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Nearly half of Canadians miss high school literacy grade — and that's bad for economy – CBC.ca

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Nearly half of Canada’s population has a big roadblock ahead of them when it comes to post-pandemic economic recovery — and it’s not the novel coronavirus but a fundamental set of skills for daily life.

Poor reading and writing skills make up a literacy gap in Canada with consequences for both democracy and the economy. Experts say the gap is due in part to an abundance of jobs in the past that do not require the daily use of reading comprehension and information synthesis skills.

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In short, literacy is not like riding a bike. It takes practice to retain those skills, and Canada’s economy does not provide the opportunity to do that for many workers.

Despite relatively high education rates, an analysis of international assessments by Statistics Canada in 2013 showed that more than one in six adult Canadians fell short of passing the most basic set of literacy tests.

The Programme for the International Assessment of Adult Competencies (PIACC) looks at how adults process information and how they use literacy, mathematics and problem solving both at home and at work.

If you’re working in a particular role, whatever it is, where reading and writing isn’t necessarily a big part of the job, those skills may erode over time.– Michael Burt, Conference Board of Canada

Canada’s results, which have not substantially changed since the first PIACC, show that many in this country are unable to complete ordinary tasks, such as filling out a job application, reading a news article or sending an email. 

About half the adult population fell short of passing a high school level of assessment, by testing the ability to digest lengthier and more complex texts while processing the information accurately.

“Generally speaking, we’re below average compared to other OECD [Organization for Economic Co-operation and Development] countries in terms of adult literacy, numeracy skills,” said Michael Burt, an economist with the Conference Board of Canada.

Conference Board of Canada economist Michael Burt points to the country’s resource-based economy as one reason for lower literacy rates. Canadians aren’t always forced to read and write as much to support themselves economically. (CBC)

The not-for-profit research organization gave Canada a “C” grade in adult literacy back in 2014.

“I think it really boils down to [Canadians] have a competitiveness challenge,” he told CBC Radio’s Cost of Living. “We cannot stand still because our competitors certainly are not.”

Countries that score higher than Canada in the international skills assessment, which Statistics Canada participates in, include Japan, Australia, Sweden, Finland and Holland.

The literacy gap is not limited to immigrants

Unsurprisingly, new Canadians with a native language other than English or French appear in the lowest literacy category at a higher rate than their Canadian-born counterparts.

In some provinces, immigrants with a very high literacy score actually represented a higher proportion than the Canadian-born population. Statistics Canada’s analysis of the PIAAC data indicated that more “established immigrants,” who had been in Canada longer, were represented in the lowest literacy groups at roughly the same proportion as those born in the country.

However, the lowest-scoring groups also include a significant number of Indigenous people in Canada, as well as English and French speakers born in this country.

It’s important to separate out those born in Canada from those born abroad, because while some immigrants may struggle with a new language, a significant number also have extensive job experience and education and are highly skilled in their original languages.

Monica Das, executive director of Edmonton’s Project Adult Literacy Society, says it’s important to recognize that low literacy doesn’t mean a lack of skills. (Submitted by Monica Das)

Those born and raised in Canada who struggle with language, math and computer proficiency, on the other hand, are less visible because, as advocates put it, they’re very good at “faking it.”

“They tend to hide this fact from everyone because of the fear of being called names,” said Monica Das, executive director of Project Adult Literacy Society (PALS) in Edmonton.

“‘Dumb, stupid, crazy, handicapped’ and other words are used to describe you as soon as you identify yourself as someone who struggles with reading and writing.”

Deep ‘shame’ felt by native English speakers

Native English speakers make up about half of the clients who turn to PALS for help, Das said.

Eddy Piché, 59, is one of them.

The Edmontonian spent nearly 30 years driving trucks all over Ontario and Alberta before coming to terms with what he called his “shame.”

“Some people, like, come out of college, university, they use big words and all that stuff,” Piché said. “They make you feel you really can’t do this, can’t do that. You feel shame.”

