Recently, the Minister of Economy and Labour, Hon. Jason P. Hayward JP, MP, addressed members of Sandys Rotary Club and shared information on Bermuda's job market in 2024 and the Government's strategies to strengthen the workforce.
Minister Hayward spoke about the following:
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Challenges of an Aging Population: Bermuda's shrinking working-age population presents challenges, including labour shortages, pressure on the pension system, and healthcare demands. Fewer young people entering the workforce impacts productivity and economic growth.
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The Importance of Retaining Talent: Local talent is essential for economic resilience and cultural continuity. Efforts include fostering inclusive workplaces, offering competitive salaries, and professional development to prevent brain drain. The Government also aims to attract Bermudians working abroad back to the island.
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Developing the Local Workforce: The Government's priority is to empower Bermudians to fill workforce gaps, particularly in sectors like technology and renewable energy while relying on international workers only as a short-term solution.
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Economic Development Strategy—Strategic Priority 5: This strategy aims to create a skilled local workforce through workforce development programs. Investment in upskilling employees and aligning efforts with market needs is critical for sustaining the local economy.
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National Workforce Development and Youth Employment Strategy: These programs focus on aligning resources that connect individuals with job opportunities, providing career pathways for youth (ages 18-26), and partnering with industries to enhance training programs like internships and apprenticeships.
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Personal Employment Plans and National Certification: Personal Employment Plans provide tailored guidance for job seekers. In tandem with these plans, the National Certification and Apprenticeship Board will oversee skill development programs, promoting vocational training aligned with market demands.
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2024 Job Market Update: Though still below pre-pandemic levels, the labour market is recovering, with 952 new jobs added in 2023, reaching 32,866. Significant job growth occurred in tourism, international business, and professional sectors. All age groups saw job increases, and there was modest growth in jobs filled by Bermudians.
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Labour Strategy: The Government remains focused on creating better jobs through vocational training, fostering green jobs and tech sectors, and promoting gender equality. It aims to ensure Bermudians are central to economic recovery and growth, with fair wages and working conditions.
REMARKS
Good evening, members of Sandys Rotary Club. Thank you for welcoming me today. It's a pleasure to address such a distinguished group dedicated to serving our community.
It is an honor to be here with you today to discuss an issue central to Bermuda's future—our labour workforce, and the strategies we are implementing to strengthen it for the years ahead.
Bermuda’s Workforce: Challenges and Opportunities
As many of you would know, Bermuda's workforce faces both unique challenges and opportunities. We have a highly skilled and educated workforce, but we are not without concerns, particularly when it comes to demographic trends.
One of the most pressing issues we face is our aging population. The data shows that as our population grows older, the proportion of working-age Bermudians is shrinking. This trend is not just a statistic; it’s a critical challenge for the sustainability of our workforce. An aging workforce has a direct impact on our labour market. Fewer young people entering the workforce creates gaps in key industries, puts pressure on our pension system, and increases the demand for healthcare services. Moreover, it means fewer people are available to drive productivity and growth, creating challenges in sustaining economic progress.
The Importance of Retaining Talent
Retaining local talent is crucial for Bermuda's economic resilience and cultural continuity. A strong local workforce is vital not only for economic stability, but also for nurturing community ties and preserving the unique cultural identity of Bermuda. Our consultation on retaining the local workforce highlights that investing in the development of Bermudians creates a sustainable pipeline of skilled workers, helping to mitigate the brain drain by providing career advancement opportunities.
Local businesses must create inclusive workplaces, offer competitive salaries, and support professional development to ensure that young Bermudians see a future for themselves here. By prioritizing local talent, we can build a vibrant economy that benefits all Bermudians and secures a prosperous future for our island.
As we strive to retain local talent, it is equally important for us as a government to prioritize attracting young Bermudians back to the island. It is crucial that we make a concerted effort to bring our young people home. Many of our young professionals seek opportunities abroad, and while gaining international experience is invaluable, we must ensure that Bermuda remains a place where they see a future for themselves and their families.
Retaining our local workforce is not just about job creation; it’s about building a sustainable economy that is both resilient and competitive on the global stage. As a government, we recognize the necessity of filling workforce gaps with international workers in highly specialized fields; however, we firmly believe that this approach should not serve as a long-term solution. Our focus must be on developing and empowering our local workforce to ensure sustainable employment for Bermudians. Our goal is to ensure that Bermudians are empowered and skilled to take on roles across all sectors of our economy, whether in traditional industries like hospitality or in emerging sectors like technology and renewable energy.
Strategic Priority 5: Economic Development Strategy
In response to these workforce challenges, the Government of Bermuda has developed the Economic Development Strategy, which focuses on six key priorities. Today, I want to highlight Strategic Priority 5: People.Strategic Priority 5 is about ensuring that Bermuda has a skilled local workforce capable of meeting the demands of a changing economy. The very essence of this priority lies in the commitment to workforce development, which is designed to equip individuals with skills and tools necessary to remain competitive.
