Labour Market Bulletin - Saskatchewan

January 2011

Saskatchewan Labour Market Bulletin - January 2011 (PDF version, 322 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

• Saskatchewan remains fastest growing province in Canada
• Change to ratio of journeyperson to apprentices for electrical trade
• Regina – Building permits increased in 2010
• Saskatoon – New office building planned
• North Battleford – Battlefords Indian Métis Friendship Centre plan for permanent homeless shelter
• Alameda to Whitewood – Construction began on a $29-million pipeline
• Estevan – Rebuild on coal-fired power plant announced
• Swift Current – Construction of integrated facility planned
• Fond du Lac Denesuline Nation – Fish-processing plant
• Humboldt – Repairs to Highway 5 almost finished

We welcome your feedback.

E-Mail:

SK-LMI-Bulletin-GD@servicecanada.gc.ca

Mailing Address:

Editor, Labour Market Bulletin
Labour Market Information Services
Western Canada and Territories Region
Service Canada
1783 Hamilton Street
Regina, Saskatchewan, S4P 2B6

Saskatchewan

Saskatchewan population grows: Saskatchewan remains the fastest growing province in Canada, with population growth of 1.53% over the past year. Statistics Canada's estimates show that on October 1, 2010, Saskatchewan's population increased to 1,049,701 people, an increase of 4,079 in the third quarter and 15,855 over the past year. More than 60% of the third-quarter growth came from net international migration. Net inter-provincial migration during the third quarter rose only slightly above zero, much lower than in the same period in 2009.

Source: Statistic Canada Daily, December 22, 2010 and Saskatchewan Government News Release, December 22, 2010

Fewer people received EI benefits: According to the latest data released by Statistics Canada, fewer Saskatchewan residents received EI benefits in October 2010 than in October 2009. The data indicated 13,060 people received EI benefits in October, down 8.8% compared to one year ago in October 2009.

Key Sources: Statistic Canada Daily, December 16, 2010 and Leader-Post, December 17, 2010

Strong economic growth forecast: Eight private sector forecasters, including the Conference Board of Canada, forecasted that Saskatchewan will have the fastest growing economy in Canada in 2011. On average, Saskatchewan's economy is expected to grow by 3.7%, well above the national rate of 2.5%.

Key Source: Saskatchewan Monthly Indicators Report, December 2010

Average weekly earnings on the rise: Saskatchewan workers earned an average of $875.47 a week in October 2010. Statistics Canada reported that this was a 7.7% increase year-over-year, the largest percentage increase in the country. Saskatchewan's average earnings rank third among the provinces, behind Alberta and Ontario.

Key Source: StarPhoenix, December 24, 2010

Oil and gas land-sale revenue increased from 2009: The 2010 revenue of $463 million from the sale of crown petroleum and natural-gas rights made 2010 the second best year ever and significantly higher than $118 million in 2009. The year-end sale saw the best ever results from a December sale. The December sale brought in $56.6 million in revenue, where the Swift Current area, with heightened interest in the Lower Shaunavon play, received the most bids with sales of $25.2 million. The Weyburn-Estevan area was next at $17.8 million, followed by the Lloydminster area at $7.5 million, and the Kindersley-Kerrobert area at $6.1 million. The next sale of Crown petroleum and natural-gas dispositions occurs on February 7, 2011.

Key Source: Government of Saskatchewan News Release, December 8, 2010

Increase in oil-well drilling forecast for 2011: The Petroleum Services Association of Canada released the 2011 Canadian Drilling Activity Forecast. It predicts an increase to 12,250 wells drilled (rig released) across Canada for 2011, and 3,050 wells drilled for Saskatchewan. This will be an increase of 16% for Saskatchewan over the previous year.