Eddy Piché’s options for work were limited because with lower literacy skills, he couldn’t fill out job applications. Retraining allowed him to move from driving a truck into a job as a social worker, but he had to overcome the ‘shame’ of illiteracy. (Submitted by Eddy Piché)

As a child, Piché said, it always took him 10 extra minutes to learn everything. He describes those extra minutes, every time, as enough to set him back for life.

“In the old days, like in the 1970s, if you had a hard time learning and stuff, like, they put you back. They put you in special ed classes,” he recalled.

Piché said because he was in special education, no one ever bothered to teach him how to read and write.

As a truck driver, he excelled by memorizing landmarks instead of reading road signs.

Project Adult Literacy Society in Edmonton helps with reading comprehension and writing. (Submitted by PALS)

At the age of 48, Piché decided to go back to school to become a social worker after overcoming significant setbacks in his life — including mental illness and addiction.

At first, he relied on his wife to help write his papers. Eventually Piché enrolled in Edmonton’s PALS program and met with a volunteer tutor each week to work on his reading comprehension and writing skills.

Today, he works with homeless and other marginalized populations.

“Some people never gave up on me, so I do the same thing. I don’t give up,” Piché told The Cost of Living. “My motto is never leave anybody behind. That’s why I do social work.”

Skills needed in a changing, automated economy

Eddy Piché’s ability to retrain and pivot is a success story, but on its own it does not scale up to solve Canada’s problem with literacy.

For years, Canada had an abundance of high-paying jobs that didn’t require high levels of literacy, such as natural resource-based work, said the Conference Board of Canada’s Burt.

“Because of the nature of our economy, things like mining and forestry are more prominent in our economy than some of our OECD peers,” he explained in a comparison to countries such as Japan or Sweden.

When driving a truck, Piché memorized landmarks to avoid having to read signs. (Dave Gilson/CBC)

Due to these economic factors, even if the Canadian education system is producing graduates with high enough literacy scores, these skills sets can atrophy.

“If you’re working in a particular role, whatever it is, where reading and writing isn’t necessarily a big part of the job, those skills may erode over time,” Burt said.

Financial incentives also distort whether Canadians complete their education, which would impact the level of their literacy skills as they enter the workforce to try for higher wages.

At the height of the oil boom, Alberta had a higher high school dropout rate than several other provinces. But the portion of the population with less education now has fewer places to go as changes to the economy accelerate, Burt said.

“The oil and gas sector is not the growth driver for the economy as it was five years ago,” the economist said. “The dynamics around that have changed considerably in recent years. On top of that, we’re looking at the impacts of digital technologies and automation on the workforce.”

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As many as one in five jobs in Canada are at risk of being automated, according to the Conference Board of Canada.

Some Canadians filling those “high-risk, low-mobility” jobs most susceptible to automation would have difficulty shifting to work that requires literacy; they tend to come from some of the country’s largest industries, such as manufacturing, food services, accommodation, retail and construction.

“These are people whose jobs are at risk to automation, and they have limited ability to move over to other jobs that are at lower risk,” Burt explained.

“Basically, there’s a real need to to think about how skills requirements are changing in the workforce,” he said. “How do we adequately prepare people for entering the workforce and how do we ensure that there are good transition pathways available for people already in the workforce today?”

Low literacy affects making informed democratic decisions

Another challenge that comes with low literacy is the difficulty in understanding information needed to make informed decisions, both in daily life and at the ballot box.

Forty-nine per cent of the Canadian population does not hit a level of literacy that can “disregard irrelevant or inappropriate content” to accurately answer questions about something they have read.

The impact of this has, perhaps, become more clear with the rise of online disinformation. On the internet, there’s no shortage of bad information to push people into making badly informed decisions. Researchers say those who struggle with reading and writing tend to also perform poorly on the digital front.

Samantha Bradshaw, a a postdoctoral fellow at the Digital Civil Society Lab at Stanford University in California, studies the impact of social media misinformation and told Cost of Living that tackling digital literacy is just as important as traditional books on paper.

