Monthly Labour Market Bulletin - July 2010
Labour Force Trends – The unemployment rate edged upward in July despite an increase in employment. Over the last year, NL’s unemployment rate has shown the most improvement compared with other provinces.
- NL’s unemployment rate increased to 15% from 14.7% a month earlier as labour force expansion exceeded employment growth. Strong employment growth over the last year has pushed the unemployment rate down from 17% in July 2009.
- The number of full-time jobs declined last month while the number of workers employed part time increased. This is consistent with job gains in retail trade and accommodation and food services where part-time work is common.
| Seasonally Adjusted Data | July 2010 | June 2010 | July 2009 |
Monthly Variation Number % |
Yearly Variation Number % |
||
|---|---|---|---|---|---|---|---|
| Population 15 + ('000) | 431.6 | 431.6 | 428.8 | 0.0 | 0.0 % | 2.8 | 0.7 % |
| Labour force ('000) | 258.7 | 256.5 | 256.2 | 2.2 | 0.9 % | 2.5 | 1.0 % |
| Employment ('000) | 219.8 | 218.8 | 212.7 | 1.0 | 0.5 % | 7.1 | 3.3 % |
| Full-time ('000) | 184.5 | 186.3 | 181.7 | -1.8 | -1.0 % | 2.8 | 1.5 % |
| Part-time ('000) | 35.4 | 32.5 | 31.0 | 2.9 | 8.9 % | 4.4 | 14.2 % |
| Unemployment ('000) | 38.8 | 37.7 | 43.5 | 1.1 | 2.9 % | -4.7 | -10.8% |
| Participation Rate | 59.9 | 59.4 | 59.7 | 0.5 | - | 0.2 | - |
| Unemployment Rate | 15.0 | 14.7 | 17.0 | 0.3 | - | -2.0 | - |
| Employment Rate | 50.9 | 50.7 | 49.6 | 0.2 | - | 1.3 | - |
Note(s): Total may not add due to rounding |
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Source: Statistics Canada's Labour Force Survey |
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- Last month’s employment increase is almost entirely attributable to youth aged 15 – 24. Employment for both men and women 25+ showed little change. As a result the youth unemployment rate improved last month but remains high at 21.3%. Rates for adult men and adult women were 16.5% and 11.5% respectively.
- Despite fewer jobs, the unemployment rate (unadjusted) for returning students 15 -24 improved to 16.0% from 22.3% a year ago as there were fewer students looking for work. The rate for others 15 – 24 increased from 18.9% to 22.4% as the labour force expanded at a faster pace than employment.
Employment by Industry – Service Sector strength is partially offset by fewer Goods-Producing jobs in July.
- Service Sector employment expanded last month as job gains in Retail/Wholesale Trade, Accommodation and Food Services, and Professional, Scientific and Technical Services more than offset losses in Educational Services.
- The number of Goods-Producing jobs declined in July given weakness in Manufacturing (fish processing) as well as in Construction. Other components showed little change.
- Newfoundland and Labrador had the second fastest rate of job creation among the provinces over the last year at 3.3%. All this growth occurred in the Service-Producing industries (4.2%), most notably in Retail/Wholesale Trade, Transportation and Warehousing, Finance Insurance Real Estate and Leasing, as well as Other Services.
- Overall employment in the Goods-Producing industries was unchanged from a year ago with increases in Mining and Oil and Gas offsetting losses in Construction and Manufacturing.
