Exclusive interviews with leading policymakers that convey the true policy message that impacts markets.
Reporting on key macro data at the time of release.
Real-time insight on key fixed income and fx markets.
- Emerging MarketsEmerging Markets
Real-time insight of emerging markets in CEMEA, Asia and LatAm region
- MNI ResearchMNI Research
Actionable insight on monetary policy, balance sheet and inflation with focus on global issuance. Analysis on key political risk impacting the global markets.
- About Us
By Yali N'Diaye
Ottawa (MNI) - Employment in Canada surprised on the upside in
October, as the economy added 35,300 jobs on the month, following a
10,000 gain in September, Statistics Canada reported Friday.
Analysts in a MNI survey had expected employment to rise half that much,
by 15,000, with the unemployment rate unchanged at 6.2%.
The unemployment rate actually ticked up to 6.3%, but this was
accompanied by a rising participation rate (65.7% versus 65.6% in
Overall details of the report should bring reassurance to the Bank
of Canada, which has been particularly worried about the pace of wage
growth and the weak youth employment.
In October, year-over-year wage growth for permanent workers picked
up again, accelerating to 2.4% from 2.2%. Wage increases have been
picking up speed since a dip reached in April, when they rose just 0.7%
from a year earlier.
Hours worked also increased faster overall, with a 2.7% gain
year-over-year after rising 2.4% in September.
Other details of the report were also positive, with full-time
positions once again leading the monthly gain.
Full-time employment was up 88,700 in October, which is especially
impressive considering the 112,000 surge the previous month.
Part-time employment, on the other hand, contracted a further
53,400 after declining 10,200 in September.
Year-to-date total employment gain is 264,400, with full-time up
340,900 and part-time down 76,600. Over the same period in 2016,
full-time was up just 17,600 and part-time 167,700, for a total
employment increase of 185,300, reflecting the rotation towards more
stable jobs as business sentiment has been improving.
Another positive factor was the 17,500 in youth employment on the
month, along with a rising participation rate, which reached 63.7% after
62.7% in September.
The BOC has been concerned over underemployment among youth, which,
Governor Stephen Poloz said, keeps him up at night.
That being said, Statistics Canada pointed out that the youth
participation rate remains lower than the average of 67% in 2007 and
2008, and has also been trending lower on a 12-month basis (-0.8 point).
Also positive was the decline, albeit modest, in the proportion of
involuntary part-time workers in total part-time employment, to 22.0% in
October from 22.4% in September and 22.7% a year earlier.
New positions were concentrated in the private sector, where
employment rose 39,100 in October after declining 15,500 in September,
while public sector jobs were down 4,500 over the month.
The number of all employees rose 34,500, whereas self-employment,
considered less stable, was up just 800.
On a sector basis, gains in October were led by goods-producing
industries, where employment was up 33,900, while services lagged with
just 1,400, as a 35,900 drop in trade was barely offset by gains in some
Construction was particularly strong, with 18,400 positions added
on the month, followed by a 7,800 increase in manufacturing.
In services, "other services" were up 21,400, followed by
information, culture and recreation (+15,300).
Regionally, the largest employment gains were in Quebec and
--MNI Ottawa Bureau; email:email@example.com