TORONTO (miningweekly.com) – The Mining Association of Canada's (MAC’s) latest ‘Facts & Figures 2013’ report states that new data points to a striking increase in the number of Canadians employed in mining and related industries, with more than 418 000 people in full-time-equivalent jobs working in various facets of the sector.

Drawing from a new data source, Natural Resources Canada has released a more comprehensive estimate of mining sector employment, the MAC said on Thursday.

The report includes data for support activities of the mining sector that was not previously captured, including drilling and exploration. This grew the number of mining employees in Canada from 330 000 people in 2011 to 418 000 people in 2012, accounting for one in every 41 Canadian jobs.

Year-over-year, employment growth showed an increase of more than 11 000 jobs, or 2.8%, from 2011 to 2012.

"This remarkable employment figure is a much more accurate view of the Canadian mining industry's role as both a major employer and economic driver in Canada. It also adds to our already impressive employment figures.

“Not only is the mining industry the top paying industrial sector in the country, but it is also the largest private sector employer of Aboriginal people on a proportional basis and supports thousands of indirect jobs,” MAC president and CEO Pierre Gratton said.

Those who work in the industry enjoy the highest wages and salaries of all industrial sectors in Canada with an average weekly pay of $1 559, surpassing the earnings of workers in finance, manufacturing, construction and forestry.

Further, with more than 3 200 companies supplying goods and services to mining operations, Canada has one of the largest mining supply sectors in the world, broadening the industry's economic and employment reach.

The report, which drew on the most recent data available from the federal government (mostly 2012), revealed that the mining industry contributed greatly to the Canadian economy in a number of important ways.

Canada's mining sector contributed $52.6-billion to the national gross domestic product in 2012, and mining industry exports accounted for $92.5-billion, or 20.4%, of the Canadian total.

The value of Canadian mineral production remained elevated in 2012 at $46.9-billion and mineral exploration and deposit appraisal expenditures maintained the $3.9-billion record set in 2011.

TOP COMPETITOR

Globally, Canada is one of the top mining countries, the MAC said.

Toronto is the leading global mining finance centre in the world. In 2012, the TSX and the TSX-V accounted for about 70% of the world's mining equity financings. Together, these financings comprised 70% of the equity raised globally for the year.

Canada also ranked in the top five countries in the global production of potash, uranium, aluminium, cobalt, titanium, tungsten, cadmium, diamonds, platinum, sulphur and nickel.

"Canada's ability to attract highly mobile global mining investment is contingent on several factors aside from commodity prices set by the global market, many of which reside within our own borders. It is imperative that industry and Canadian governments work together to address key domestic challenges in order to support new mining growth and ensure the country remains an attractive place to mine or list,” Gratton said.

TOP INDUSTRY NEEDS

The MAC outlined the top needs of the Canadian mining industry in 2014, saying an effective regulatory process was imperative.

In the face of recent and significant changes to the Canadian mining regulatory regime, every effort must be made to ensure a smooth transition to the new regulatory model, and avoid unnecessary and costly regulatory delays.

The Canadian mining sector expected more than 145 000 people would need to be hired over the next decade to replace retirees and fill new positions. Ensuring the industry had the skilled workers it needed to operate was critical for industry growth.

Operating mines are often located in remote areas and they require roads, marine access and power grids. A long-term strategic approach to infrastructure investment would be required to fully capitalise on Canada's mining opportunity, particularly in Canada's North.

Further, Canadian mining companies were facing increasing competition from other mining jurisdictions, such as Australia and China. The MAC urged the federal government to continue its robust trade agenda by establishing trade, investment and double taxation agreements, and by providing programmatic support to help companies compete.