RossABQ: my apologies in advance. This post isn't going after you personally, but rather is in response to the point of view that your post seems to express. It's one that I've heard repeatedly from other people who hire engineers over the years, and it's one that I think is responsible, more than any other single factor, for the sad mess that our profession has found itself slipping into over the past sixty years.
"mid level engineers are who you target when you want someone who can hit the ground running, for an immediate need..."
What you mean is that mid-level engineers are what EVERY business wants. Mid level people are the sweet spot of cost versus productivity. You don't want fresh grads because they take time before they produce, and you don't want people too near the end of their career because they cost too much and might not stick around long enough before they retire.
Businesses tend to react better than they plan, and hence they very frequently find themselves with "immediate needs". Yeah, yeah, I know- the current business environment is so fast-paced, investors have a short attention span, projects come and go so quickly that there's no way you can plan your way around these sorts of needs etc. etc. Remind me again: how is your firm any different than any other firm in terms of what its preferences are?
"None of them (recent grads) could be expected to produce much for at least 6 months..."
What you mean again is that you want someone else to train the fresh grads so that your firm can reap the benefit- but since they all want exactly the same thing that your firm wants, nobody is obliging! Six months of poor productivity? Wow, that's rough- even assuming they do NOTHING for the first 6 months, that's a whopping $25-$30,000 investment into an employee- that'll take FOREVER to pay back! Out of curiosity, what do you pay a decent headhunter for a mid-level candidate?!
So: these mid-level engineers that you so desperately want- the ones who someone else hired when they were fresh grads: how much of a premium over a median engineering salary are you offering for their ability to "hit the ground running"? 25%? 50%? Oh... actually 0%? The sexiness of your business alone should be sufficient to attract them? And you say there's a shortage of them willing to jump ship from the people who hired them in the first place? Wow, what a surprise?!
You seem to want what everyone in business wants: a "flexible" labour force. Read this to mean a profession running with a significant level of steady state unemployment, whose workforce is cowed and willing to wait in line to take anything offered. Unfortunately, engineers are actually relatively smart people, with at least a little intellectual flexibility and some skills that are transferrable to other endeavours. When the labour market indicates that they are not needed as engineers, especially right after they graduate, they leave the profession and find something else to do. You can't store them against some future need like water behind a dam.
So: here we find ourselves, with 2/3s of Canadian engineering graduates working outside engineering or engineering management, a Canadian labour market study which has as one of its primary conclusions that we have a "critical shortage of entry-level engineering jobs", and employers still screaming "shortage!"- and using the temporary foreign workers program to satisfy their "need" for mid-level engineers. And of course- the solution is to encourage even MORE young people to pursue engineering as a career option!