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Most in-demand jobs in Ontario for newcomers
Ontario is one of the most popular provinces among newcomers. Its cultural diversity, economic prosperity, and ever-growing job market are just some of the reasons newcomers from across the world choose to settle in Ontario. The government of Ontario periodically invites newcomers with the skills and experience to meet the province’s growing labour requirements to work and settle in Ontario as Permanent Residents (PR) through the Ontario Immigrant Nominee Program. This article provides information on Ontario’s job market. This includes the top industries that contribute to its economy, the most in-demand occupations for newcomers in the region, NOC codes, and median wage estimates, so you can arrive prepared to kick-start your career in Canada. What are the top industries in Ontario? Services industry: The services sector is the largest contributor to the province’s economy and employs nearly 79 per cent of the people living in Ontario. Some of the key service industries include banking and financial services, professional, scientific and technical services, and arts and culture. Manufacturing industry: Ontario’s manufacturing industry is one of the biggest in North America. Some of the most prominent manufacturing industries are automotive, information and communication technologies, biotechnology, pharmaceuticals, and medical devices. Agriculture: Ontario’s farming sector contributes nearly 25 per cent of Canada’s farm revenue. Mining industry: In addition to being one of the world’s top 10 producers of nickel and platinum, Ontario is also rich in gold, silver, copper, zinc, cobalt, and non-metallic minerals. Southern Ontario also has a sizeable oil and gas industry. Forestry industry: The forestry industry in the province creates nearly 200,000 direct and indirect jobs. Which cities have the most job opportunities in Ontario? Toronto and the Greater Toronto Area (GTA): This is the most populous region in the province, and Toronto is the financial hub of Canada. Other large industries in Toronto and the GTA include technology, real estate, trade, and manufacturing. Ottawa: As the capital of Canada, Ottawa offers significant job opportunities in administration. It is also a major centre for the high technology and finance industries. Brantford: This city is a manufacturing hub and offers job opportunities in food and beverage manufacturing, advanced manufacturing, rubber and plastic production, and warehousing and distribution. In addition, Brantford also has a growing media and entertainment sector. Hamilton: Another manufacturing centre, Hamilton has a large job market in the food processing and agribusiness industry, as well as in advanced manufacturing. Waterloo: The Toronto-Waterloo region is often referred to as the ‘Silicon Valley of the North’ and presents significant opportunities in the technology sector. Which jobs are in demand in Ontario? Health care jobs in Ontario Managers in health care (NOC 0311): Managerial positions in health care typically require a degree in management and pay around $48.21 CAD per hour. • Registered nurses and psychiatric nurses (NOC 3012): You’ll need a nursing degree and a provincial nursing licence to qualify. The median hourly pay for registered nurses in Ontario is $36 CAD. • Medical laboratory technologists (NOC 3211): As a lab technologist in Ontario, you can earn a median income of $38 CAD per hour. • Opticians (NOC 3231): Opticians make between $27 CAD and $34 CAD in Ontario. • Licensed practical nurses (NOC 3233): Licensed nurses make a median hourly wage of $27 CAD. • Nurse aides, orderlies, home support workers, and patient service associates (NOC 3413, 4412): For these occupations, the hourly wage ranges between $17.50 CAD and $20 CAD. Service sector jobs in Ontario To qualify for service sector jobs, you’ll usually require at least an undergraduate or graduate degree from a university. Administrative services managers (NOC 0114): Managerial positions in administration typically pay a median salary of $41 CAD per hour. Banking, credit and other investment managers (NOC 0122): Managers in the finance sector earn a median income of $50 CAD per hour. You’ll usually need a degree in management or finance to qualify. Advertising, marketing, and public relations managers (NOC 0124): These roles require a degree in marketing or management and pay a median income of $40 CAD per hour. Business services managers (NOC 0125): These roles pay an average hourly salary of $43 CAD. Corporate sales managers (NOC 