Accommodation and food services
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1 2016 SECTOR SPOTLIGHT NAICS 72 Accommodation and food services Report Contents What is this industry sector? STATISTICS CANADA DEFINITION SECTOR STRUCTURE How does this sector stack up in Ottawa? OTTAWA DASHBOARD HIGHLIGHTS Sector Employment (Jobs) REGIONAL TRENDS (5-year Job Growth - Ottawa vs. Ontario vs. Canada) 2016 EMPLOYMENT A SUBSECTOR VIEW 2016 EMPLOYMENT SNAPSHOT INDUSTRY GROUPS JOB NUMBERS BY INDUSTRY GROUP (Past 5 years and 3-year outlook) KEY OCCUPATIONS IN THE SECTOR Sector Self-Employment SECTOR AT A GLANCE A CLOSER LOOK AT SHARE OF SELF-EMPLOYMENT Sector Business & Employer Counts SECTOR AT A GLANCE BUSINESS COUNTS AT INDUSTRY GROUP LEVEL Online Supply & Demand ONLINE JOB POSTINGS ONLINE JOB SEEKER PROFILES In the News GAINS LOSSES TRENDS/PROJECTIONS Sample Report Industry Summaries Note on geography: This report looks at data for the Ottawa Census subdivision. Census subdivision (CSD) is the general term for municipalities (as determined by provincial/territorial legislation). Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 1
2 What is this industry sector? STATISTICS CANADA DEFINITION This sector comprises establishments primarily engaged in providing short-term lodging and complementary services to travellers, vacationers and others, in facilities such as hotels, motor hotels, resorts, motels, casino hotels, bed and breakfast accommodations, housekeeping cottages and cabins, recreational vehicle parks and campgrounds, hunting and fishing camps, and various types of recreational and adventure camps. This sector also comprises establishments primarily engaged in preparing meals, snacks and beverages, to customer orders, for immediate consumption on and off the premises. SECTOR STRUCTURE Below we show this sector s two subsectors (3-digit level), as well as the 4-digit level Industry Groups that will be explored in this report. SUBSECTOR NAICS Accommodation services Code Industry group 7211 Traveller accommodation 7212 Recreational vehicle (RV) parks and recreational camps 7213 Rooming and boarding houses SUBSECTOR NAICS Food services and drinking places Code Industry group 7223 Special food services 7224 Drinking places (alcoholic beverages) 7225 Full-service restaurants and limited-service eating places Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 2
3 How does this sector stack up in Ottawa? OTTAWA DASHBOARD The graphic below ranks Ottawa s Top 12 sectors (based on # of jobs in 2016) and shows how Accommodation and food services (NAICS 72) stacks up against the other sectors on a dashboard highlighting key local labour market information (LMI). HIGHLIGHTS 6% of Ottawa jobs are in Accommodation and food services. Job growth in this sector over the past three years accounted for 10% of all job gains in Ottawa. Ottawa is 8% below the national average in terms of share of workers in this industry average annual salary for jobs in this sector was $20,028. Only 2% of those working in this sector are self-employed. This sector accounts for 3% of all businesses in Ottawa and 7% of all employers (businesses with at least one employee). This sector accounted for 3% of all Ottawa online job ads in 2016, with the most ads posted by employers in Full-service restaurants and limited-service eating places. 48% of active online job seekers in this sector in Q identified Sales and service as the most recent occupation group in which they worked. Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 3
4 Sector Employment (Jobs) REGIONAL TRENDS (5-year Job Growth - Ottawa vs. Ontario vs. Canada) Region 2011 Jobs 2016 Jobs Change % Change Ottawa 31,457 37,253 5, % Ontario 400, ,533 64, % Canada 1,128,455 1,278, , % 2016 EMPLOYMENT A SUBSECTOR VIEW Job numbers, growth rate and forecast number of new jobs NAICS Description Food services and drinking places % Change ( ) Forecast change ( ) 26,931 28,727 29,957 30,308 31,330 31,666 18% Accommodation services 4,526 4,449 4,596 4,943 5,500 5,587 23% 197 Source: EMSI Analyst 2016 Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 4
5 2016 EMPLOYMENT SNAPSHOT INDUSTRY GROUPS Source: EMSI Analyst 2016 Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 5
6 JOB NUMBERS BY INDUSTRY GROUP (Past 5 years and 3-year outlook) Job numbers, growth rate and forecast number of new jobs* NAICS Description Full-service restaurants and limited-service eating places 23, , , , , ,83 3 % Change ( ) Forecast change ( ) 19% Traveller accommodation 4,342 4,249 4,426 4,795 5,305 5,392 24% Special food services 2,576 2,811 2,603 2,736 2,792 2,819 9% Drinking places (alcoholic beverages) 7212 Recreational vehicle (RV) parks and recreational camps 959 1,008 1,159 1,166 1,013 1,014 6% % Rooming and boarding houses % 4 SECTOR TOTAL 31,457 33,176 34,553 35,251 36,830 37,253 18% 991 Source: EMSI Analyst 2016 (*EMSI recommends taking occupation data below 500 jobs with a grain of salt because of source data sampling sizes; occupation data is not considered reliable where fewer than 100 jobs) Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 6
7 KEY OCCUPATIONS IN THE SECTOR The job data shown thus far has focused on number of workers in your sector and its industry groups. Now we take a look at what these workers are doing by focusing on the key occupations in your sector. Top Ten Occupations (Sector job numbers and growth over past five years) NOC Description Employed in Industry (2011) 6711 Food counter attendants, kitchen helpers and related support occupations Employed in Industry (2016) Change ( ) % Change ( ) % of Total Industry Jobs (2015) 7,828 9,896 2,068 26% 27% 6513 Food and beverage servers 5,350 4, % 12% 6322 Cooks 3,535 4, % 12% 6611 Cashiers 2,689 2, % 8% 6311 Food service supervisors 1,132 2,197 1,065 94% 6% 6511 Maîtres d'hôtel and hosts/hostesses 1,593 1, % 5% 0631 Restaurant and food service managers 1,456 1, % 4% 6731 Light duty cleaners 1,066 1, % 4% 6512 Bartenders 631 1, % 4% 6321 Chefs 1,235 1, % 4% Source: EMSI Analyst 2016 Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 7
