Canadian Manufacturing

Canada lost 35,700 jobs in November; unemployment ticks up to 7.1 per cent

Most of the jobs losses are attributed to the spike in employment triggered by the federal election



OTTAWA—The Canadian economy shed 35,700 jobs in November to reverse a rise in temporary work likely generated by October’s federal election, Statistics Canada said Dec. 4.

The number of public-administration jobs fell by 32,500 in November to offset an October increase of 32,000 positions in the same category, the federal agency found in its monthly job-market survey.

The worse-than-expected drop in jobs helped nudge November’s unemployment rate up one-tenth of a percentage point to 7.1 per cent.

“The November decline in public administration was seen across all provinces,” Statistics Canada said in the report.

“The decrease was concentrated among survey interviewers and statistical clerks, an occupational group that corresponds with the type of work done during the election.”

Historically, the agency has detected similar, temporary spikes in employment during election and census periods.

A consensus of economists had estimated the country would lose 10,000 jobs last month and for the unemployment rate to hold firm at seven per cent, according to Thomson Reuters.

The November data found the overall number of part-time positions declined by 72,300 compared to the previous month, while full-time jobs climbed by 36,600.

Regionally, Alberta saw its jobless rate jumped from 6.6 per cent to seven per cent _ the province’s highest level since April 2010 _ as 14,900 fewer people were working there.

It was the biggest decline from October to November of any province in the report.

The economy in the resources-producing province, which saw the bulk of its November losses concentrated in its services sector, has struggled as global commodity prices remain stubbornly low.

Looking across Canada, Manitoba, New Brunswick and Prince Edward Island all registered drops in employment, while other provinces saw little change from October.

Overall, by industry, the number of people in Canada holding natural resources-related positions remained virtually flat, while the manufacturing sector added 17,400 jobs.

Canada’s services sector dropped 82,000 positions, including the significant decline in public-administration work. That industry also lost 15,600 jobs in wholesale and retail trade, 11,900 in the category of information, culture and recreation and 11,200 in finance, insurance, real estate and leasing.

The country also saw declines in employee positions with drops of 21,200 jobs in the public sector and 40,800 in the private sector. However, 26,300 more people said they were self-employed.

The survey found the November youth unemployment rate hit its lowest level since 2008, as it dropped to 12.7 per cent, from 13.3 per cent the previous month.

The rate decrease, however, came despite the fact the economy lost 23,600 net positions for young workers aged 15 to 24. The change was partly due to the fact fewer youths said they were participating in the labour market in November.

In the October jobs report, Statistics Canada found that the overall employment number eclipsed 18 million last month for the first time. The November losses, however, pushed that figure back down to 17,986,800.

In October, the survey reported that the labour force had ballooned by 44,400 net jobs thanks to the increase in temporary public-administration work likely connected to the federal election

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