0601): Sales manager roles in Ontario can be fairly high paying, with a median hourly wage of $52 CAD per hour. Restaurant and food services managers (0631): Compared to other managerial positions, restaurant and food services managers have the lowest median wage at $19.23 CAD per hour. Construction managers and managers in transportation (NOC 0711, 0731): Employees in these roles earn a median hourly wage between $38 CAD and $40 CAD. Human resources professionals (NOC 1121): HR professionals make an average income of $35 CAD per hour. Professional occupations in business management consulting (NOC 1122): In Ontario, business consultants make a median hourly salary of $41 CAD. Mathematicians, statisticians, and actuaries (NOC 2161): As a mathematician, you can earn an average of $45 CAD per hour. However, you’ll need an advanced degree in mathematics, statistics, or a related subject. Technology sector jobs in Ontario To work as an engineer in Ontario, newcomers require a licence from the province in addition to an engineering degree. Engineering managers, computer and information systems managers (NOC 0211, 0213): Managerial level in-demand jobs in Ontario pay a median hourly wage between $52 CAD and $53 CAD. To qualify, you may require a degree in engineering, management, or both. Computer engineers (NOC 2147): As a computer engineer, you can earn a median income of $44 CAD per hour. Database analysts, software engineers and designers, computer programmers and interactive media developers (NOC 2172, 2173, 2174): These technology sector roles pay between $40 CAD and $46 CAD per hour in Ontario. While many such positions require an engineering degree, some roles may also be open to applicants with a degree in computer science. Web designers and developers (NOC 2175): Web designers in Ontario can earn a median hourly wage of $31 CAD. Manufacturing jobs in Ontario Manufacturing managers (NOC 0911): Managers in manufacturing make a median income of $43 CAD per hour in Ontario. Machine operators in the mining and processing, chemicals, plastics, woodworking, and food and beverage industries (NOC 9411, 9416, 9417, 9418, 9421, 9422, 9437, 9446, 9461): Machine operators and process control workers typically earn a median hourly wage between $15 CAD and $23 CAD, depending on the industry they are in. Assemblers, fabricators, inspectors, and testers in the electronics and mechanical industries (NOC 9523, 9526, 9536, 9537): The median hourly wage for these jobs is between $16 CAD and $22 CAD. Agriculture jobs in Ontario The median hourly wage for in-demand agriculture jobs is between $14.35 CAD and $20 CAD. General farm workers (NOC 8431) Nursery and greenhouse workers (NOC 8432) Harvesting labourers (NOC 8611) Industrial butchers, meat cutters, poultry workers (NOC 9462) What is the minimum wage in Ontario? The general minimum wage in Ontario as of October 1, 2021, is $14.35 CAD per hour. For student workers, the minimum wage is $13.50 per hour. What is the unemployment rate in Ontario? The unemployment rate in Ontario in September 2021 was 7.3 per cent. However, the province’s economy is still recovering from the impact of the COVID-19 pandemic and, with each quarter, the unemployment rate is inching back towards the pre-pandemic level of under six per cent. How can I move to Ontario? In addition to the federal Express Entry program, the province also invites permanent residents through the Ontario Immigrant Nominee Program. If you’re planning to work in Ontario temporarily, you may be able to qualify for a work permit if your skills align with the province’s in-demand occupations. Ontario also boasts of some of the best universities in Canada and, each year, thousands of students come to Canada on study permits, with the aim of receiving a world-class education and settling permanently in Canada. Original article located here, published by Arrive. About Arrive Arrive is powered by RBC Ventures Inc, a subsidiary of Royal Bank of Canada. In collaboration with RBC, Arrive is dedicated to helping newcomers achieve their life, career, and financial goals in Canada. An important part of establishing your financial life in Canada is finding the right partner to invest in your financial success. RBC is the largest bank in Canada* and here to be your partner in all of your financial needs. RBC supports Arrive, and with a 150-year commitment to newcomer success in Canada, RBC goes the extra mile in support and funding to ensure that the Arrive newcomer platform is FREE to all. Working with RBC, Arrive can help you get your financial life in Canada started – right now.