8 Sector Self-Employment (2016) SECTOR AT A GLANCE A CLOSER LOOK AT SHARE OF SELF-EMPLOYMENT The chart below shows share of self-employment for the overall sector and for each industry group. Sector Ranking Share of workers self-employed in each industry group Source: EMSI Analyst 2016 Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 8
9 Sector Business & Employer Counts (June 2016) SECTOR AT A GLANCE BUSINESS COUNTS AT INDUSTRY GROUP LEVEL Code Description None Total 7225 Full-service restaurants and limited-service eating places , Special food services Traveller accommodation Drinking places (alcoholic beverages) 7212 Recreational vehicle (RV) parks and recreational camps 7213 Rooming and boarding houses Source: EMSI Analyst 2016 Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 9
10 Online Supply & Demand (2016) ONLINE JOB POSTINGS A Closer Look at Skill Level Required in Job Postings (Sector vs. Ottawa overall) The chart below shows skill level requirements for jobs posted in this sector versus those posted for all Ottawa sectors. Source: Vicinity Jobs 2016 Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 10
11 ONLINE JOB SEEKER PROFILES In October 2016, Ottawa Employment Hub subscribed to newly published data providing insight into local labour supply. This information is only available from October 2016 onward so we provide below the data for Q The numbers shown reflect Job Profiles that were either added or updated within a 30-day span by job seekers living in Ottawa between October and December A Closer Look at Occupations of those with Active Job Profiles The chart below shows number of job seeker profiles by occupation group most recently worked in. Source: Vicinity Jobs 2016 Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 11
12 In the News Highlights GAINS Jan 4, 2017 Ottawa Business Journal Ottawa hotel industry gears up for historic year Hotels in Ottawa are getting ready for the Canada 2017 year-long celebrations. Many hoteliers are saying that they are expecting this to be their busiest year with events happening throughout the year that are sure to attract extra visitors from all around. The Lord Elgin Hotel General Manager mentioned that they will be hiring extra staff to cope with the increased demand. The Lord Elgin also completed a 10 million dollar renovation to ensure that the hotel is ready. Nov 14, 2016 Ottawa Business Journal Ottawa-Gatineau economy forecast to grow 2.2% in 2017 Robust construction activity, an expanding federal government and an influx of visitors attending Canada s 150th anniversary celebrations will help Ottawa-Gatineau s economy expand at its fastest pace in seven years in 2017, the Conference Board of Canada said Monday. LOSSES Jan 11, 2017 Ottawa Citizen Don Cherry's Nepean restaurant closes Only one Don Cherry s Sports Grill remains open. The Nepean location of the franchise shut down after waning foot traffic and increased costs. The closure meant that 25 people had to be laid off. This also marks the third Don Cherry s Sports Grill to shut its doors. Jan 3, 2017 Ottawa Citizen Elgin Street's Fresco bistro and Guest Room cocktail lounge to close Thursday Another Elgin street location has shut its doors for business. Fresco Bistro Italiano closed its doors on January 5 th after 25 years of service. The small franchise had two locations; the other on Hazeldean Road in the city s westend shut down on January 1 st. TRENDS/PROJECTIONS Nov 1, 2016 Ottawa Business Journal Ottawa hotels lobby for licensing of Airbnb landlords With the number of Airbnb rentals in Ottawa proliferating, the city s hoteliers association says it s increasing pressure on government officials to introduce licensing requirements for the short-term rental of private residences. Jul 2016 McKinsey & Company Where machines could replace humans and where they can t (yet) Discusses the potential for automation in the food service sector. For quite some time now, cafeterias have been seeing an increase in automation with automatic checkout systems; even automatic hamburger fryers have been created. Currently available technology has the capacity to replace many aspects of kitchen work; management just needs to make the decision to implement this technology. Low costs of labour is protecting cooks and kitchen helpers right now, as many are willing to work cheaply, and automation has a heavy upfront cost which many businesses are not willing to implement right away. Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 12
13 Sample Report Industry Summaries Below is a sample report that can be requested for any industry at the 3- or 4-digit (subsector or industry group) level. Some of these may also be available on the Labour Market Ottawa web portal. Industry Summary for Full-service restaurants and limited-service eating places Regional Trends 27, % Jobs (2015) % Change ( ) 6% below National average Nation: 15.8% Region 2011 Jobs 2016 Jobs Change % Change Ottawa 23,395 27,833 4, % Ontario 297, ,670 51, % Canada 804, , , % Top Occupations Employed by this Industry Description Employed in Industry (2015) % of Total Jobs in Industry (2015) Food counter attendants, kitchen helpers and related support occupations 8, % Cooks 3, % Food and beverage servers 3, % Cashiers 2, % Food service supervisors 1, % Source: EMSI Analyst 2016 Local Employment Planning Council 2016 SECTOR SPOTLIGHT (Published February 2017) 13
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