Business support services

Abstract

The business support services industry, a major component of which is believed to consist of telephone call centres, has been one of the fastest growing industries in Canada over the past two decades (see Data source and definitions). Its phenomenal growth—from a mere 20,000 employees in 1987 to 112,000 in 2004—can be attributed to several factors. These include the significant advances made in information and telecommunications technology, especially low-cost digital technology; growing proliferation of the computer and the Internet; increased telemarketing; and changes in business practices, including more outsourcing and contracting-out. Two recent events related to telephone call centres have thrust the industry into the limelight. On the negative side, nuisance and privacy complaints from the public as a result of unwanted calls, especially at dinner time, have led to demands for legislation to limit such calls— as in the United States. 1 On the other hand, the industry’s role in generating donations in response to the recent Asian tsunami disaster has served to enhance its image. 2 Another reason for interest in the industry is the perpetual good job versus bad job debate, and the contention that ongoing economic restructuring toward service-sector industries such as business support tends to favour faster growth of low-wage jobs. Despite the role the industry plays in our private and business lives, as well as its recent prominence in public debates, statistical profiles of the industry’s rapid growth and the characteristics of its workers and jobs have been rare. 3 As a result, public perceptions of the industry have been formed by and large around anecdotal evidence. Using the Labour Force Survey (LFS), this study provides statistical evidence to address these perceptions as well as to provide material for the good job versus bad job debate.