By investing in workforce initiatives, we enhance talent for employers while providing cost-effective upskilling opportunities for employees, creating mutual benefits for all parties involved. This initiative aims to enhance the local economy by keeping Bermudians competitive, fostering a high-quality workforce that attracts businesses, and improving local economic participation.
The National Workforce Development Strategy sets a strategic plan to align resources, establish clear priorities, and connect individuals with job opportunities. Additionally, our Youth Employment Strategy focuses on empowering Bermudians aged 18-26 through educational and job readiness initiatives to combat unemployment. We’ve recognized that collaboration with industry stakeholders is crucial for aligning workforce efforts with market needs and creating career pathways while ensuring access to training. By partnering with the private sector to develop internships, apprenticeships, and on-the-job training programs, we are aiming to provide Bermudians with direct access to opportunities in emerging industries. This approach not only enhances skill development but also fosters a more robust local workforce prepared to meet the demands of a changing economy.
Some of you will know that we have moved to ensure comprehensive support is provided through the implementation of Personal Employment Plans. Personal Employment Plans serve as individualized roadmaps for individuals seeking sustainable employment. These plans include tailored goals, actionable steps, and necessary resources to help participants navigate their career journeys effectively. By offering one-on-one support, we empower individuals to identify their strengths and aspirations while addressing barriers to employment. This personalized approach not only increases the likelihood of job retention but also fosters a sense of ownership over one's career path.
In tandem with these plans, the establishment of the National Certification and Apprenticeship Board is pivotal in creating a structured framework for skills development in Bermuda. This board will oversee the development and implementation of apprenticeship programs and national certifications, ensuring that Bermudians receive the training needed to excel in various industries. By promoting vocational training and aligning it with the needs of the job market, we are cultivating a workforce equipped with the relevant skills that employers demand.
Together, these initiatives reflect our commitment to investing in our people and creating a robust pipeline of qualified talent that meets the needs of our economy. They also signify a broader vision of workforce development, where every Bermudian has the opportunity to thrive and contribute meaningfully to their community. As we move forward, we will continue to engage with industry partners and stakeholders to refine these programs and ensure that they remain responsive to the evolving landscape of work.
Bermuda’s Job Market in 2024
Now, let me provide a brief update on the 2024 job market. The most recent data shows that Bermuda’s labour market has been steadily recovering from the effects of the COVID-19 pandemic.
We recently shared the Bermuda Job Market Employment Briefs 2024, and I was pleased to report that the number of filled jobs increased by 952 between 2022 and 2023, reaching 32,866. However, despite this 3% increase, we remain 1,512 jobs below pre-pandemic levels, which underscores the ongoing need for proactive labour policies.
Here are some key highlights from our job market:
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The Accommodation and Food Service sector saw a 12.2% increase, adding 402 jobs, reaching 3,699. This growth is driven by the recovery in tourism and increased visitor arrivals.
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The International Business sector added 233 new jobs, growing by 5% to 4,927. This sector continues to be a cornerstone of Bermuda’s economy, particularly in finance, insurance, and reinsurance.
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The Professional, Scientific, and Technical Activities sector recorded a 6.4% increase, adding 144 jobs, reaching 2,377.
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Job increases were registered across all age categories, highlighting a positive trend in employment that is crucial for our economy.
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The number of filled positions for workers under 20 rose by 4.2%.
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For those aged 20 to 24, filled jobs increased by 3.5%.
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Workers aged 25 to 34 saw a 4.4% increase in filled jobs.
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The 35 to 44 age group experienced a 3.8% rise in filled positions.
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For individuals aged 45 to 64, filled jobs grew by 1.4%.
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Notably, workers aged 65 and older saw the most significant increase, with filled jobs rising by 6.3%.
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Finally, jobs filled by Bermudians grew by 0.5%, with 121 more jobs added, representing 68% of all jobs. While modest, this growth reflects our efforts to ensure Bermudians are benefiting from economic recovery.
Labour Strategy: Empowering Bermudians
These job numbers are encouraging, but the Government remains focused on ensuring Bermudians are at the center of our economic growth. Our policies are designed to create not just more jobs, but better jobs—roles that are well-paying, sustainable, and offer long-term career growth for the Bermudian people. We recognize the importance of equipping Bermudians with the skills necessary to compete in a global economy, which is why our labour strategy includes:
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Expanding access to vocational training and technical education;
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Supporting initiatives that focus on green jobs, healthcare, and technology, sectors we expect to continue growing; and
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Encouraging gender equality in the workforce, ensuring that women are fully represented in leadership roles across all sectors.
The government is also working with employers to ensure labour laws protect the rights of workers while encouraging fair wages and working conditions. We are committed to fostering a labour market that not only reflects economic growth but also equity and fairness for all Bermudians.
Closing
In conclusion, our focus on workforce development is not just about economic growth—it’s about securing a prosperous future for all Bermudians. As we move forward with the Economic Development Strategy, we will continue to prioritize Bermudian talent, ensuring that our people are equipped to seize new opportunities and contribute meaningfully to the economy.
Thank you for your attention, and I look forward to your questions and the continued partnership of organizations like the Sandys Rotary Club as we work together to build a stronger, more resilient Bermuda for all.