Edmonton Economic Development Corporation

If I had to speculate — I have not yet examined the underlying numbers for Canada — I would posit that the gap is related to trade and to Canada's proximity to the U.S.. Canadian businesses, especially innovative ones, focus on the U.S. market; further, it is likely that the best innovations get snapped up by U.S. firms. To be sure, this is a perfectly legitimate commercialization strategy — selling out to established firms — but it is the sort of thing that shows up poorly in aggregate statistics. If that is the case, the issue may not be Canada's encouraging more innovation but ensuring that Canadian policies are consistent with facilitating export in ideas as much as export in physical products.

first category includes millions of the best jobs America has ever seen: high-pay, high-skill jobs in knowledge-based professional and creative fields. Almost a third of American workers now have these kinds of jobs, which pay more than double most manufacturing jobs and which have been rather impervious to unemployment.

When unemployment among production workers climbed to more than 15 percent and surged above 20 percent for construction workers, unemployment among professional, technical and creative workers never got much above five percent.

the second category, which comprises such routine service work as personal care assistants and home health care aids, retail sales clerks, and food preparers -- is not so good. In fact, the pay for these jobs is roughly half that of manufacturing jobs. The result is as simple as it is tragic: a startling bifurcation of the job market and an increasingly unequal and divided society. Once we see this, it becomes clear that neither of the two most commonly cited prescriptions -- the counter-cyclical approach to job creation by boosting investment and demand, or the path of educating more people for higher-paying knowledge-based jobs -- can work.

A successful jobs strategy must focus centrally on upgrading the content and improving the wages of this entire job category. That is what happened a century ago, when public policy shifted to protect workers' rights and line jobs in manufacturing, once considered dirty and dangerous and impossible to upgrade, became high-paid work.

service work and service workers are not just a necessary cost of doing business, part of the overhead, but a potential profit center. Service workers can produce real value and there's no reason that they can't have real careers.

make the upgrading of service jobs a key prong of America's next great job machine.

Most service firms are smaller, mom-and-pop operations. To bring them into the 21stcentury, the administration should develop strategies to help these smaller firms learn the advantages of seeing workers as sources of innovation and productivity gains.

This could be a modest, low cost public-private partnership, involving universities, community colleges, and industry groups, modeled perhaps along the lines of the old Agricultural and Manufacturing Extension programs. The administration should also consider using incentives to encourage companies to upgrade service jobs, which would have the added benefit of improving the overall productivity of the highly fragmented service sector -- the last great frontier of inefficiency in advanced economies -- lifting the productivity of the economy overall, while boosting wages and lifting consumer demand.

This wouldn't come for free. All of us would have to pay a little more to the people who clean our homes, take care of our kids and aging parents, cut our hair, and sell us our clothes. This is exactly what we did a half century ago to spur recovery, when we agreed to pay more to the workers who made our cars and appliances and were building our homes. The costs are so modest and widely spread that they are unlikely to derail any recovery. And the payoffs in terms of productivity gains and increased demand are surely worth it.

Some economists support policies that might shift the balance away from capital spending. Andrew Sum, an economist at Northeastern University, advocates tax incentives for hiring that mirror those for capital investment. Congress passed a hiring tax credit along these lines last year, but it was not well publicized, and some said it was poorly devised. The proposal is reportedly floating around Washington once again.

help Canadian communities become more effective in dealing with foreign direct investment aftercare and support specific foreign investment promotion initiatives. 

encourage intergovernmental cooperation, promote partnerships with the private sector and demonstrate federal commitment to encourage foreign direct investment and retention.

Investment training for economic development staff

Conducting business retention and expansion research

Identifying investment strengths and local assets

Developing a community profile to show potential investor

Developing and implementing a targeted strategy for encouraging foreign investment

Developing and implementing a targeted strategy for retaining and expanding existing foreign investments

Developing or substantially upgrading websites for foreign direct investment purposes

Implementing strategies to retain or expand the investment of foreign affiliates already located in Canada

Eligible Expenses

Research and studies: identification of target corporations, comparative competitive analyses, development of business cases, business retention and expansion studies, etc.

Economic data: collection of community and economic data for investment profiles, etc.

Strategic FDI planning: facilitators, consultant costs, community consultations, development of strategic plans.

Website development: development and/or major redesign, addition of significant architecture and functionality.

Translation: translation of documents or website content into either one of Canada’s official languages or foreign languages;

Promotional materials (print or electronic): design and layout only (printing costs and the pressing of CDs and DVDs are not eligible).

Advertising: design and layout.

Investment Training including EDAC annual conference: courses as part of the community’s investment attraction and retention strategy for employees of the Community.

Consultants/contractors.

