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Canada is a job juggernaut — except in manufacturing

Employment grew 6X more than expected in February, but mostly it was the service sector


 

To recap:

  • The Canadian economy added a whopping 51,000 jobs in February, Statistics Canada said today. That was over six times the meagre consensus expectation of 8,000 new jobs.
  • The unemployment rate remained steady at seven per cent as more Canadians joined the labour force last month after many abandoned the job search in January.
  • The pick-up in jobs growth comes after employment declined by 22,000 positions in January.
  • Compared to February 2012, employment last month was up by 336,000 jobs, mostly full-time positions. Employment in the private and public sector grew at the same pace, expanding by roughly two per cent on year-ago levels.
  • Job gains were widespread across provinces. Manitoba was the lone jurisdiction that registered losses (-3,200), which, however, coincided with a decline in labour force participation and left the unemployment rate unaffected.
  • Across industries, the lion’s share of new jobs came from the service sector. Manufacturing, by contrast, shed 26,000 positions compared to the previous month, leaving employment levels roughly unchanged since February 2012.

What the analysts are saying:

  • Although Canadian employment numbers are known for their wild swings — the statistical sample is, after all, rather small — February’s data bode well for a GDP rebound in the first quarter of 2013 after the economy grew at near-zero rates for the latter half of 2012, wrote CIBC’s Emanuella Enenajor.
  • A flat jobless rate, wrote TD’s Sonya Gulati, is actually welcome news after January saw the largest labour force exit since April 1995. That the headline unemployment number remained unchanged means some of those who had abandoned the job search (and who consequently were no longer formally being counted as unemployed) are back at it or have found employment.
  • RBC’s Paul Ferley noted the real estate industry continued to add construction jobs (+15,800), a puzzling trend given the slowdown in the housing market, unless the growth is driven by the non-residential sector.

 
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Canada is a job juggernaut — except in manufacturing

  1. ‘Across industries, the lion’s share of new jobs came from the service
    sector. Manufacturing, by contrast, shed 26,000 positions compared to
    the previous month, leaving employment levels roughly unchanged since
    February 2012.’

    • Congratulations, you’ve proven you can copy-and-paste without adding anything at all to the subject.

      • Enjoying your debt this morning are you? Heh heh

      • Emily’s just living up to her reputation as Macleans official ‘troll in residence’. She’ll be giving a master class in keeping with that much coveted position from time to time. Please remember that and show her the proper deference.

    • ‘Any job is a good job’
      Jim Flaherty

      • Ahhh, but would you like fries with that?

        • I don’t think you properly understand the labour force survey. The basic classes of worker are broken down into “goods producing” and “service producing.”

          Services is not limited to barista and burger flipper.

          Categories of service jobs in the LFS include things like:

          Finance, insurance, real estate, (i.e your insurance/investment advisor)

          Educational services (horrible things like teachers)

          Health Care and social services (those awful and horribly paid nurses and social workers)

          The accommodation and food services category does include the low level jobs that I think you are referring to, but it can also include many very well paying jobs in the hospitality industry.

          But go ahead and keep making your ignorant points.

          • You must be new here.

            I am well aware of what ‘service jobs’ are

            Argued it many times on here.

            Canada’s economy is about 75% service. However Flaherty had said he drove a taxi, refereed hockey…..and that people should take any job available. ‘Fries Flaherty’ is not much of a FinMin.

          • Been here longer than you, guaranteed.

            Your point is still ignorant.

            I don’t see what’s wrong with taking a job if you don’t have one at all. I don’t think Flaherity would disagree that we want good jobs. But we still need taxi drivers.

          • Well then you’d better start paying attention….and grow a sense of humour.

            PS We don’t need doctors as taxi drivers.

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