Key Source: Petroleum Services Association of Canada News Release, November 1, 2010

Change to ratio of journeyperson to apprentices for electrical trade: The Government of Saskatchewan announced changes to the Electrical Licensing Exemption Regulations. The amended regulation increases the required ratio of journeypersons to apprentices in the electrical trade, to allow two apprentices per one journeyperson rather than one apprentice per journeyperson. The Saskatchewan Apprenticeship and Trade Certification Commission expects apprentice numbers to grow over time because of this change, as employers hire additional employees. Many other designated trades in Saskatchewan already have a similar ratio.

Key Source: Government of Saskatchewan News Release, December 9, 2010

Regina Area

Regina – Low vacancy rates: Regina tied with Quebec City and Kingston for the second lowest rental vacancy rates among major centres in the country. The greatest contributing factor was the decrease in condominium vacancy rates from three percent in October 2009 to 1.4% this year. Vacancy rates of two-bedroom apartments remain very low at one percent, although they increased slightly from 0.6% the previous year. Availability for rental units placed third lowest in the country at 1.5%. The average rental price for all types of apartments was $802, an increase from $752 last year and just slightly above the $800 provincial average.

Key Sources: Canada Mortgage and Housing Corporation, News Release
and Rental Market Survey 2010, December 9, 2010

Regina – Housing starts increase: Single-family detached unit starts increased 25% and multi-family unit starts increased 68% in November compared to the previous year, contributing to a 52% overall increase in housing starts for Regina and area. To date, the number of single and multiple-unit starts is higher than that for all of 2009.

Key Sources: The Leader-Post December 9, 2010, Canada Mortgage and Housing Corporation November Housing Starts, December 8, 2010

Regina – Building permits increased in 2010: The economic growth in Regina was reflected in commercial and residential construction in 2010. Commercial building permits valued at $426.8 million were down slightly from the record $458.4 million reached in 2009, even though the number of permits increased to 2,539 from 2,307. Residential permits increased both in number and value. In 2010, 590 residential permits worth $100.1 million in value were issued, compared to 444 permits valued at $70.3 million in 2009.

Key Source: The City of Regina Building Permit Report, January 6, 2011

Regina – Hiring to remain strong: According to the most current Manpower Employment Outlook Survey, 20% of employers in Regina plan to hire staff in the first three quarters of 2011, 88% plan to maintain their current levels, and no employers plan to reduce staff. This hiring outlook is an improvement of 13% over the first quarter of 2010, when 7% of employers planned to hire new staff.

Key Source: Manpower Employment Outlook Survey, December 7, 2010

Regina – Labour shortage concerns: A survey released by the Regina Chamber of Commerce indicates that although the economic outlook is positive, labour shortages are a concern. Over 90% of respondents anticipated future hiring and wage increases, but approximately 20% indicated labour shortage as the biggest problem facing their business.

Key Source: The Leader-Post, January 7, 2011

Saskatoon and Rural West

Lloydminster – Affordable housing project for Métis seniors: The Lloydminster Métis Housing Corporation will start construction on a five-unit facility in April 2011, with a November 2011 completion date. The total cost of the new development is approximately $943,000, including the land value. The housing group opened Elders’ Lodge, its first Métis senior housing facility, in 2006.

Key Source: Lloydminster Source: December 2, 2010

Saskatoon – New office building planned: In early 2011, Tonko Realty Advisors Ltd. plans to begin construction on a five-storey office building at the south end of Second Avenue in downtown Saskatoon. The company expects to house its first tenants by the end of 2012. The building will feature a two-storey front lobby, a fitness facility, and up to 40 underground parking stalls. The project represents the first steps of a new construction phase at River Landing along the bank of the South Saskatchewan River in downtown Saskatoon.

Key source: StarPhoenix, December 8, 2010

Saskatoon – Enhancement to downtown north area: The City of Saskatoon will spend $3.7 million during the next two years to revamp the entrance to the 25th Street extension off Idylwyld Drive. The "gateway" to the downtown area will include lighting, trees, benches, and public art. This project will enhance the north downtown, which has been under-utilized for a number of years.

