Business: One third of small businesses ghosted by candidates and new hires, CFIB report

by Morinville Online Staff

A recent study by the Canadian Federation of Independent Business highlights a new employment trend, employers being ghosted by job candidates and new hires.

CFIB says 36 per cent of members surveyed indicate they’ve hired people who never showed up or stopped coming into work shortly after starting. Thirty-seven per cent indicate candidates stopped responding during the application or interview process in the past 12 months.

“Employers are already having an incredibly hard time filling certain positions. Ghosting is not only a frustrating waste of their time; it’s a big drain on their already limited resources,” said CFIB President Dan Kelly in a media release Thursday. “Job candidates and employees don’t have to take or stay in jobs they don’t like, but they should at least communicate their intentions clearly to their employer instead of leaving them scrambling and wondering.”

The same report indicates labour shortages continue to limit business growth for 53 per cent of businesses relying on skilled labour,  and for 38 per cent of businesses relying on semi-skilled and unskilled labour.  Over half, CFIB reports 52 of per cent of small businesses have yet to return to normal revenue levels and 58% haven’t repaid their pandemic debt, according to CFIB’s Small Business Recovery Dashboard.

The business lobby group is looking to the federal government to make changes as it plans to undergo Employment Insurance (EI) reform.

“We’re hearing from business owners who have experienced ghosting that some candidates prefer to stay on EI for as long as possible and may be applying for or taking jobs just to satisfy the requirements of the program,” added Kelly. “While the vast majority of EI recipients may be looking for work in good faith, any changes the government is considering making to the program should not disincentivize people from accepting or starting jobs, especially with the current labour shortages we’re experiencing.”

CFIB is recommending that government not make coverage for the self-employed mandatory, as it could have significant cost implications for many small businesses, and they also want the government to undertake a full and detailed costs analysis of all expansion proposals and laying out a plan to ensure EI remains sustainable without imposing any new costs on employers

“EI is supposed to serve as a temporary relief measure for people facing an unexpected job loss or in between jobs. Now is not the time to make permanent changes to the EI system that would increase the cost of doing business or disincentivize people from working. Small businesses still need time to get back on their feet,” said CFIB Senior Vice-President of National Affairs Corinne Pohlmann. “Employers across all provinces and sectors are experiencing labour shortages, and any changes to the EI program should not exacerbate them.”

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