Good COP or bad COP? | The Aston Angle
Four Aston University experts reflect on COP26 and what it means for transport, community and global action on decarbonisation, support for small businesses and China’s coal consumption. COP26 was the 26th United Nations Climate Change conference held in Glasgow from 31 October to 13 November 2021. The participating 197 countries agreed a new deal, known as the Glasgow Climate Pact, aimed at staving off dangerous climate change. But will it be enough? Dr Lucy Rackcliff explains why replacing petrol and diesel vehicles with electric ones alone is not radical enough. The overwhelming message coming from COP26 transport day seemed to be that moving to zero emission-vehicles would solve the well-documented issues created by petrol and diesel fuelled vehicles. As noted at the conference itself, transport is responsible for 10% of global emissions, and emissions from transport continue to increase. The WHO estimates that transport-related air pollution affects the health of tens of thousands of people every year in the WHO European Region alone. However, on-street pollution is not the only effect we should seek to address. Transport is responsible (directly or indirectly) for a wider range of environmental issues, and a wider range of health impacts. Moving to electric vehicles will not address impacts such as loss of land for other activities, use of finite resources in the manufacturing process, the need to dispose of obsolete materials such as used tyres, and the health effects of sedentary lifestyles, facilitated by car-use. In urban areas in particular, re-thinking policy to focus on walking, cycling and public transport-use could free up land for other activities. Car parks could become actual parks, in turn encouraging more active lifestyles, creating space for people and plants, and leading to a range of wider societal benefits. Assuming that replacing petrol and diesel vehicles with electric ones will solve all our problems is a strategy which lacks ambition, and thus denies us the benefits that more radical thinking could deliver. Dr Lucy Rackcliff, Senior Teaching Fellow, Engineering Systems & Supply Chain Management, Aston Logistics and Systems Institute, College of Engineering and Physical Sciences. "Assuming that replacing petrol and diesel vehicles with electric ones will solve all our problems is a strategy which lacks ambition." Professor Patricia Thornley reflects on the role that Aston University and EBRI can play in empowering community action and informing global action with research. COP26 energy day was a fabulous experience. I have never before seen so many people in one place with one ambition: to support and accelerate decarbonisation of the UK’s energy systems. We ran a “fishbowl”, which allows people with different perspectives on a topic (experts and non-experts) to participate in dialogue around a common interest. Our researchers, local government representatives, industrialists and students shared their thoughts on what our future energy mix should look like, how it should be delivered and who needs to act. Without doubt the consensus was that many different technologies have a role to play and there is an urgent need to accelerate implementation. There were reflections on the importance of governance at different levels and an interesting discussion around the relative merits of centralized solutions and devolved actions. The reality is that of course we need both and that made me think about what Aston University and EBRI can do. Of course we should implement centrally with initiatives like the impressively low carbon Students’ Union building, but we also need to raise awareness among our students. Our film showing with the Students’ Union a week later helped with that I hope, and many more of our courses are incorporating sustainability elements which is fantastic. But what we haven’t quite achieved yet is an empowered, proactive voice that would lead to wider community action. There are pockets of excellence but a lot still to be done. My second week at COP26 was very different with police presence outside a building where I had three meetings with industrialists on the controversial topics of forestry and land-use. It was sad to be working with key players to improve sustainability and increase carbon reductions through UK bioenergy while listening to drumbeats outside from objecting protestors. There is a real lack of understanding around forest management and global land use and we need to work harder to improve that. It is a huge challenge, but one that EBRI will work hard to address. Professor Patricia Thornley, Director of EBRI, Energy and Bioproducts Research Institute (EBRI), College of Engineering and Physical Sciences. "There is a real lack of understanding around forest management and global land use and we need to work harder to improve that." Professor Presanta Dey explores whether Government pledges on climate change will translate to practical support for small businesses Following the COP26 climate change summit, the UK Government led the way in making a series of pledges and policy commitments to combat climate change. The question is: how will this translate to practical support for SMEs? Large corporations often take centre stage at COP, which is welcomed, but if we are to see real change, everyone needs to be involved. COP26 provided a refreshing voice for UK small businesses which featured panel discussions on the ‘SME Climate Hub’, highlighting net zero opportunities and challenges for SMEs. The momentum of COP26 has already inspired over 2,000 UK small businesses to sign up to the UN's Race to Zero campaign, which is designed to accelerate the adoption of credible net-zero targets. A long journey ahead still awaits us, however campaigns like these will hopefully start a ripple effect inspiring the remaining six million UK SMEs to take climate action. Small businesses have been crying out for more assistance from the government in the form of ‘green’ grants and financial support to enable them to make the necessary long-term changes. The timely announcement of HSBC’s £500m Green SME Fund at COP26 marks a promising first step towards making it easier for SMEs to fund their green ambitions. In summary, COP26 provided some comfort to UK SMEs seeking a higher level of commitment from government, financial services and businesses. This moment must act as a catalyst for policy makers to continue removing the barriers that are holding small businesses back. Professor Presanta Dey, Professor of Operations & Information Management, College of Business and Social Sciences. Professor Jun Du explains what China’s deal means for the rest of the world following its own energy crisis earlier this year… Despite the many disappointments expressed around the COP26 outcomes, important progess has been made for the world economy moving towards carbon neutrality. Among the noticeable achievements China and the US, which together emit 43% of the total CO2 in the air, have agreed to boost climate co-operation despite many disagreements. This includes China’s pledge to more actively control and cut methane emissions during the next decade - even when the country did not sign up to the global methane pledge made in Glasgow. Reaching net zero will be an unprecedented challenge for all countries. China will need to do the heaviest lifting among all. The country’s energy crisis earlier this year has shown just how hard it will be to reach net zero. The exceptionally early and cold winter this year will demand even more coal, so China’s willingness and resolve for climate commitments are good news to all. While lots of attention was turned to the absence of China’s president, Xi Jinping, from the COP26 climate summit, what is less appreciated is the fact that China is serious about decarbonisation. Few countries invest as much as China in that area, nor grow as fast in finding alternative energy to coal and in green industries like electric cars. China has set specific plans in its 14th national five-year plan for economic and social development to reach peak carbon emissions by 2030 and carbon neutrality by 2060. COP26 could be an additional driver for “an era of accountability” for China. Professor Jun Du, Professor of Economics, Finance and Entrepreneurship, Centre Director, Centre for Business Prosperity, Aston Business School levy.