Seasonally Adjusted Data |
July 2010 |
June 2010 |
July 2009 |
Monthly Variation Number % |
Yearly Variation Number % |
||
|---|---|---|---|---|---|---|---|
| Total | 219.8 | 218.8 | 212.7 | 1.0 | 0.5% | 7.1 | 3.3% |
| Goods-Producing Sector | 43.1 | 44.1 | 43.1 | -1.0 | -2.3% | 0.0 | 0.0% |
| Agriculture | 1.5 | 1.4 | 0.6 | 0.1 | 7.1% | 0.9 | 150.0% |
| Forestry, Fishing, Mining, Oil and Gas | 15.7 | 15.5 | 14.1 | 0.2 | 1.3% | 1.6 | 11.3% |
| Utilities | 1.9 | 2.1 | 1.5 | -0.2 | -9.5% | 0.4 | 26.7% |
| Construction | 14.6 | 15.0 | 15.8 | -0.4 | -2.7% | -1.2 | -7.6% |
| Manufacturing | 9.3 | 10.1 | 11.1 | -0.8 | -7.9% | -1.8 | -16.2% |
| Services-Producing Sector | 176.8 | 174.7 | 169.6 | 2.1 | 1.2% | 7.2 | 4.2% |
| Trade | 38.2 | 37.3 | 34.3 | 0.9 | 2.4% | 3.9 | 11.4% |
| Transportation and Warehousing | 12.1 | 11.8 | 10.7 | 0.3 | 2.5% | 1.4 | 13.1% |
| Finance, Insurance, Real Estate and Leasing | 8.8 | 9.0 | 7.8 | -0.2 | -2.2% | 1.0 | 12.8% |
| Professional, Scientific and Technical Services | 7.0 | 6.3 | 7.2 | 0.7 | 11.1% | -0.2 | -2.8% |
| Management, Administrative & Other Support | 5.3 | 4.9 | 7.9 | 0.4 | 8.2% | -2.6 | -32.9% |
| Educational Services | 16.2 | 17.1 | 17.5 | -0.9 | -5.3% | -1.3 | -7.4% |
| Health Care and Social Assistance | 37.5 | 37.6 | 35.3 | -0.1 | -0.3% | 2.2 | 6.2% |
| Information, Culture and Recreation | 7.4 | 7.5 | 9.3 | -0.1 | -1.3% | -1.9 | -20.4% |
| Accommodation and Food Services | 13.8 | 12.9 | 13.5 | 0.9 | 7.0% | 0.3 | 2.2% |
| Other Services | 12.0 | 12.3 | 9.3 | -0.3 | -2.4% | 2.7 | 29.0% |
| Public Administration | 18.5 | 18.0 | 16.8 | 0.5 | 2.8% | 1.7 | 10.1% |
Notes: '--' indicates number suppressed due to high sample variance. |
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Economic Regions – Avalon Peninsula accounts for almost all employment growth over the last year.
- Notre Dame Bay – Central Bonavista Bay was the only region to post job losses over the last year. The labour force declined by even more to push down the unemployment rate to 16.6% from 20.2% last July. Labour force participation is declining in the area as the population ages. The number of seniors (55+) is increasing while the youth population (15 – 24) is declining. Consequently the participation rate declined from 60.0 to 56.3%.
- Employment increased on the South Coast – Burin Peninsula but an even larger labour force increase pushed up the area unemployment rate to 19.4% from 19.2% a year ago. Labour force participation increased from 52.4% last July to 55.6% this year as more women 25 – 55 participated in the workforce.
- Stable employment combined with a smaller labour force to push down the unemployment rate for the West Coast - Northern Peninsula – Labrador region to 16.5% from 17.3% last July. A decline in the number of men 25 – 54 in the labour force was partially offset by increased participation of youth 15 - 24 and seniors 55+.
- Employment increased by 6.5% on the Avalon Peninsula since last July, with job gains shared by both the rural and urban parts of the region. The labour force increased by a similar margin to limit the decline in the unemployment rate to 10.1% from 10.4% a year ago. The rate for the St John’s area improved to 7.7% from 8.6% last year while the rate outside of St. John’s increased slightly to reach 17.6%.
