Canada's Territories Labour Market Bulletin

January 2011

Canada's Territories Labour Market Bulletin - January 2011 (PDF version, 91 kb)

The Labour Market Bulletin is produced monthly by economists and labour market analysts employed by Service Canada in the Western Canada and Territories Region.

Content is intended for personal and public non-commercial use.

Highlights in this Issue

• Yukon Government changes its foreign worker program.
• NWT formulates a new tourism plan.
• Drilling to resume at Nunavut diamond mine.

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Mailing Address:

Editor, Labour Market Bulletin
Labour Market Information Directorate
Western Canada and Territories Region
Labour Market and Social Development Programs
Service Canada
#1100 - 300 West Georgia Street
Vancouver, British Columbia, V6B 6G3

Key Events in Each Territory

Yukon

Yukon Government tightens foreign worker program: As of January 2011, the Yukon Government plans to implement changes to its foreign worker nominee program. Yukon Nominee Program (YNP) applicants in the service industry will now be required to know some English or French, and all applicants may be required to put up $10,000 to cover unexpected expenses while working in the Territory. However, due to concerns from local employers that the new rules will make it harder to find employees, the $10,000 financial requirement is under review. Approximately 400 foreign workers have come to the Yukon over the past ten years under the YNP, with about half of those coming from the Philippines.

Key Source: CBC North, December 20, 2010

First Nation wants mining project blocked: The Liard First Nation has filed a petition requesting the Yukon Supreme Court stop the territorial government's approval of a major underground exploration project by Selwyn-Chihong Mining Limited. The First Nation group has concerns that the Territory’s environmental assessment failed to address properly the impacts of a water management plan. If approved, production on the mining project could begin in late 2013, employing a full-time workforce of approximately 450.

Key Source: Whitehorse Daily Star, November 18, 2010

Yukon geo-science receives funding: The federal government is contributing $3.5 million towards improved geological mapping in the Yukon. The funding will go to territorial government agencies and organizations that provide geological surveys, satellite mapping, and other information services used by the mining industry. In addition to stimulating mineral exploration and development, the Government of Yukon will also benefit from improved data for road construction and other land use projects.

Key Source: CBC News, November 23, 2010

Northwest Territories (NWT)

New four-year tourism plan for the NWT: The Government of the NWT (GNWT) is formulating a new $5-million tourism strategy focused on the natural beauty of the North and Aboriginal cultural experiences. Research by the GNWT indicates that tourists are increasingly interested in eco-tourism and adventure tourism. The strategy is expected to create jobs and business opportunities throughout northern communities.

Key Source: Government of the NWT Press Release, November 29, 2010

Mackenzie Gas Project moves forward: The National Energy Board (NEB) has approved the $16.2-billion Mackenzie Gas Project (MGP). While the NEB’s decision is subject to approval by the federal cabinet, the MGP's consortium of oil and gas companies will ultimately decide whether the project is economically feasible within the current economic climate. For the approval to remain valid, the oil and gas producers must make a decision by the end of 2013, and start construction by the end of 2015. The MGP could potentially generate approximately $6 billion of labour income for the Canadian economy during the construction period.

Key Source: National Energy Board, press release, December 17, 2010

Promoting francophone investment in the NWT: The Canadian Northern Economic Development Agency is investing $253,000 to help diversify and build a sustainable economy in the NWT. The Conseil de développement économique des Territoires du Nord-Ouest will use the funds to promote the territories to francophone communities, attract new residents, and investments, and in turn, increase tourism services and opportunities for the region.

Key Source: The Canadian Northern Economic Development Agency,
announcement December 1, 2010

The NWT government continues support of diamond-manufacturing industry: Following 10 years of struggle to build a local diamond-cutting and polishing sector, the Government of the NWT has recently released a Diamond Policy Framework encouraging a more sustainable diamond manufacturing industry in the NWT. The Policy Framework will assist in the marketing and certification of NWT diamonds, and identify the potential for significant employment, business investment, and training opportunities for NWT residents.

Key Source: Government of the NWT, news release, December 7, 2010

Young female-offender facility in Inuvik closing: The Arctic Tern Young Offender Facility in Inuvik is closing March 2011, due to NWT government fiscal restraints and the implementation of the federal Youth Criminal Justice Act. The Act has had the effect of decreasing the number of youth in custody since 2003, by focusing on ways to keep young offenders out of jail. Upon closure of the Facility, fourteen positions will be moved to Yellowknife, and nine positions will be eliminated; however, the Government of NWT will assist all of its employees in finding alternate employment. Inmates will be accommodated in Yellowknife until Fort Smith opens a women’s correctional facility in 2014.

Key Source: Government of the NWT, news release, December 9, 2010

Co-operation agreement established for socially responsible mining: Mineral developer Avalon Rare Metals, and the Yellowknives Dene First Nation (YKDFN) have entered into an agreement that will help guide the future development of the Nechalacho Rare Earth Element Project, located at Thor Lake. The agreement will help mitigate adverse environmental impacts and define economic benefits for Avalon and the YKDFN. By collaborating and consulting with the community early in the development process, there is greater certainty that the Project will proceed smoothly. Northern residents can expect to benefit from the Project at Thor Lake through the creation of jobs in mining, administration.

Key Source: National Energy Board, Arctic Drilling Review; CBC North, November 30, 2010

Northern training facility to open in Yellowknife: The Deton’Cho Nahanni Rebuild Machining Centre plans to open in early 2011. Nahanni Construction and the Deton’Cho Corporation are teaming up to train northern construction apprentices as crane operators, millwrights, machinists and welders. The partnership will build northern capacity to support heavy steel fabrication, heavy machining, and hydraulics cylinder repair for future construction projects.

Key Source: News North, December 15, 2010

Oil exploration starts up again in Norman Wells: Gas exploration company MGM Energy plans to start exploring for oil in the Sahtu region this January, employing around 50 people from the local area. Financing for the exploration project was made available by the sale of a share of MGM’s Umiak well in the Mackenzie Delta to the Korea Gas Corporation. The local Chamber of Commerce hopes that MGM’s exploration project will encourage more gas and exploration companies to return to the region, after activity stalled in recent years.

Key Source: CBC News, December 20, 2010

Nunavut

New owners plan to resume drilling at defunct Nunavut diamond mine: Shear Minerals plans to start drilling again at the former Jericho Diamond Mine this spring. The company will re-evaluate the mine's geological resources and attempt to come up with a new plan to re-open the mine over the next year. Re-opening the mine would create new jobs.

Key Source: CBC News, December 23, 2010

The Government of Nunavut opposes addition of ringed seals to endangered species lists: The National Oceanic and Atmospheric Administration in the US plans to add ringed seals in the Arctic Basin and North Atlantic to the list of threatened species under the Endangered Species Act. Although seal imports are already prohibited in the US, the Government of Nunavut is concerned that hunting restrictions will be imposed and other countries may follow suit, making it more difficult to sell seal products on the global market. A final decision is expected by the end of 2011.

Key Source: CBC News, December 9, 2010

Nunavut Inuit oppose export ban on narwhal tusks: The Department of Fisheries and Oceans (DFO) has issued an order restricting the number of narwhals being harvested in Nunavut, under the Convention on International Trade in Endangered Species. Inuit do not support the scientific data on narwhal population counts, and are considering legal action against DFO if the decision is not reversed. Restrictions on the trade of narwhal tusks will have a significant economic impact on whalers; however, without the harvesting restrictions, DFO is concerned other Convention countries may impose a total ban on narwhal exports.

Key Source: Nunavut Tunngavik Inc., News Release, December 15, 2010