Why the evolution of the automotive industry needs to be rooted in diversity
At FOCAL, we understand that the term ‘diversity’ goes beyond issues of gender and ethnicity—the meaning is far more broad than that. We recognize the need for inclusion and intersectionality in the workforce including diversity in labour force education, language, technical skills, professional background and more.
While the automotive industry has embraced the diversity proposition for many years now, considering the challenges our industry is facing as we transition from ICE (internal combustion engine) to EVs (electric vehicles), the need to promote this important professional reality is even more necessary.
The FOCAL initiative continues to actively support diversity in the auto sector through several specific initiatives involving critical issues such as training, upskilling and funding. As we stated in a recent post, “FOCAL also sought out and engaged automotive industry leaders drawn from assemblers, suppliers, unions, government, educational institutions, and NGOs with one primary purpose:
To ensure the relevancy of our work to stakeholders, students, job seekers and the entire Canadian automotive production supply chain, our work was rooted in reality. Far from theoretical, FOCAL efforts have examined vitally important trends such as:
- The impact new technology would have on labour markets,
- Attitudes that women, youth, and indigenous peoples have towards the sector,
- Ongoing attempts to increase skilled trades apprenticeships,
- The unique challenges that employers face in rural regions.”
While diversity trends in our industry are many and varied, we want to focus on three that merit particular attention.
1. Equity, Diversity and Inclusion Fund
A case in point is the Equity, Diversity and Inclusion Fund (EDI) launched by the Automotive Parts Manufacturer’s Association (APMA). According to APMA: “Diminishing skilled labour in Canada’s automotive sector due to its ageing workforce has become an increasingly urgent issue. The talent pool of employable young Canadians is shrinking, and automotive vacancies are not being filled in sufficient numbers by new talent.”
This skills shortage is what the EDI Fund is intended to combat. Funding will provide up to 800 participants with skills development and employment opportunities by supporting employers and community partners’ with up to $8,000 in financing for employing youth hires.
2. Career diversity for women
Expanded career opportunities for women is another example of the Canadian automotive industry turning a past weakness into a current and future strength.
A FOCAL Trend Report entitled Women’s Participation in Canada’s Automotive Industry found that: “Women are under-represented in Canada’s automotive industry with slightly lower representation in Assembly (23%) than in Parts production (25%). This stands in contrast to the proportion of women in Canada’s broader labour force (48%) but is comparable to the broader manufacturing (28%) labour force.”
These findings based on 2017 data stand in sharp contrast to employment gains by women at the executive level in our industry. A Toronto Star story entitled Diverse career opportunities available for women in auto industry – Push to recruit more female staff is ongoing, and female leadership is a fact in 2022 stated:
“The automobile industry has evolved considerably in the past two decades, in terms of vehicle design, safety features, fuel efficiency, on-board electronics and connectivity. One area that has also changed is the representation of women in the industry…Where they formerly worked mostly in clerical, finance or administrative positions, today they serve as dealer principals, general managers, controllers, accountants, sales consultants, sales managers, human resource managers, service managers, parts advisers, auto technicians and marketing specialists.”
The Toronto Star story went on to list the women holding leadership positions at the corporate level in the Canadian auto industry—a roll call of excellence and accomplishment:
- Bev Goodman, president and CEO of Ford Canada
- Erin Buchanan, general manager of manufacturing at Toyota Motor Manufacturing Canada
- Susan Kenny, engine plant manager at Honda Canada Manufacturing
- Linda Hasenfratz, CEO of Linamar Corporation
- Jeanette Wiltshire, manager of retail marketing and programs at Hyundai Auto Canada
And while she isn’t mentioned in the Toronto Star article, it’s worth adding that the President and Managing Director of GM Canada is a woman named Marissa West.
3. The Trillium Automobile Dealers Association advocates for diversity in the workplace
The Trillium Automobile Dealers Association (TADA) is a strong advocate for creating more inclusive and diverse workplaces. At the 2020 Canadian International AutoShow, TADA hosted Women Driven, which they define as “a networking event aimed at creating greater awareness among women about the diverse careers available in the retail, manufacturing and aftermarket segments of the industry.”
In addition to media outlets, new-car dealerships and dealer groups, the event attracted vehicle manufacturers, aftermarket suppliers and post-secondary schools that offer automotive courses.
As the Toronto Star reported: “Women Driven was the brainchild of Susan Gubasta (the first female president of the TADA in 2018 and 2019, and president and CEO of Mississauga Toyota), along with four other women who have carved out successful careers in the auto industry. The sold-out event drew more than 350 people.”
Increasing diversity in the Canadian automotive space is just one of several parallel transformations we all welcome as we go forward. Digitization and a greener economy will continue to impact everyone in our industry, from existing employees to prospective ones. Roles are changing, as are the qualifications needed to fulfil them. Knowing this, employers need to make diversity a priority as they staff the roles of the future.
Follow FOCAL to stay informed
We’ve got a lot of work ahead of us and we’re geared up to handle it. Please follow FOCAL on LinkedIn, Facebook, Twitter and Instagram to stay informed about the progress we’re making and gain access to resources and special events as well as funding opportunities for employers.
We encourage everyone reading this blog to share it with their professional networks to best share these opportunities with automotive sector staff and employers. Again, the FOCAL team welcomes your questions and feedback – you may contact us at your convenience.