Key Source: StarPhoenix, December 20, 2010

Saskatoon – Construction projects continue at the University of Saskatchewan: According to the University of Saskatchewan Facilities Management Division's website, there have been more than 80 construction projects since 2000 that are now complete or in progress, for a total value exceeding $1 billion. The construction is primarily the result of yearly student population increases. During 2011, completion is scheduled for the Academic Health Sciences E wing, which will house nursing, physical therapy and agricultural medicine, the new Vaccine and Infectious Disease Organization building, and the first phase of undergraduate student housing. There are numerous other projects in the pre-planning and design phases.

Key Sources: Saskatoonhomepage.ca, December 27, 2010, and U of S Facilities Management Division website, December 30, 2010

Saskatoon – Major construction projects continue in 2011: Saskatoon finished a landmark year in 2010 with over 4,000 building permits issued, the largest number since the 1970s. In 2011, Saskatoon will see the start of major construction projects, including the River Landing condominium along with hotel and retail facilities, replacement of the Traffic Bridge, the new Art Gallery of Saskatchewan, the new police headquarters on the 25th Street extension, the possibility of a new Saskatchewan School of Architecture, and a new Mining Centre Institute.

Key Source: Saskatoonhomepage.ca, December 27, 2010

Meadow Lake – Physician recruitment: The Prairie North Health Region recruited a husband and wife family physician team to Meadow Lake. The Health Region continues to work on long-term solutions to recruit Canadian-trained physicians, particularly from the University of Saskatchewan (U of S). Work continues on the expansion of the Meadow Lake Associate Clinic, which will eventually accommodate three nurse practitioners, two medical students, and two residents from the U of S. The Health Region has also increased incentives for local nurses to the take the nurse-practitioner program, to assist with the physician shortage.

Key Source: Northern Pride, December 16, 2010

Meadow Lake becomes headquarters for provincial corrections department: The provincial government's Ministry of Corrections, Public Safety, and Policing is in the process of dividing the northern half of Saskatchewan into two regions. Meadow Lake will serve as the location for the central office for the northwest branch, which will encompass Buffalo Narrows, La Loche, North Battleford, and Lloydminster. The Ministry had previously served all communities within the northern end of the province under one director. The Meadow Lake office will improve support to the Ministry’s workers, and build relationships with community organizations. The new office will have additional staff.

Key Source: Meadow Lake Progress, December 10, 2010

North Battleford – Battlefords Indian Métis Friendship Centre plan for permanent homeless shelter: The Battlefords Indian Métis Friendship Centre (BIMFC) hope to create a permanent homeless shelter on their premises. A temporary shelter has already been set up and currently accommodates one to three people with funding drawn from BIMFC’s existing budget. The Friendship Centre is applying for funding to create a permanent homeless shelter. BIMFC has identified about 20 people who have no place to live. City council has approved the operation of the downtown homeless shelter for the winter.

Key Source: North Battleford News Optimist, December 11, 2011

South-East Saskatchewan

Alameda to Whitewood – Construction began on a $29-million pipeline: Carson Energy Services Ltd. of Lampman began construction of a major $29-million natural-gas transmission pipeline for TransGas, in southeast Saskatchewan’s oil-rich Bakken region. The proposed pipeline stretches north from a point near the town of Alameda to connect with an existing TransGas lateral near the town of Whitewood, a total distance of approximately 117 kilometres. The pipeline will transport associated gas extracted by oil companies during the development of oil reserves, and reduce the amount of CO2 emissions associated with the flaring of natural gas.

Key Source: TransGas Media Release, December 2, 2010

Weyburn – Housing development started: Terra Developments Inc., a Regina-based company, began construction on a two-phase 64-unit condominium and rental project on the old Elgin school site, in Weyburn. The first phase of development, consisting of four eight-unit buildings will have 27 rental units of the 32 units. The first building is expected to be ready for occupancy in February 2011, the second in March, and the last two in April and May.

