Nationally Speaking


What Tale does the Data tell about the Canadian Job Market?

By Michael Kunka, Dicomm Media

Toronto– In its Summer, 2009 forecast on Canada’s economy, The Conference Board of Canada has all but concluded that the economic contraction that the nation has endured for many months is just about over. It expects real gross domestic product to grow slightly in the third quarter and to grow an incredible 2.7 percent next year 1. Such a prediction is impressive given the woes of the past 12 months. It is even more incredible given the fact that TD Bank anticipates an average GDP growth of only 1.4 percent in 20102.

The optimistic yet cautious sentiment on the Canadian economy expressed by The Conference Board of Canada is shared by the majority of business managers recently polled by the Bank of Canada. More than 60 percent predict faster sales growth in the bank’s latest quarterly survey, compared with only 30 percent in April and 23 percent January3. This is the first time since the third quarter of 2008 that the majority had a positive view on Canada’s prospects. Moreover, 40 percent said they intend to hire workers. This stands in stark contrast to the previous survey in which only 25 percent that said they would be hiring.

Although the sentiments expressed by both The Conference Board of Canada and Canadian managers are optimistic, both believe the post-recession recovery will be tepid at best. Unemployment in Canada remains high at 8.6 percent ending up 0.2 percent in June 4. However, a closer examination of the data released by Statistics Canada on the current state of employment in the nation raises some interesting questions about the overall employment situation in Canada.

Statistics Canada divides the Canadian workforce into two broad categories: the goods-producing sector (manufacturing, construction, agriculture and natural resources) and the service-producing sector (high-tech fields, financial professions, accountants, public administrators, nurses, managers, lawyers, etc.).

Whereas the goods-producing sector in the last year has lost more than 200,000 manufacturing jobs, over 100,000 in construction and tens of thousands more associated with oil and gas exploitation and mining, the service-producing sector has seen a net increase of 24,000 jobs since June, 2008. The precipitous decline in manufacturing only appears to be accelerating and will undoubtedly continue for many years to come. In contrast, Canada’s service economy is providing livelihoods to more than 13 million Canadians, and is growing at a respectable clip even during the current economic recession5.

To take advantage of the growing service-producing sector, many Canadians are returning to school to acquire the credentials that will position them for success6. For many, an online education provides them with the flexibility they need to meet career goals and work obligations and to balance family life and study.

Let Meritus University help you position yourself for success in Canada’s growing service-producing sector. For further information on Meritus University’s undergraduate and graduate degree offerings, contact an enrolment adviser at 1-800-856-3940.     


Post-secondary Education Critical to Success as Labour Shortages Loom in the Maritimes

By Michael Kunka, Dicomm Media
           
Toronto– Although the Maritimes can be proud of having some of the highest secondary participation rates in Canada, a secondary education alone will simply not be enough to prepare the region’s workforce for what appears to be a looming labour shortage.

Statistics Canada’s June jobless figures show that unemployment in the region still remains above the national average. However, the June report also suggests that employment in the region is stabilizing and that in some places unemployment rates are lower than in the rest of Canada.

For example, June’s report shows that New Brunswick’s unemployment rate was down 0.6 percent when compared to last June’s numbers. Statistics Canada said that 366,900 people were employed in June – that’s 3,400 more than the same month last year and 1,400 more than in the previous month7.

Similarly, Halifax, appears to have dodged high jobless rates altogether. Its 5.9 percent three-month average unemployment rate is one of the lowest in the country, and it can proudly boast being among the handful of cities across the nation that have an unemployment rate below 6 percent 8.

Throughout the region, employment opportunities continue to grow in information technology, agriculture, finance, insurance, real estate and leasing. These major growth areas have been supplemented by some big capital projects in the region, such as the Deep Panuke gas project and the Canaport LNG liquefied natural gas terminal. But more often than not, the new jobs being created require prospective employees to possess a post-secondary education.

According to Canada Millennium Scholarship Foundation, approximately 75 percent of all current and future jobs in the region will require some form of post-secondary education9. The necessity of a post-secondary education will grow even more acute as the region further adjusts to the expanding technological economy.

One other factor and perhaps the most significant of all that will profoundly impact future employment trends in the Maritimes is demographically related:

Like the rest of Canada, the Maritimes will confront a declining population in the 17 to 29 age group. In 1991, there were about 200,000 people in the 17 to 29 age group. By 2030, that number is expected to be 125,000 10. Unless, this age group seeks to further their education, the region could be faced with a severe labour shortage and significantly weakened economy. This would be ironic considering the number of job opportunities that will abound for the educated as the boomer generation enters retirement.

Positioning oneself for success is critical. The robust pockets of job growth in the Maritimes during the current recession bode well for the future. Additionally, given the declining population and the pending boomer retirements the mid to long-term employment prospects for the region also look very positive.

The individual who has enhanced their employability skills with a post-secondary education will be best able to take advantage of the employment opportunities the Maritimes has to offer. An online business degree from MeritusU at either the undergraduate or graduate level would provide you with the skills and knowledge you need to meet your career goals.

 

    1. http://www.conferenceboard.ca/documents.aspx?did=3126
    2. http://www.td.com/economics/comment/gb063009.pdf
    3. http://www1.bank-banque-canada.ca/en/bos/2009/summer/bos0709e.pdf
    4. http://www.statcan.gc.ca/subjects-sujets/labour-travail/lfs-epa/lfs-epa-eng.htm
    5. http://www.statcan.gc.ca/subjects-sujets/labour-travail/lfs-epa/t090710a2-eng.htm
    6. http://www.statcan.gc.ca/daily-quotidien/090713/dq090713a-eng.htm
    7. http://www.statcan.gc.ca/subjects-sujets/labour-travail/lfs-epa/t090710a3-eng.htm
    8. http://www40.statcan.ca/l01/cst01/lfss04a-eng.htm
    9. http://www.millenniumscholarships.ca/en/index.asp
    10. http://www.statcan.gc.ca/pub/81-595-m/81-595-m2007058-eng.pdf