

List of Exhibits

Total # of employees and YoY growth rate (%), 1Q16-3Q18 TNOs: Annualized revenue and YoY growth rate, 1Q17-3Q18 Annualized capital intensity (%), 1Q17-3Q18 Annualized labor costs and labor costs as % opex, 1Q17-3Q18 Annualized labor costs per employee ($K), 1Q17-3Q18 Annualized opex ($M) and YoY growth (%), 1Q17-3Q18 Annualized operating margins, 1Q17-3Q18

Companies Mentioned

BCE Telus Rogers Shaw Communications Quebecor Telecommunications Manitoba Telecom Services Cogeco Sasktel

For more information about this report visit https://www.researchandmarkets.com/research/m4plp2/canadian?w=4

View source version on businesswire.com:https://www.businesswire.com/news/home/20190212005536/en/

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Related Topics:Telecommunications and Networks

KEYWORD: NORTH AMERICA CANADA

INDUSTRY KEYWORD: TECHNOLOGY NETWORKS TELECOMMUNICATIONS

SOURCE: Research and Markets

Copyright Business Wire 2019.

PUB: 02/12/2019 08:55 AM/DISC: 02/12/2019 08:55 AM

http://www.businesswire.com/news/home/20190212005536/en

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