Key Source: The Weyburn Review, December 15, 2010

Moosomin – VBINE Energy to build manufacturing plant: VBINE of Moosomin announced its partnership with two businessmen in the Manitoba town of Winkler to build a $2-million manufacturing plant in Winkler. The company makes turbines that harness wind power. The company expects to employ 100 people at the Winkler plant by the end of 2011.

Key Source: CBC News, December 23, 2010

Crescent Point Energy announced 2011 capital development expenditures: Crescent Point Energy Corp. announced its $800-million capital development expenditures budget for 2011. The company expects to spend approximately 62% of its 2011 budget in the Viewfield Bakken area of southeast Saskatchewan, drilling approximately 200 net wells in the area in 2011. To accommodate continued growth of its Bakken production, Crescent Point expects to invest up to $45 million on infrastructure projects. In the Shaunavon area of southwest Saskatchewan, Crescent Point plans to spend approximately 16% of the 2011 budget, drilling approximately 44 net wells. The Company plans to implement its fourth water flood pilot in the Lower Shaunavon and invest up to $27 million in infrastructure projects, including the construction of a gas-processing plant, a central oil battery, and expansion of the area’s crude oil and natural gas gathering systems.

Key Source: Crescent Point Energy News Release, December 15, 2010

Cenovus Energy announced 2011 capital expenditure plans: Calgary-based Cenovus Energy expects its capitol spending on conventional oil properties to total about $484 million in 2011, split between Alberta and Saskatchewan. It includes established assets in its Weyburn operations and new assets in the Bakken and Lower Shaunavon properties. Cenovus Energy plans to continue to expand its enhanced oil recovery in 2011, in the Weyburn area.

Key Sources: Cenovus Energy News Release, December 10, 2010 and The Weyburn Review, December 22, 2010

Estevan – Rebuild on power plant announced: SaskPower announced its decision to proceed with the $354-million rebuild of the aging Unit 3 at the coal-fired Boundary Dam power plant near Estevan. The crown corporation deferred its decision on a proposed $1.2-billion carbon capture project at Boundary Dam, until it gets more details on emissions regulations from Ottawa. With Unit 3 scheduled to shut down in 2013 after 45 years of service, SaskPower expects to start work on Unit 3 in 2011, with construction to begin in 2012 and operations to begin in fall of 2013.

Key Sources: CBC News, December 10, 2010 and Leader-Post, December 10, 2010

South-West Saskatchewan

Five Hills Health Region – Physicians force one-day closures: Four medical clinics in the Five Hills Health Region were closed as 37 doctors in the area attended one-day informational sessions regarding the status of contract negotiations. Physicians in Saskatchewan have been without a contract since April 2009. Swift Current doctors organized a similar one-day protest at the end of November.

Key Source: The Leader-Post, December 9, 2010

Swift Current – Construction of integrated facility planned: The City of Swift Current, Holy Trinity Catholic School Division, Chinook School Division, and the Cypress Health Region signed a Memorandum of Understanding to create The Integrated Facility Partnership. The organizations will work together to build a facility that will include both a Catholic and public school, long-term care facility, library, art gallery, aquatic centre, and field house. Construction will take place in several stages as funding is obtained.

Key Source: The Southwest Booster, December 16, 2010

Northern Saskatchewan

Fond du Lac Denesuline Nation – Fish-processing plant: Fond du Lac Denesuline Nation is planning to build a fish-processing plant next summer in northern Saskatchewan. The project is expected to create up to 50 jobs and employ about 50 fishers. Big Cove First Nation of New Brunswick will market the fish harvested from Lake Athabasca and surrounding lakes.

Key Source: La Ronge Northerner, December 9, 2010

Montreal Lake Cree Nation – Older worker program: Federal and provincial governments provided $138,000 to help unemployed older workers (55 to 64 years) in Montreal Lake Cree Nation. Through a 12-week program that ends in March 2011, the participants will learn new skills that will help them find and keep new jobs. Montreal Lake Cree Nation, located about 90 kilometres north of Prince Albert, has an unemployment rate of 9.4%, almost double the provincial rate of 5.5%.

