Analysis — October 2016

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Employment rose by 44,000 (+0.2%) in October, the result of more part-time work. The unemployment rate remained at 7.0%, as more people participated in the labour market.

Compared with 12 months earlier, employment increased by 140,000 (+0.8%), mostly in part-time work (+124,000 or +3.6%). At the same time, the total number of hours worked was little changed.

Highlights

In October, employment increased among youth, and edged up for men aged 25 to 54. There was little change among the other demographic groups.

Provincially, employment was up in Ontario and British Columbia, while it declined in Newfoundland and Labrador.

More people were employed in construction, wholesale and retail trade, “other services”, educational services, natural resources, and public administration. At the same time, there were declines in business, building, and other support services.

The number of private sector employees edged up in October, while there was little change in the number of public sector employees and self-employed.

Demographic overview

Among youth aged 15 to 24, employment increased by 26,000 in October, with all of the gains in part-time work. The unemployment rate for this group was virtually unchanged at 13.0%, as more youth participated in the labour market. Compared with 12 months earlier, youth employment was little changed, while their population declined by 1.1% (-48,000), continuing a downward trend.

In October, employment for men aged 25 to 54 increased slightly (+16,000), and their unemployment rate was little changed at 6.4%. On a year-over-year basis, full-time employment fell (-63,000 or -1.1%), while part-time work increased (+36,000 or +10.4%). Over the same period, their population grew at a pace of 0.2% (+18,000).

For women aged 25 to 54, employment was virtually unchanged in the month. Compared with 12 months earlier, employment for these women rose by 61,000 (+1.1%), mostly in full-time work. At the same time, their unemployment rate fell by 0.4 percentage points to 5.3%. The population for this group rose 0.3% (+24,000), on a year-over-year basis.

Among people 55 and older, employment was little changed in October. On a year-over-year basis, this group comprised the fastest growing segment of the labour force, mostly the result of population aging. Employment rose by 128,000 (+3.5%) among people 55 and older, and their population increased by 310,000 (+3.0%).

Of all demographic groups, women 55 and older had the largest increase in employment (+93,000 or +5.6%) compared with 12 months earlier, mostly in full-time work. Their labour force participation rate continued on an upward trend, and their unemployment rate held steady at 5.0%.

For men 55 and older, employment increased by 35,000 (+1.7%) on a year-over-year basis, entirely in part time. At the same time, their unemployment rate increased 1.6 percentage points to 7.3%, as more of them searched for work.

Provincial summary

Employment in Ontario increased by 25,000 in October, and the unemployment rate declined 0.2 percentage points to 6.4%. Compared with 12 months earlier, employment in the province grew by 77,000 (+1.1%).

In British Columbia, employment rose by 15,000 in October. At the same time, the unemployment rate increased by 0.5 percentage points to 6.2%, as more people searched for work. Despite this increase, the unemployment rate remained the lowest provincially. On a year-over-year basis, British Columbia also had the fastest employment growth rate among the provinces at 2.4% (+56,000).

Employment declined by 5,600 in Newfoundland and Labrador, and the unemployment rate increased 1.3 percentage points to 14.9%. Compared with 12 months earlier, employment in the province was down by 6,100 (-2.6%), and the unemployment rate increased by 1.7 percentage points.

In Quebec, employment was virtually unchanged in October, following two consecutive months of gains. On a year-over-year basis, employment in the province rose by 70,000 (+1.7%), entirely in full-time work. Over the same period, the unemployment rate declined 0.8 percentage points to 6.8%.

Industry perspective

Employment in construction increased by 24,000 in October, with most of the increase in Ontario and Quebec. Year-over-year gains in this industry totalled 47,000 (+3.4%).

In wholesale and retail trade, employment rose by 19,000 in the month, but was little changed compared with 12 months earlier.

Employment increased by 18,000 in “other services”, such as those related to civic and professional organizations, as well as repair and maintenance. On a year-over-year basis, employment in the industry was up 22,000 (+2.8%).

There were 16,000 more people employed in educational services in October, with increases observed in several provinces. Compared with 12 months earlier, employment in the industry increased by 34,000 (+2.7%).

Employment in natural resources increased by 10,000 in October, the first notable increase since March 2015, mostly in Alberta. Compared with October 2015, employment in the industry was down 20,000 (-5.6%).

In public administration, employment rose by 9,500 in October. On a year-over-year basis, there was little change in the number of people employed in this industry.

Employment fell in business, building, and other support services (-15,000) in October, but it was little changed from 12 months earlier.

The number of private sector employees edged up in October (+34,000). On a year-over-year basis, the number of private sector employees grew by 101,000 (+0.9%).

For public sector employees and the self-employed, there was little change both in the month and compared with 12 months earlier.