Aston Law School corporate governance experts launch new book on investor stewardship
Dr Daniel Cash and Robert Goddard co-wrote Investor Stewardship and the UK Stewardship Code: The Role of Institutional Investors in Corporate Governance The book will be relevant for an international audience of academics, regulators and policymakers in financial regulation, investment regulation and financial services It coincides with the publishing of the Stewardship Code 2020 signatories as part of a new regulatory code by the Financial Reporting Council (FRC) Two members of Aston Law School have released a new book around investor stewardship to coincide with a major milestone by the Financial Reporting Council (FRC). The FRC published the first main list of Stewardship Code 2020 signatories on 6 September 2021, after a round of reporting earlier this year. This milestone details who is following the Code and allows the regulator to focus on holding signatories to the articulated standards of stewardship and how it is reported. The new book by Dr Daniel Cash and Robert Goddard, Investor Stewardship and the UK Stewardship Code: The Role of Institutional Investors in Corporate Governance, provides a critical assessment of the development of the Stewardship Code 2020, which sets out principles regarding the role of institutional investors in corporate governance. It discusses how the regulatory framework for stewardship evolved before and after the financial crisis, and how that evolution resulted in the 2020 Code. It also critiques the Code from a practical and academic perspective, as well as evaluating the wider regulatory framework; in particular, the position of the FRC merging into the Audit, Reporting and Governance Authority (ARGA). Dr Daniel Cash, senior lecturer in law at Aston Law School, said: “The Stewardship Code is a big deal in British governance, and that is exactly what the book looks at. “It examines the history of the stewardship Codes and regulation in the UK, and uses this to critically examine the new 2020 Code. “That critical analysis leads into projections of how the Code may fare in the modern business environment, aspects that may affect its progression, and puts forward elements that can make the Code’s impact more substantial. “This important regulatory development will play a massive role in aligning the actions of investors with the wider societal needs in the new world being dominated by ESG concerns. “Stewardship Codes modelled on the UK’s original 2010 version have been introduced in numerous markets and, as such, the book will be relevant for an international audience of academics, regulators and policymakers in financial regulation, investment regulation and financial services.” You can buy a copy of Investor Stewardship and the UK Stewardship Code: The Role of Institutional Investors in Corporate Governance here.
Brexit: UK services are losing out to EU rivals – but Asia could be big winner
"Seven months after Britain’s exit from the EU, the chilly effects on UK trade are being felt. Total exports of UK goods and services were down by 13% (£36 billion) and imports down 22% (£66 billion) for January to May 2021 compared to the same period in 2019." Professor Jun Du, Aston Business School Singapore looks like one of the big winners from Brexit. joyfull In a separate new ONS report into UK services, exports and imports fell 12% and 24% in the first quarter of 2021 compared to the same period in 2019. To some extent this is due to the pandemic, but the decline with EU countries was more severe (exports down 15% and imports by 39%), which suggests Brexit was relevant too. The difference between services exports to EU and non-EU countries was particularly marked in sectors like construction (-43% vs +24%), maintenance and repair (-62% vs +11%), and manufacturing services (-40% vs -12%). It seems to confirm that the UK’s services offering has been made less competitive by the EU-UK Trade and Cooperation Agreement hardly covering such business. This has left EU members free to decide whether to allow different UK providers into their markets. But as we shall see, other services exporting countries outside the EU may also benefit as a result. In our recent paper, Ireland looked like the big winner. It has probably benefited from firms relocating and business being re-routed from the UK, not to mention low corporation tax and a young well-educated workforce. Between 2016 and 2019, Ireland’s services exports rose 24% (that’s €144 billion or £123 billion), driven by financial services, IT and transport. Speculation still abounds about which other EU cities will benefit in the medium term. Amsterdam surpassed London as Europe’s largest share-trading centre in January by absorbing much trade in euro-denominated assets, though London has been back on top recently. Other potential winners include Frankfurt (banking), Luxembourg (banking and asset management) and Paris (financial, professional and business services). Even a less serious contender like Berlin can attract tech talents thanks to its culture clusters and affordability. On the other hand, most financial traders have so far remained in London. The city is still strong in hosting stock market flotations and other forms of capital raising. And the flow of financial jobs out of London has been a fraction of what remainers predicted. A four-year regulatory transition period for areas like data protection and electronic trade will undoubtedly be helping. London vs EU rivals is only half the story. James Padolsey/Unsplash, CC BY-SA Yet all this misses a bigger picture, namely that Europe’s ability to provide services may have been weakened overall. Imagine a group of US investors wants to invest £1 billion in European shares and other financial assets. In the past it might have set up a fund in London, making use of the city’s network of lawyers, accountants, bankers and other finance professionals, while filtering some of the work to specialists in, say, Paris and Frankfurt for issues related to France and Germany. But now Brexit means the fund can’t invest in certain EU securities from London. The investors would have to set up a second fund in, say, Dublin to get exposure to all the EU assets they want. The additional expense and time involved makes them decide it will be more lucrative to set up an Asia-focused fund in Singapore instead. When you multiply this effect across every sector, it is potentially huge. Certainly some investors will decide to either switch attention from the UK to EU countries, or to live with