Three Month Moving Averages |
July |
July |
Variation |
July |
July |
Variation |
|---|---|---|---|---|---|---|
|
Newfoundland and Labrador |
St. John's, Nfld |
||||
Population 15 + (‘000) |
431.6 |
428.5 |
3.1 |
160.7 |
157.4 |
3.3 |
Labour Force (‘000) |
270.2 |
264.5 |
5.7 |
112.9 |
109.7 |
3.2 |
Employment (‘000) |
234.5 |
226.4 |
8.1 |
104.2 |
100.3 |
3.9 |
Full-Time (‘000) |
201.4 |
196.8 |
4.6 |
90.0 |
87.5 |
2.5 |
Part-Time (‘000) |
33.1 |
29.6 |
3.5 |
14.1 |
12.8 |
1.3 |
Unemployment (‘000) |
35.7 |
38.1 |
-2.4 |
8.7 |
9.4 |
-0.7 |
Participation Rate (%) |
62.6 |
61.7 |
0.9 |
70.3 |
69.7 |
0.6 |
Unemployment Rate (%) |
13.2 |
14.4 |
-1.2 |
7.7 |
8.6 |
-0.9 |
Employment Rate (%) |
54.3 |
52.8 |
1.5 |
64.8 |
63.7 |
1.1 |
|
1010 - Avalon Peninsula |
1020 - South Coast - Burin Peninsula |
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Population 15 + (‘000) |
218.5 |
215.2 |
3.3 |
31.5 |
31.9 |
-0.4 |
Labour Force (‘000) |
148.6 |
139.9 |
8.7 |
17.5 |
16.7 |
0.8 |
Employment (‘000) |
133.5 |
125.3 |
8.2 |
14.1 |
13.5 |
0.6 |
Full-Time (‘000) |
114.9 |
109.3 |
5.6 |
12.0 |
11.8 |
0.2 |
Part-Time (‘000) |
18.7 |
16.0 |
2.7 |
2.1 |
1.7 |
0.4 |
Unemployment (‘000) |
15.0 |
14.6 |
0.4 |
3.4 |
3.2 |
0.2 |
Participation Rate (%) |
68.0 |
65.0 |
3.0 |
55.6 |
52.4 |
3.2 |
Unemployment Rate (%) |
10.1 |
10.4 |
-0.3 |
19.4 |
19.2 |
0.2 |
Employment Rate (%) |
61.1 |
58.2 |
2.9 |
44.8 |
42.3 |
2.5 |
|
1030 - West Coast - Northern Peninsula - Labrador |
1040 - Notre Dame - Central Bonavista Bay |
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Population 15 + (‘000) |
88.3 |
88.0 |
0.3 |
93.3 |
93.4 |
-0.1 |
Labour Force (‘000) |
51.6 |
51.9 |
-0.3 |
52.5 |
56.0 |
-3.5 |
Employment (‘000) |
43.1 |
42.9 |
0.2 |
43.8 |
44.7 |
-0.9 |
Full-Time (‘000) |
37.5 |
38.3 |
-0.8 |
37.0 |
37.4 |
-0.4 |
Part-Time (‘000) |
5.6 |
4.6 |
1.0 |
6.8 |
7.3 |
-0.5 |
Unemployment (‘000) |
8.5 |
9.0 |
-0.5 |
8.7 |
11.3 |
-2.6 |
Participation Rate (%) |
58.4 |
59.0 |
-0.6 |
56.3 |
60.0 |
-3.7 |
Unemployment Rate (%) |
16.5 |
17.3 |
-0.8 |
16.6 |
20.2 |
-3.6 |
Employment Rate (%) |
48.8 |
48.8 |
0.0 |
46.9 |
47.9 |
-1.0 |
Note: : '--' indicates number suppressed due to high sample variance. |
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Events
Construction/Retail
- Brad Robert’s Development Inc. will develop a 40 acre commercial site located off Veteran’s Memorial Highway in Spaniard’s Bay. Kent’s Building Supplies and Tim Horton’s have committed to set up shop on the site. It is expected that spin-offs from the development will benefit the entire Conception Bay North and Trinity South areas. In addition to the two major chain stores, the area will be large enough to accommodate other industrial and residential developments. Negotiations are already underway with other major box store tenants, grocery store chains and specialty outlets. Hundreds of jobs are expected to be created as a result of this new development.
- Kent Building Supplies are planning to open a new store on Legion Road in Kelligrews, Conception Bay South. Site preparation will begin this summer and construction will start next spring.
- Rona Building Supplies plans to build a new 68,000 square foot store on Torbay Road, north of Stavanger Drive. The store will staff 75 positions, of which 35 will be new jobs.
Construction/Education
- Bluebird Investments has been awarded the contract for the construction of the new College of the North Atlantic facility in Grand Falls-Windsor. The $3.75 million will construct a new 12,600 square foot facility which will feature two multi-function shops, both focused on trades. The building will also house a multi-function classroom and multimedia centre. The college will initially offer residential electrical and sheet metal programming. Each program will accept 16 students.
Health
- The National Association of Public Employees (NAPE), representing 340 workers with Tender Loving Care and Support, has reached a tentative agreement. Wage increases and improvements to benefits and contract language have been achieved. Ratification votes will take place from July 14 - July 21, 2010.
