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Payroll employment, earnings and hours, June 2014

Released: 2014-08-28

Average weekly earnings of non-farm payroll employees were $940 in June, up 0.6% from the previous month. Compared with 12 months earlier, weekly earnings increased 3.3%.

Chart 1  Chart 1: Year-over-year change in average weekly earnings and average weekly hours - Description and data table
Year-over-year change in average weekly earnings and average weekly hours

Chart 1: Year-over-year change in average weekly earnings and average weekly hours - Description and data table

The 3.3% increase in weekly earnings during the 12 months to June reflected a number of factors, including wage growth, changes in the composition of employment by industry, occupation and level of job experience, as well as average hours worked per week. Non-farm payroll employees worked an average of 33.0 hours in June, unchanged from the previous month but up from the weekly average of 32.9 hours observed a year earlier.

Average weekly earnings by sector

In the 12 months to June, average weekly earnings increased in 8 of the 10 largest industrial sectors, with above-average growth in construction, wholesale trade as well as professional, scientific and technical services.

Chart 2  Chart 2: Year-over-year change in average weekly earnings in the 10 largest sectors, June 2013 to June 2014 - Description and data table
Year-over-year change in average weekly earnings in the 10 largest sectors, June 2013 to June 2014

Chart 2: Year-over-year change in average weekly earnings in the 10 largest sectors, June 2013 to June 2014 - Description and data table

Compared with 12 months earlier, average weekly earnings in construction increased 5.3% to $1,215, with most of the growth occurring from July to October 2013. Note that earnings were lower in this sector in June 2013, in part as a result of the construction strike in Quebec. Compared with the same month a year earlier, earnings growth was widespread across the construction industries.

Average weekly earnings in wholesale trade rose 5.2% to $1,128. Increases were most notable among building material and supplies merchant wholesalers, as well as personal and household goods merchant wholesalers.

Earnings in professional, scientific and technical services trended upward over the 12 months to June, rising 4.9% to $1,318 during the period. Growth was widespread across the industries in this sector.

In June, average weekly earnings for both educational services and administrative and support services were little changed from 12 months earlier.

Average weekly earnings by province

Year-over-year earnings of non-farm payroll employees increased in all provinces. The highest earnings growth was in Newfoundland and Labrador and Alberta.

Chart 3  Chart 3: Year-over-year growth in average weekly earnings by province, June 2013 to June 2014 - Description and data table
Year-over-year growth in average weekly earnings by province, June 2013 to June 2014

Chart 3: Year-over-year growth in average weekly earnings by province, June 2013 to June 2014 - Description and data table

Average weekly earnings in Newfoundland and Labrador increased 6.1% to $994, the highest year-over-year growth in the province since August 2012. Compared with a year earlier, gains were most notable in construction and retail trade.

In Alberta, average weekly earnings rose 5.0% to $1,156 in the 12 months to June. Growth was widespread across most sectors, led by mining, quarrying, and oil and gas extraction as well as professional, scientific and technical services.

Earnings in Quebec increased 2.5% to $857 in the 12 months to June, with most of the growth since January 2014. In Ontario, average weekly earnings increased 2.3% to $942 in June.

Non-farm payroll employment by sector

Total non-farm payroll employment rose by 23,300 in June, following an increase of 69,400 in May. Growth in June was widespread across sectors, with the largest increases in health care and social assistance, educational services and manufacturing. At the same time, payroll employment declined in retail trade.

Compared with 12 months earlier, the number of non-farm payroll employees increased by 230,000 or 1.5%. Over this period, employment growth was highest in construction (+6.0%). Note that employment in this sector was down in June 2013, in part as a result of the construction strike in Quebec.

Year-over-year increases were also notable in real estate and rental and leasing (+4.5%), administrative and support services (+2.8%), as well as transportation and warehousing (+2.8%). At the same time, payroll employment declined notably in information and cultural industries (-2.1%).


  Note to readers

The Survey of Employment, Payrolls and Hours (SEPH) is produced by a combination of a census of payroll deductions, provided by the Canada Revenue Agency, and the Business Payrolls Survey, which collects data from a sample of 15,000 establishments. The key objective of SEPH is to provide a monthly portrait of the level of earnings, and the number of jobs and hours worked by detailed industry at the national, provincial and territorial level.

Estimates of average weekly earnings and hours worked are based on a sample and are therefore subject to sampling variability. This analysis focuses on differences between estimates that are statistically significant at the 68% confidence level. Payroll employment estimates are based on a census of administrative data and are not subject to sampling variability.

Statistics Canada also produces employment estimates from its Labour Force Survey (LFS). The LFS is a monthly household survey, the main objective of which is to divide the working-age population into three mutually exclusive groups: the employed (including the self-employed), unemployed and not in the labour force. This survey is the official source for the unemployment rate and collects data on the socio-demographic characteristics of all those in the labour market.

As a result of conceptual and methodological differences, estimates of changes from SEPH and LFS do differ from time to time. However, the trends in the data are quite similar.

Unless otherwise stated, this release presents seasonally adjusted data, which facilitates comparisons by removing the effects of seasonal variations. For more information on seasonal adjustment, see Seasonally adjusted data – Frequently asked questions.

Non-farm payroll employment data are for all hourly and salaried employees, as well as the "other employees" category, which includes piece-rate and commission-only employees.

Average weekly hours data are for hourly and salaried employees only and exclude businesses that could not be classified to a North American Industry Classification System (NAICS) code.

All earnings data include overtime pay and exclude businesses that could not be classified to a NAICS code. Earnings data are based on gross taxable payroll before source deductions. Average weekly earnings are derived by dividing total weekly earnings by the number of employees.

With each release, data for the current reference month are subject to revision. Data have been revised for the previous month. Users are encouraged to request and use the most up-to-date data for each month.

A data table is available from the Browse by key resource module of our website under Summary tables.

Data on payroll employment, earnings and hours for July will be released on September 25.

More information about the concepts and use of the Survey of Employment, Payrolls and Hours is available online in The Guide to the Survey of Employment, Payrolls and Hours (Catalogue number72-203-G), from the Browse by key resource module of our website under Publications.

Contact information

For more information, contact us (toll-free 1-800-263-1136; 514-283-8300; infostats@statcan.gc.ca).

To enquire about the concepts, methods or data quality of this release, contact Andrew Fields (613-951-3551; andrew.fields@statcan.gc.ca), Labour Statistics Division.

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