the extra cost of doing business across both the UK and EU. But others are deciding that an opportunity somewhere else in the world now looks more attractive. The danger is that this adds up to a global shift in economic weight over time. In fact, we could be seeing signs of this already. Winners and losers In follow-on research that we have yet to publish, we have been analysing the services exports of the major service providers in Europe and globally, using trade data jointly collected by the World Trade Organization (WTO) and the Organisation for Economic Cooperation and Development (OECD). The data shows the UK was and is the biggest services exporter in Europe and second only to the US worldwide, but appears to have been losing ground since Brexit. Ireland and the Netherlands are the major growth stories in Europe, while China, India and Singapore are leading the way elsewhere. Services exports by country, 2019 vs 2015 Trends in services exports. Left: 2015 data in solid coloured bars; 2019 change in yellow markers. Right: Green bars represent accelerating service growth; red bars represent decelerating growth. BaTIS The UK’s services growth trend fell 11% in the 2016-2019 period compared to 2010-15. This backs up our recent published research finding that the UK’s global share of exported services fell from 8.9% in 2005 to 7% in 2019. Meanwhile, France, Spain, Italy and Belgium’s growth has also been declining, while Germany, the Netherlands, Switzerland, Luxembourg, Austria and also the US were static. Ireland was the fastest growing services exporter among all, but Singapore and India gained momentum too. Strikingly, we see increasing growth in Asia between 2016 and 2019 in sectors like travel, financial, IT and creative services. This includes extraordinary growth in Singapore in finance, business, insurance and pension provision, and also in China in numerous segments. It looks like nothing short of a boom. Shanghai has been on the up and up. Krzystsztof Kotkowicz, CC BY-SA This may partly reflect the industrial transformation taking place in the Asian developing world from manufacturing to services. It may also capture a long-term shift of services centres from the west to the east – a reshuffle on a truly global scale. But at the same time, it’s evidence that Brexit has weakened the UK as the European centre for services. Yes, business shifted to Ireland (and Luxembourg) to some extent, but that could be hiding a wider collective setback. The question for the years ahead, for the UK and its European services peers, is whether they can come up with arrangements that help maintain their collective strengths – and to what extent they can exploit opportunities elsewhere, particularly on developing countries, where US services providers have traditionally been far ahead. This article was co-written by Professor Jun Du and Dr Oleksandr Shepotylo.
How does the job market look for the Class of 2021 ? The answer: much better, says IU expert
As the class of 2021 graduates this weekend to embark on new challenges and careers, Rebecca Cook, executive director of undergraduate career services at the Indiana University Kelley School of Business, reflects on the current job market and offers insights into what summer internships may be like for current students. “The summer of 2020 was a mess for student internships and full-time roles, with pretty much all either going virtual or, in the case of many internships, being cancelled altogether as companies tried to figure out business during the pandemic. Luckily, the job outlook for both full-time roles and internships in May 2021 looks a lot different – and a lot better. “The job market is hopping right now with a significant number of internship and full-time opportunities, as companies open up and business grows. Industries such as professional services, technology, health care, manufacturing and financial services are all seeing significant upticks in job postings. Even companies hard-hit by the pandemic, such as retail and hospitality, are picking up their hiring. “While hiring is back to pre-pandemic levels in many industries, the level of competition for those roles has increased significantly. In a normal year, the majority of job seekers are that year’s graduates. However, this year we have 2021 grads plus some 2020 grads who still are seeking plus those who went to graduate school to put off job hunting during the pandemic and are now graduating. This all leads to a much more competitive job market and one where a student needs to work to stand out from the crowd, particularly through networking and reaching out to potential connections at their companies of interest. “We recommend that students spend a lot more time networking than they may have in the past, creating a focused list of companies they are interested in and then spending the time to connect and speak with employees at those companies. Leverage any ‘warm’ connections possible, such as friends, family members, fellow Kelley alumni, faculty and staff recommendations. “An important point to remember is that roughly 75 percent of jobs are never advertised publicly, so the only way to find out about them is through networking. Many new jobs, as well as internships, may start out virtual “It’s important to note that many roles that students are entering will still be virtual, at least for the time being, as companies are very mixed as to if they are back in the office already, not returning to the office until early fall, or staying remote entirely. Internships in particular are likely going to be virtual, while full-time jobs are looking to be mixed, with many starting out virtual but then likely moving in-person when offices open up. While being virtual once again is probably disappointing, students should remember that they can be just as successful with a virtual full-time role or internship as an in-person one. “The key is staying connected with their supervisor and co-workers on a regular basis. They should also network with as many people in their full-time or internship company as possible, taking the initiative to set up Zoom (or whatever video conferencing tool that the company uses) meetings regularly in order to learn as much about the company and role as possible, as well as to build their network for future opportunities. “Overall, there are a lot of available opportunities out there for students – they just need to put in the time to network and get their name and brand known.” To schedule an interview with Cook, contact George Vlahakis at vlahakis@iu.edu.