- A tentative agreement has also been reached with the National Association of Public Employees (NAPE) representing approximately 100 employees of A-Superior Home Care Service and Placentia Home Care employees. Wage increases and improvements to benefits and contract language have been achieved. Ratification vote to take place in coming weeks.
- A new long term care home was officially opened in Happy Valley - Goose Bay in July. This is a 50-bed long-term care facility, adjacent to the Labrador Health Centre. The new facility has four wings, one of which is a 13-bed protective care unit for dementia care patients. Residents of the Paddon Home have already moved into the new long-term care home
Information Technology
- Compusult Limited, a local technology company, received a non-repayable contribution of $1 million from the Department of Business. It is the first company to receive monies from the aerospace and defence fund. Compusult will use the funds to create an enhanced webbased system that will allow defense agencies, and other users, to gather data from various sources and funnel it into one comprehensive warehouse. Compusult currently employs approximately 15 staff at its Mount Pearl office and another 24 between Halifax, Ottawa and Washington. The company hopes to hire up to 20 more employees.
Mining
- Anaconda Mining has completed the construction phase of expansion and the redevelopment of its Pine Cove gold mine in Baie Verte. The company is now in the process of commissioning the mine for production. The company has stockpiled ore and is preparing to stockpile additional ore for its pit. It is unknown at this time how many jobs will be created when production commences.
- Contract talks between Vale Inco and about 130 striking mine and mill employees represented by the United Steelworkers at the company’s operations in Voisey’s Bay have broken off without a deal. The union said the bonus system was a key sticking point. The workers have been on strike for a year.
Oil and Gas
- Exxon Mobil Canada has announced it will be relocating their Halifax office to St. John’s, Newfoundland in August. The decision to relocate is indicative of the level of activity in the oil and gas industry n this province. Exxon Mobil Canada is one of the major players in Newfoundland’s offshore industry.
Telecommunications
- It appears that job cuts at Bell Aliant have been avoided with a tentative deal that includes a three-year wage freeze in exchange for employment security. It had been announced two weeks ago that Bell Aliant would have to lay off staff, close three of its five contact centres and eliminate benefits for new retirees. The ratification vote will be counted on September 15.
General
- Effective July 1, the minimum wage in Newfoundland and Labrador has increased by 50 cents per hour. With this recent increase, the minimum wage now stands at $10.00 an hour. Over the past five years, the minimum wage in the province has increased by 60%. Newfoundland and Labrador is just behind Ontario with the second highest provincial minimum wage in the country.
Transportation
- The Goose Bay Airport Corp. announced that the tender for expansion and an upgrade to the Happy Valley-Goose Bay airport has been awarded to Colby Management Inc. of St. John’s. The corporation will first build a two-wing expansion on the building which will enable business to continue as usual in the main building. The original facility was built to hold 45,000 passengers, and now it handles with over 100,000 passengers a year. Construction is expected to start within the next couple of weeks, with completion by December 2011.
- The federal government announced an additional $ 521 million over the next five years to a plan for improvements to the Nova Scotia-Newfoundland and Labrador ferry service. The improvements include a new terminal for North Sydney, as well as upgrades in the port and renovations to terminals in Port aux Basques and Argentia.
Green Initiative
- With a contribution of $169,250 from the Newfoundland and Labrador Green Fund, Icewater Seafoods Inc. in Arnold’s Cove is going green. This represents half the initial cost of $338,500 of the project, the remainder being funded by Icewater itself. A system will be installed to capture heat generated by refrigeration equipment and recycle it back into the plant for heating purposes. This new system will reduce greenhouse gas emissions by about 500 tonnes per year and also reduce the plant’s fuel consumption. Icewater has also made other eco-friendly changes recently such as installing fuel efficient lights that require less electricity and closely monitoring energy use daily that has saved the company approximately $70,000 – $80,000 a year. The project is expected to be up and running by March 2011. This is the first fish plant in Newfoundland and Labrador to use this technology.
- The City of St. John’s will have curbside recycling provided by Scotia Recycling beginning on October 18. It is expected that 5,000 pounds of recycling will be processed in the first year.
Prepared by: Labour Market Information Unit of Service Canada
Planning, Policy & Partnerships Unit of Service Canada