Reviewing demographic and workforce data is an important economic measure for a corporate site location analysis. Regions with an increasing population base and a group of younger workers illustrate growing communities. Homeownership rates and home value illustrate stability in a community but also whether it is affordable. The percentage of citizens over 25 with a college degree illustrates the likelihood the region can attract high-wage financial services, insurance, health care, high-tech, professional service and other advanced services white collar jobs. Measures of income and poverty rates illustrate the overall economic strength of the community. Finally, growing regions add population and provide a larger workforce pool that is attractive to employers seeking job creation and making capital investments. Regions that enjoy population growth in tandem with increases in their economic output address the challenges of income inequality. Increasing a region’s population also raises the standard of living in a region.
As the table below illustrates, Ontario is similar in size to many American states, has a like homeownership rate, college graduate rate, poverty rate and average age. Ontario’s home values are substantially higher illustrating a higher cost of living and commute times are longer.
Ontario Demographic Benchmarking
Fact | Illinois | Arizona | Ohio | Ontario |
Population | 12,741,080 | 7,171,646 | 11,689,442 | 13,448,494 |
Homeownership Rate | 66.10% | 63.10% | 66.10% | 69.70% |
Median Home Value | $179,700 | $193,200 | $135,100 | $585,600 |
Bachelor Degree Rate | 33.40% | 28.40% | 27.20% | 31.92% |
Commute Time | 28.7 | 25.1 | 23.4 | 42 |
Median Household Income | $61,229 | $53,510 | $52,407 | $74,287 |
Poverty Rate | 12.60% | 14.90% | 14.00% | 13.10% |
Median Age | 38 | 37.7 | 39.3 | 41.3 |
Source: United States and Canadian Census Bureaus
Drilling down to a demographic analysis of Toronto as compared in the table below with Columbus and Phoenix. Toronto is a mega-city with slower growth, older population, higher incomes and college graduates and unemployment rate. None of Toronto’s demographic data points illustrate substantial economic weakness.
Toronto Demographic Benchmarking
Demographic Data | Toronto | Columbus | Phoenix |
Population | 2,731,571 | 892,533 | 1,660,272 |
Population Growth 2011 to 2016 | 4.50% | 13.10% | 14.70% |
Median Age | 39.9 | 31.8 | 33.8 |
Household Income | $65,829 | $49,478 | $52,080 |
Bachelor Degree or Higher | 39.9 | 35.10% | 27.80% |
Labor Participation rate | 64.70% | 70.10% | 66.10% |
Unemployment rate | 8.20% | 3.90% | 4.90% |
Source: United States and Canadian Census Bureaus
A region’s workforce is a critical measure of attractiveness for a corporate site location project. The retirement of the Baby Boom generation and a lack of alignment between industry and higher education are creating widespread shortages in qualified workforce even in times of high unemployment.
Toronto Canada Workforce Profile
Jobs | Toronto | Toronto CMA | Ontario | Canada |
All Jobs | 1,437,545 | 3,144,140 | 6,970,625 | 18,268,120 |
Management | 163965 | 376890 | 790880 | 2013370 |
Business, finance and administration | 258870 | 576955 | 1124770 | 2874305 |
Natural and applied sciences | 117635 | 269965 | 516110 | 1273660 |
Healthcare | 84360 | 173475 | 447045 | 1245885 |
Education, law, social, community and government services | 186800 | 357985 | 831340 | 2138445 |
Art, culture, recreation and sport | 80195 | 127395 | 225720 | 557275 |
Sales and service | 345145 | 735270 | 1632085 | 4265895 |
Trades, transport and equipment operators | 131115 | 351735 | 927820 | 2668875 |
Natural resources, agriculture and related production | 7555 | 24240 | 113405 | 416135 |
Manufacturing and utilities | 61900 | 150220 | 361455 | 814285 |