Kelley expert available to discuss Bernard Madoff's legacy, long-term effect of his scheme
Bernard “Bernie” Madoff, convicted architect of an infamous and epic securities Ponzi scheme with thousands of investors, died behind bars on April 14 at the age of 82. Noah Stoffman, an associate professor of finance and Weimer Faculty Fellow at the Indiana Kelley School of Business, has researched the effect of such fraud beyond the direct investments that were lost by victims. His 2018 paper, “Trust Busting: The Effect of Fraud on Investor Behavior,” co-authored with professors at Cornell University and the University of Texas-Dallas, showed that the collapse of the Madoff Ponzi scheme had an effect not only on his many direct victims, but also on the general level of trust in financial services. “People who live in the same areas as victims of the fraud withdrew assets from investment advisers and increased their deposits in banks. Financial advisers in these areas were also more likely to close. Our analysis shows that advisers who provided services that can build trust—such as financial planning advice—saw lower levels of withdrawals. Our evidence suggests that this decline in trust shock was transmitted through social networks,” Stoffman said. Stoffman’s research focuses on the investment decisions of professional money managers and individual investors, and on the effect of technological innovation on asset prices. Much of his work highlights the importance of social interaction in the spread of information in financial markets. Stoffman teaches courses on analysis of financial data to undergraduates, MBAs, and doctoral students at the Kelley School. He can be reached at 812-955-1758 (m) or nstoffma@indiana.edu.
As the pandemic enters its second year, household expenses remain top of mind for consumers, as does the cost of auto insurance. It’s one of the reasons why CAA Insurance has seen a dramatic increase over the past ten months in the number of drivers who have signed up for Canada’s only pay-as-you-go auto insurance payment program, CAA MyPace™. New CAA Insurance data reveals, that the number of new CAA MyPace policies between April and December 2020 increased by almost 300 per cent compared to the same period in 2019. “While the growth is remarkable, it reinforces what consumers are telling us, that a one-size-fits-all solution to auto insurance isn’t working for them, especially during these challenging times where many vehicles are not being used as much,” says Matthew Turack, president of CAA Insurance. “CAA MyPace is a one-of-a-kind payment program that lets customers take control of their car insurance costs by giving them the freedom to pay for the distance they drive.” On average, people who switch to CAA MyPace are saving 50 per cent on their auto insurance costs, compared to a traditional policy. The pay-as-you-go program was launched in 2018, and benefits motorists who drive less than 9,000 kilometres per year. In 2020, CAA Insurance provided over $60 million in relief to support policyholders in managing their expenses during the pandemic. The Financial Services Regulatory Authority of Ontario (FSRA) identified CAA Insurance as the leading insurer, providing the highest percentage of rate relief to its policyholders. Nearly one year ago, CAA Insurance led the insurance industry by providing a 10 per cent rate reduction for a 12-month term to all active CAA Auto and Property Insurance policyholders. CAA Insurance will continue to apply this rate reduction in 2021 for its active policyholders. No action is necessary by policyholders to receive this reduction.