Ineligible ExpensesResearch activities not associated with investment attraction, retention and expansion. Collection or purchase of statistical data not associated with investment attraction, retention or expansion activities. Development of training courses/modules. Consultants hired to facilitate a training session. Costs associated with hiring consultants to develop ICCI applications. Regular website maintenance and updating web content, site hosting, software licensing, Corporate logo design, costs of printing, pressing CDs, or DVDs, and recording videocassettes. All give-aways: gifts, events/shows/concerts tickets, logo items, cups, mugs, pens, etc. Design and layout of non-investment ads (promoting tourism, for example), cost of ad placement in any media.

Travel costs incurred by applicants, partners or consultants not related to training; travel costs incurred by potential investors. Taxes: GST, PST, HST, VAT or taxes applied by foreign governments. Hospitality: Cost of meals or alcohol; lodging; clothing and uniforms; and all give-aways. Trade show/conference participation:  registration fees at international trade shows or conferences  (in Canada and abroad), booth design / purchase / assembly and shipping, design of promotional material specifically for a trade show, overhead costs such as pre-show mailing, stationery and long distance phone calls, research to target companies at a trade show, consultant costs for organizing outgoing missions (including training participants); consultant costs to develop target business cases for follow up with potential investors after show; cost of developing an advertisement (design and layout) for show specific publications. Activities or projects  related to attracting infrastructure for tourism and motion picture industries, e.g: to develop ski resorts, theme parks and film production facilities.

Capital costs: infrastructure development, capital expenditures to acquire or enhance assets, software licenses, electronics (computers, fax, machines, digital cameras, etc.), demonstration aids. Capital costs include the direct costs of acquisition, construction, expansion, modification, conversion, transportation, installation and insurance (during construction) of fixed assets, as well as the cost of licensing and franchising fees. Overhead costs: Postage, including postage for direct mail campaigns; phone; office space rental; photocopying. Salaries and benefits of personnel. Miscellaneous: activities to attract investment from inside Canada; costs incurred before the application’s approval date; activities for which one or more partners expect to receive compensation in the form of a commission, finder’s fee, or other form of remuneration; promotion activities related to properties or business investment in which one or more partners receive a personal or corporation financial gain.

CRITERION 3: Performance Measures (20 points)How would you rank the proposed project and their expected outputs/outcomes? How well does the application provide valid anticipated outcomes: what will be measured, how these will be measured and which performance indicators will be tracked? Do the identified measures suit the overall project?Would the community be able to demonstrate success or readjust its strategy based on the measures identified?

CRITERION 4: Capacity (20 points)Has the community identified an internal lead on the project?Does the community have the matching dollars to complete the project?Is the applicant solely responsible for completing the project, or is there a joint model for governing the project?  Is the applicant likely to utilize the funding requested?Is there sufficient human resources and a credible governance structure is place to ensure that project reports and documentation will be maintained and delivered?

CRITERION 5: Work Plan (10 points)Has the community established reasonable timelines, a list of key milestones, and identified key deliverables?Is the proper signing authority in place on the application with a project manager designated?

CRITERION 6: Partnerships (10 points)Is the community working with other organizations on its FDI strategy?Is the community incorporating other sources of matching funds into its application?Does the community understand the value of partnering on marketing initiatives?Is the community part of a larger network of organizations or represent a regional approach to investment marketing?

Other factors to consider in final decision:What is the applicant’s recent history of utilizing the program?Is the proper signing authority in place on the application with a project manager designated?

Medical/Allied Professional Dentist D.D.S., D.M.D., Doctor en Odontologia or Doctor en Cirugia Dental; or state/provincial license Dietitian Baccalaureate or Licenciatura Degree; or state/provincial license Medical Laboratory Technologist (Canada)/Medical Technologist (Mexico and the United States)6 Baccalaureate or Licenciatura Degree; or Post-Secondary Diploma or Post-Secondary Certificate, and three years experience Nutritionist Baccalaureate or Licenciatura Degree Occupational Therapist Baccalaureate or Licenciatura Degree; or state/provincial license Pharmacist Baccalaureate or Licenciatura Degree; or state/provincial license Physician (teaching or research only) M.D. or Doctor en Medicina; or state/provincial license Physiotherapist/Physical Therapist Baccalaureate or Licenciatura Degree; or state/provincial license Psychologist State/provincial license; or Licenciatura Degree Recreational Therapist Baccalaureate or Licenciatura Degree Registered Nurse State/provincial license; or Licenciatura Degree Veterinarian D.V.M., D.M.V. or Doctor en Veterinaria; or state/provincial license