Stanford University researcher Samantha Bradshaw says low literacy makes it harder to understand digital information — and that’s a problem for making decisions in a democracy. (Fisher Studios Ltd./Submitted by Samantha Bradshaw)

“Consuming content digitally is increasingly more a part of our media diet and how we get information about politics,” Bradshaw said, adding that big tech companies such as Facebook and Twitter are likely to face more government scrutiny from regulators.

According to Bradshaw, it’s critical for anyone making decisions affecting today’s democratic institutions to understand both how the information they get online is delivered to them and the biases that are present.

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“So being able to understand both the mechanisms through which information is delivered to us through these online systems, the biases that exist within the technology, as well as having the literacy skills to communicate, to interpret, to understand the argumentation and the ways in which content and narrations are being told through an online digital media,” she said.

A lot of untapped potential

There’s no magic solution to narrowing Canada’s literacy gap.

Education and training play a role, but workers and employers also need to put a higher premium on soft skills, such as reading comprehension and communication, Burt said.

“I think part of it is understanding what skills make people more resilient,” he said.

Adults, pre-pandemic, are shown working to improve their literacy skills at PALS in Edmonton. Advocates say it’s critical to remember that even with lower levels of reading and writing comprehension, these adults have been contributing citizens and that needs to be appreciated. (Submitted by PALS)

The good news is those with low literacy skills — who are most at risk of losing their jobs — have a lot of untapped potential, according to those working in the sector.

Eddy Piché serves as an example.

His skill set in problem-solving was a great fit for social work, even before he returned to school to upgrade his credentials.

But because he was unable to fill out a job application, write a caseload report or respond to emails, his options to capitalize on those soft skills to gain employment were severely limited.

“People forget to realize that this adult has been able to support himself all this time without someone else knowing that he can’t read or write,” said Monica Das with PALS in Edmonton.

“You should appreciate the amount of skills that this person has.”


Written and produced by Falice Chin.
Click “listen” at the top of the page to hear this segment, or 
download the Cost of Living podcast.

The Cost of Living airs every week on CBC Radio One, Sundays at 12:00 p.m. (12:30 NT).

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Canada’s unemployment rate holds steady at 6.5% in October, economy adds 15,000 jobs

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OTTAWA – Canada’s unemployment rate held steady at 6.5 per cent last month as hiring remained weak across the economy.

Statistics Canada’s labour force survey on Friday said employment rose by a modest 15,000 jobs in October.

Business, building and support services saw the largest gain in employment.

Meanwhile, finance, insurance, real estate, rental and leasing experienced the largest decline.

Many economists see weakness in the job market continuing in the short term, before the Bank of Canada’s interest rate cuts spark a rebound in economic growth next year.

Despite ongoing softness in the labour market, however, strong wage growth has raged on in Canada. Average hourly wages in October grew 4.9 per cent from a year ago, reaching $35.76.

Friday’s report also shed some light on the financial health of households.

According to the agency, 28.8 per cent of Canadians aged 15 or older were living in a household that had difficulty meeting financial needs – like food and housing – in the previous four weeks.

That was down from 33.1 per cent in October 2023 and 35.5 per cent in October 2022, but still above the 20.4 per cent figure recorded in October 2020.

People living in a rented home were more likely to report difficulty meeting financial needs, with nearly four in 10 reporting that was the case.

That compares with just under a quarter of those living in an owned home by a household member.

Immigrants were also more likely to report facing financial strain last month, with about four out of 10 immigrants who landed in the last year doing so.

That compares with about three in 10 more established immigrants and one in four of people born in Canada.

This report by The Canadian Press was first published Nov. 8, 2024.

The Canadian Press. All rights reserved.

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Health-care spending expected to outpace economy and reach $372 billion in 2024: CIHI

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The Canadian Institute for Health Information says health-care spending in Canada is projected to reach a new high in 2024.