The new initiative is in addition to the $100 Auto Insurance Relief Benefit and 10 per cent rate reduction announced earlier in the year. CAA Insurance Company is introducing a $50 relief benefit for its active auto policies in effect as of October 28, 2020. No action is required by insureds or their brokers to receive the benefit. Eligible policyholders should expect a $50 cheque in the mail, just in time for the holiday season. “As the pandemic continues, so do the financial hardships faced by many households,” says Matthew Turack, president of CAA Insurance Company. “Ontarians have been looking to their insurance companies to help them save on their insurance premiums. We are very proud that CAA Insurance continues to lead the industry by helping drivers save on auto insurance costs and provide financial relief to families impacted by the pandemic.” President & CEO of CAA Group, Jay Woo further adds, "We fully recognize that insurance is among the highest costs of every household and we are pleased to provide this additional financial relief to our valued Members. All throughout the CAA group of companies, we are continuing to find more ways to help our Members and Customers get through this global crisis." Earlier this year, CAA Insurance was the first and only insurance company to offer both a 10 per cent rate reduction on home and auto policies for the duration of a 12-month policy term, and a $100 rebate for all active auto policies. In total, including this latest benefit, CAA Insurance will have given back over $60 million to help policyholders manage their expenses during these difficult times. In a recent study, the Financial Services Regulatory Authority of Ontario (FSRA) examined rate relief measures by insurance companies during the pandemic (through June 30, 2020). CAA Insurance was identified as the top insurer, providing the highest percentage of rate relief to its policyholders. In April 2020, a survey conducted by CAA South Central Ontario found that auto insurance is the area where Members (43 per cent) are most likely looking to reduce costs because of COVID-19, exceeding groceries, telecommunications and mortgages/rent payment. CAA Insurance agents and brokers continue to assist customers in finding additional ways to adjust coverage and reduce payments to reflect changes in driving behaviour such as: CAA MyPace, Canada’s first and only pay-as-you-go auto insurance program, so you only pay for the kilometres you are using Reducing annual mileage amounts on policies Insurance adjustments for multiple cars that aren’t being driven A discount for drivers that install four matching winter tires for use during the winter months Ontario drivers are encouraged to check with their agent or broker and make sure they explore all available options, as every insurance company is taking a different approach during the COVID-19 pandemic.
CAA Insurance announced today that it will be offering a 10 per cent rate reduction for new and renewing home and/or auto insurance policy holders. This rate reduction will be available starting soon in Ontario and is valid for the duration of a 12-month policy term. “CAA believes that insurance should be based on people’s needs, and according to their lifestyle,” said Matthew Turack, president, CAA Insurance. “Right now, people are driving less and are focused on reviewing their finances. This rate reduction, combined with other creative ways where CAA Insurance can potentially help find savings, can make a big difference for people when they need it most.” CAA Insurance has been able to help consumers save money on their insurance premiums since the launch of CAA MyPace in 2018. The first-of-its-kind program in Canada, gives consumers more choice and control, by allowing motorists to monitor how much they are driving and to pay for auto insurance based on that mileage. The 10 per cent rate reduction is aimed specifically at lowering premiums during the COVID-19 pandemic. The reduced rates can be combined with additional ways to adjust coverage and payment plans to reflect reduced driving behavior such as: Reducing annual mileage amounts on policies Insurance adjustments for multiple cars that aren’t being driven CAA MyPace Customers switching to CAA MyPace due to a shift in driving habits, can decide to return to a traditional CAA Insurance policy with no fees or penalties once COVID-19 physical distancing measures are over, and higher mileage needs return. “The key thing is for consumers to check with their agent or broker, and make sure you explore all your options,” continued Turack. “Every company is taking a different approach during the COVID-19 pandemic, and it’s important to use this time to shop around to make sure you find the best savings.” While the auto insurance rate reduction will soon be available in Ontario, CAA Insurance is working with regulators in other provinces, with the intention to deliver auto insurance savings in all provinces where it operates. “CAA Insurance recognizes the efforts being made by the Financial Services Regulatory Authority (FSRA) to enable the industry to implement measures that help provide solutions to Ontario consumers during these challenging times,” said Turack.
