Job creation in Canada rebounded in May, with 25,800 more people employed last month, according to Statistics Canada. But all of those new hires were for part-time positions and mostly in the public sector. Part-time employment rose by 54,900, with full-time employment falling by 29,100. Most new jobs were in Alberta, with the biggest losses coming in Newfoundland and Labrador.
The figure represents a big swing back from April’s net loss of 28,900 workers. But the unemployment rate edged up from 6.9% to 7% as more people entered the labour market in search of work.
Industry wise, educational services, accommodation and food operators, and the agriculture sector showed the strongest gains in job numbers, while the natural resources sector and the manufacturing sector shed the most jobs.
Overall, employment in May “posted a respectable gain which should give us some hope that the better weather ahead will bring with it better days for jobs,” said Nick Exarhos, at CIBC World Markets.
According to National Bank economist Krishen Rangasamy, the long term employment outlook is positive, with improving corporate profits boding well for job creation later this year, and GDP growth also finding support from the U.S. economic rebound.
Source: Financial Post
The Canadian job market is beginning to show signs of recovery, according to the latest data released from Statistics Canada.
This month’s labour force survey showed that the unemployment rate held steady at a five-year low of 6.9 percent, while over 13,000 new jobs were created.
While the steady numbers came as good news to some, other economic analysts say the figures are masking other more disconcerting trends under the surface. The manufacturing sector, for instance, is losing record numbers of jobs, according to the survey.
Additionally, the jobs being created are more likely to be low-skilled and low-paying employment, with most new positions arising in the health-care, accommodation, and service sectors.
Employers in Alberta and Saskatchewan have increased their recruitment efforts in places like Ontario, Quebec and Atlantic Canada, according to Workopolis.com president Kelly Dixon. This reflects the continued trend of growth in the Prairie provinces, as well as the high unemployment rates in the Eastern Maritime provinces, where workers are more likely to relocate for jobs.
The health care sector’s growth is being attributed to Canada’s aging population, while gains in construction are mostly fuelled by government stimulus initiatives, though some experts point to a hot housing market in recent years.
Source: Globe and Mail