The annual report released Thursday says total health spending is expected to hit $372 billion, or $9,054 per Canadian.

CIHI’s national analysis predicts expenditures will rise by 5.7 per cent in 2024, compared to 4.5 per cent in 2023 and 1.7 per cent in 2022.

This year’s health spending is estimated to represent 12.4 per cent of Canada’s gross domestic product. Excluding two years of the pandemic, it would be the highest ratio in the country’s history.

While it’s not unusual for health expenditures to outpace economic growth, the report says this could be the case for the next several years due to Canada’s growing population and its aging demographic.

Canada’s per capita spending on health care in 2022 was among the highest in the world, but still less than countries such as the United States and Sweden.

The report notes that the Canadian dental and pharmacare plans could push health-care spending even further as more people who previously couldn’t afford these services start using them.

This report by The Canadian Press was first published Nov. 7, 2024.

Canadian Press health coverage receives support through a partnership with the Canadian Medical Association. CP is solely responsible for this content.

The Canadian Press. All rights reserved.

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Trump’s victory sparks concerns over ripple effect on Canadian economy

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As Canadians wake up to news that Donald Trump will return to the White House, the president-elect’s protectionist stance is casting a spotlight on what effect his second term will have on Canada-U.S. economic ties.

Some Canadian business leaders have expressed worry over Trump’s promise to introduce a universal 10 per cent tariff on all American imports.

A Canadian Chamber of Commerce report released last month suggested those tariffs would shrink the Canadian economy, resulting in around $30 billion per year in economic costs.

More than 77 per cent of Canadian exports go to the U.S.

Canada’s manufacturing sector faces the biggest risk should Trump push forward on imposing broad tariffs, said Canadian Manufacturers and Exporters president and CEO Dennis Darby. He said the sector is the “most trade-exposed” within Canada.

“It’s in the U.S.’s best interest, it’s in our best interest, but most importantly for consumers across North America, that we’re able to trade goods, materials, ingredients, as we have under the trade agreements,” Darby said in an interview.

“It’s a more complex or complicated outcome than it would have been with the Democrats, but we’ve had to deal with this before and we’re going to do our best to deal with it again.”

American economists have also warned Trump’s plan could cause inflation and possibly a recession, which could have ripple effects in Canada.

It’s consumers who will ultimately feel the burden of any inflationary effect caused by broad tariffs, said Darby.

“A tariff tends to raise costs, and it ultimately raises prices, so that’s something that we have to be prepared for,” he said.

“It could tilt production mandates. A tariff makes goods more expensive, but on the same token, it also will make inputs for the U.S. more expensive.”

A report last month by TD economist Marc Ercolao said research shows a full-scale implementation of Trump’s tariff plan could lead to a near-five per cent reduction in Canadian export volumes to the U.S. by early-2027, relative to current baseline forecasts.

Retaliation by Canada would also increase costs for domestic producers, and push import volumes lower in the process.

“Slowing import activity mitigates some of the negative net trade impact on total GDP enough to avoid a technical recession, but still produces a period of extended stagnation through 2025 and 2026,” Ercolao said.

Since the Canada-United States-Mexico Agreement came into effect in 2020, trade between Canada and the U.S. has surged by 46 per cent, according to the Toronto Region Board of Trade.

With that deal is up for review in 2026, Canadian Chamber of Commerce president and CEO Candace Laing said the Canadian government “must collaborate effectively with the Trump administration to preserve and strengthen our bilateral economic partnership.”

“With an impressive $3.6 billion in daily trade, Canada and the United States are each other’s closest international partners. The secure and efficient flow of goods and people across our border … remains essential for the economies of both countries,” she said in a statement.

“By resisting tariffs and trade barriers that will only raise prices and hurt consumers in both countries, Canada and the United States can strengthen resilient cross-border supply chains that enhance our shared economic security.”

This report by The Canadian Press was first published Nov. 6, 2024.

The Canadian Press. All rights reserved.

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