‘Bottom-line mentality’ can lead to loss of employee respect and loyalty, research shows Supervisors driven by profits could actually be hurting their coveted bottom lines by losing the respect of their employees, who counter by withholding performance, according to a new study led by Baylor University. The study, “The Influence of Supervisor Bottom-Line Mentality and Employee Bottom-Line Mentality on Leader-Member Exchange and Subsequent Employee Performance,” is published in the journal Human Relations. “Supervisors who focus only on profits to the exclusion of caring about other important outcomes, such as employee well-being or environmental or ethical concerns, turn out to be detrimental to employees,” said lead researcher Matthew Quade, Ph.D., assistant professor of management in Baylor University’s Hankamer School of Business. “This results in relationships that are marked by distrust, dissatisfaction and lack of affection for the supervisor. And ultimately, that leads to employees who are less likely to complete tasks at a high level and less likely to go above and beyond the call of duty.” While other studies have examined the impact of bottom-line mentality (BLM) on employee behavior, Quade said this is the first to identify why employees respond with negative behaviors to supervisors they perceive to have BLM. The research team surveyed 866 people. Half of those surveyed were supervisors; the other half were their respective employees. Data was collected from those who work in a range of jobs and industries, including financial services, health care, sales, legal and education. Researchers measured supervisor BLM, employee BLM, task performance and leader-member exchange – the rating employees gave of their relationships with their supervisors. Employees rated their supervisors’ BLM by scoring on a scale statements like: “My supervisor treats the bottom line as more important than anything else” and “My supervisor cares more about profits than his/her employees’ well-being.” They rated leader-member exchange via statements such as “I like my supervisor very much as a person” and “My relationship with my supervisor is composed of comparable exchanges of giving and taking.” Supervisors rated their employees by scoring statements such as: “This employee meets or exceeds his/her productivity requirements,” “This employee searches for ways to be more productive” and “This employee demonstrates commitment to producing quality work.” Based on the responses and the data collected and analyzed, the researchers found: High-BLM supervisors create low-quality relationships with their employees. In turn, employees perceive low-quality leader-member exchange relationships. Thus, employees reciprocate by withholding performance. When supervisor BLM is high and employee BLM is low, the damaging effects are strengthened. When both supervisor and employee BLM are high, the negative performance is still evident. The last finding on that list was particularly significant, Quade said, because it contradicts a common belief that when two parties (in this case, supervisors and employees) think alike and have similar values, there will be a positive outcome. Not so much in the case of BLM, the study shows. “When supervisor and employee BLM is similarly high, our research demonstrates the negative effect on performance is only buffered, not mitigated – indicating no degree of supervisor BLM seems to be particularly beneficial,” the researchers wrote. “It seems even if employees maintain a BLM, they would prefer for their managers to focus on interpersonal aspects of the job that foster healthier social exchange relationships with their employees in addition to the bottom line.” The profit-performance relationship can spark a conundrum for companies, Quade said, because organizations want to be profitable, and performance is an important indicator of an organization’s health and vitality. If leaders believe a negative dynamic regarding BLM exists in their organization, the researchers suggest a few practical steps: Be cautious of a BLM approach or emphasizing bottom-line outcomes that could neglect other organizational concerns, such as employee well-being and ethical standards. Managers should be aware of the message they pass along to employees (and the possible performance repercussions) when they tout bottom-line profits as the most important consideration. Organizations that need to emphasize bottom-line outcomes should consider pairing the BLM management style with other management approaches known to produce positive results, such as practicing ethical leadership. “Supervisors undoubtedly face heavy scrutiny for the performance levels of their employees, and as such they may tend to emphasize the need for employees to pursue bottom-line outcomes at the exclusion of other competing priorities, such as ethical practices, personal development or building social connections in the workplace,” the researchers wrote. “However, in doing so they may have to suffer the consequence of reduced employee respect, loyalty and even liking.” ABOUT THE STUDY “The Influence of Supervisor Bottom-Line Mentality and Employee Bottom-Line Mentality on Leader-Member Exchange and Subsequent Employee Performance” is published in the journal Human Relations. Authors are Matthew Quade, Ph.D., assistant professor of management in Baylor University’s Hankamer School of Business; Benjamin McLarty, Ph.D., assistant professor of management, Mississippi State University; and Julena Bonner, Ph.D., assistant professor, Utah State University. ABOUT BAYLOR UNIVERSITY Baylor University is a private Christian University and a nationally ranked research institution. The University provides a vibrant campus community for more than 17,000 students by blending interdisciplinary research with an international reputation for educational excellence and a faculty commitment to teaching and scholarship. Chartered in 1845 by the Republic of Texas through the efforts of Baptist pioneers, Baylor is the oldest continually operating University in Texas. Located in Waco, Baylor welcomes students from all 50 states and more than 90 countries to study a broad range of degrees among its 12 nationally recognized academic divisions. ABOUT HANKAMER SCHOOL OF BUSINESS AT BAYLOR UNIVERSITY At Baylor University’s Hankamer School of Business, integrity stands shoulder-to-shoulder with analytic and strategic strengths. The School’s top-ranked programs combine rigorous classroom learning, hands on experience in the real world, a solid foundation in Christian values and a global outlook. Making up approximately 25 percent of the University’s total enrollment, undergraduate students choose from 16 major areas of study. Graduate students choose from full-time, executive or online MBA or other specialized master’s programs, and Ph.D. programs in Information Systems, Entrepreneurship or Health Services Research. The Business School also has campuses located in Austin and Dallas, Texas. Visit www.baylor.edu/business and follow on Twitter at twitter.com/Baylor_Business.