Scientist Agriculturist (including Agronomist) Baccalaureate or Licenciatura Degree Animal Breeder Baccalaureate or Licenciatura Degree Animal Scientist Baccalaureate or Licenciatura Degree Apiculturist Baccalaureate or Licenciatura Degree Astronomer Baccalaureate or Licenciatura Degree Biochemist Baccalaureate or Licenciatura Degree Biologist Baccalaureate or Licenciatura Degree Chemist Baccalaureate or Licenciatura Degree Dairy Scientist Baccalaureate or Licenciatura Degree Entomologist Baccalaureate or Licenciatura Degree Epidemiologist Baccalaureate or Licenciatura Degree Geneticist Baccalaureate or Licenciatura Degree Geologist Baccalaureate or Licenciatura Degree Geochemist Baccalaureate or Licenciatura Degree Geophysicist (including Oceanographer in Mexico and the United States) Baccalaureate or Licenciatura Degree Horticulturist Baccalaureate or Licenciatura Degree Meteorologist Baccalaureate or Licenciatura Degree Pharmacologist Baccalaureate or Licenciatura Degree Physicist (including Oceanographer in Canada) Baccalaureate or Licenciatura Degree Plant Breeder Baccalaureate or Licenciatura Degree Poultry Scientist Baccalaureate or Licenciatura Degree Soil Scientist Baccalaureate or Licenciatura Degree Zoologist Baccalaureate or Licenciatura Degree    

Teacher College Baccalaureate or Licenciatura Degree Seminary Baccalaureate or Licenciatura Degree University Baccalaureate or Licenciatura Degree  

For Flint Energy Services Ltd., the pinch is already on. The company has brought in 20 Filipino insulators this year. It has authority from the federal government to bring in 60 more foreign workers, and expects to apply for more later this year.

"Everybody's got a bit of a guess at all of this, but the numbers are like nothing we've seen before," said international recruitment lead Brent Guthrie. "Whereas Flint was bringing in hundreds in 2008, an expectation of going to 1,000 is not unheard of going forward ... The local market gets burned out quite quickly on these major projects, and then everybody's scrambling."

PCL Industrial Contractors Inc., the arm of the construction giant heavily involved in building the oil sands, hit 350 temporary foreign workers in the last boom. Today it has little more than a dozen, but is laying plans for a spree starting early next year that far outstrips the past.

"We're looking at the 1,000-person mark for a prolonged period, probably peaking in late 2012," said Gary Truhn, director of construction and labour relations. "We think there's some major projects that are going to be there for quite a while."

The hiring will begin months before, however. Depending on the country of origin, it can take between four and six months to gain government approval to bring in a foreign worker. That's why companies are working now to start the process.

In the first four months of this year, Alberta companies applied to bring in 9,910 temporary foreign workers, according to Human Resources and Skills Development Canada.

Peter Veress, president of immigration consultants Vermax Group Inc., recently set up a new training centre in Saltillo, Mexico. In early May, it welcomed its first group of workers to a course designed to impart safety, language and other skills to pipe-fitters and welders before they head north. "Companies are a little more proactive this time around. They don't want to get caught like they did last time around."

It's not cheap, though. Between paperwork, training and travel, it can easily cost $10,000 to bring in a temporary foreign worker.

in Alberta, hiring can be uncertain. Workers in certified trades have a year to pass Red Seal exams. If they can't, they must go back home.

On the East Coast, where many trade and construction workers remain unemployed, the mention of overseas hiring rankles.

"We have probably 150 guys on the out-of-work list," said Ian MacIsaac, business representative for local 1178 of the Nova Scotia & PEI Regional Council of Carpenters, Millwrights & Allied Workers, which has 240 members.

Alberta's government is starting to feel the same way. It recently released a strategy to keep older workers in the labour pool. Thomas Lukaszuk, Minister of Employment and Immigration, has called on Ottawa to shrink employment insurance eligibility in other provinces, in hopes of compelling workers from elsewhere in Canada to come to Alberta. He also wants authority for the province to nominate more foreign workers to become permanent residents. "We will be severely short on workers, not [just] the next few years but the next few decades," he said.

recommends that governments improve their innovation policies by shifting their efforts from new-to-the-world inventions to relevant-to-the-market innovations

The funding was approved last week by the province’s Treasury Board and will be budgeted over the next several years. The government did not say where the money will come from. Among the communities getting new schools are Airdrie, a Calgary suburb; Fort McMurray; and Beaumont, an Edmonton suburb. Edmonton and Calgary, which have roughly two-thirds of the provincial population, won’t get any new schools. (They have benefited from previous infrastructure programs, Mr. Hancock said.)Although careful not to criticize the infrastructure spending, Edmonton Public School Board chair Dave Colburn said program funding also needs an increase. The board had just over $50-million in reserve funds two years ago, and will have drained those entirely by 2012.“Believe me, it’s not a matter of infrastructure versus classroom needs. We need appropriate levels of funding in both areas,” said Mr. Colburn, whose board will receive money to renovate two schools. “It’s a step in the right direction.”