Key Sources: Government of Canada, December 3, 2010 and
mbcradio.com, December 7, 2010

One Arrow First Nation – Equine-Assisted Learning Program underway: A new program called the "Inspire Direction Equine Assistant Learning (IDEAL)" is underway at One Arrow Equestrian Centre. The six-week program involves 80 children from the Almighty voice School, as well as some adult participants from the Carlton Trail Regional College, 15 horses, and five instructors. The main purpose of the program is to build strong communication, leadership, and problem solving skills through a unique combination of classroom sessions and time in the arena where participants work with the horses.

Key Source: Valley News, January 6, 2011

La Ronge – Golden Band starts up Jolu Gold Mill: Golden Band Resources' newly refurbished Jolu Mill is operating and processing approximately 400 tonnes of high-grade material daily from the Roy Lloyd Mine (Bingo Deposit). The company will increase its ore feed rate to 700 tonnes per day when it starts processing ore from the EP gold deposit. Golden Band has a land package that includes twelve known gold deposits, four former gold producing mines and the Jolu gold mill. Golden Band employs nearly 85 people.

Key Source: Golden Band Resources, December 23, 2010

BHP Billiton - Jansen project: BHP Billiton submitted an Environmental Impact Statement (EIS) for its proposed Jansen Potash Mine project to the Saskatchewan Ministry of Environment. The EIS will be released to the public for comment, likely during the first half of 2011. At full capacity, the Jansen Mine could produce about 8 million tonnes of potash annually, making it the world’s largest potash mine.

Key Source: BHP Billiton, December 18, 2010

Humboldt – Carlton Trail welding shop renovation project: The $220,000 enhancement project at Carlton Trail Regional College's welding shop in Humboldt is complete. Improvements include a new boiler, new ventilation system, and replacement of roof shingles. The funding was part of Canada's $2-billion Knowledge Infrastructure Program that was designed to support infrastructure enhancements at post-secondary institutions.

Key Sources: Government of Saskatchewan, Industry Canada, June 12, 2009 and December 18, 2010

Humboldt – Repairs to Highway 5 almost finished: The $5-million project to repair seven kilometres of Highway 5 west of Humboldt is almost complete. Excessive rain caused a slough to overflow the highway in the summer. Since then, road construction crews have been working to widen the road and increase the grade by three metres. Final paving is slated for 2011.

Key Sources: Government of Saskatchewan, November 4, 2010 and
Humboldt Journal, December 8, 2010

Humboldt – Physician shortage: A reduction in the number of physicians from nine to eight and an increase in the number of patients has resulted in a shortage of services at the Humboldt Clinic. According to a recent news release, there are eight physicians serving between 30,000 and 35,000 people in the Humboldt and surrounding areas. Patients who no longer have access to a doctor in some smaller communities are now coming to Humboldt. Meanwhile, the Humboldt Clinic and Saskatoon Health Region continue their efforts to recruit more doctors to the area.

Key Source: Humboldt Journal, December 15, 2010

La Ronge – Emergency child protection services: As of January 1, 2011, Lac La Ronge Indian Band Child and Family Services Inc. will be able to provide after-hour and weekend emergency child-protection services to both on and off-reserve residents in the communities of La Ronge, Stanley Mission, Stony Rapids, Wollaston, Black Lake, Southend, Uranium City, and Pinehouse. Until now, the agency could only provide these services to on-reserve residents. Lac La Ronge Indian Band Child and Family Services has 37 full-time permanent staff working at the central office and five sub-offices.

Key Source: Government of Saskatchewan, December 20, 2010

Shellbrook – Sewage lagoon project: Shellbrook Town Council awarded the tender for its sewage lagoon project to Wildstone Construction of BC. The $3.2-million project is part of Shellbrook’s $7.7-million infrastructure improvement that will also improve the town’s water supply. Wildstone Construction plans to hold a job fair in early 2011 to attract local trades people. The sewage lagoon project will take about six months to complete.

Key Source: Shellbrook Chronicle, December 24, 2010