Thursday, 22 February, 2018

Canada sheds jobs, employment up in PA

The drop in jobs was driven by a 137,000 decline in part-time work the biggest fall The drop in jobs was driven by a 137,000 decline in part-time work the biggest fall
Heather Davidson | 10 February, 2018, 06:46

Statistics Canada says the jobless rate in Windsor last month was 4.6%, down from 6% in December, and 5.4% in January 2017. While part-time employment dropped by 137,000, full-time employment was up by 49,000 jobs. He said the losses reported Friday brought the monthly jobs average more in line with the other economic numbers. "Overall, a mysterious mix of good and bad, with the latter's impact blunted by how strong job gains were in the lead-up to these figures", CIBC chief economist Avery Shenfeld wrote in a commentary. The jobs report can also be volatile month-to-month.

When it comes to the Bank of Canada's possible reaction to the January report, Alexander noted the "bad number" could delay the timing of governor Stephen Poloz's next rate hike. While the overall decline helped push the national unemployment rate up to 5.9 per cent in January from 5.8 per cent the previous month, it's still well below the 6.7 per cent it sat at a year ago.

The unemployment rate in Medicine Hat has once again gone up.

Provincial summary The drop in the number of people employed also coincided with an increase in the minimum wage in Canada's largest province, Ontario.

"Ontario lost 40 per cent of the part-time jobs in Canada".

Compared to January 2017, unemployment in Nanaimo has fallen from 5.9 per cent. "The unemployment rate is still low with the economy remaining close to full employment".

The province hiked minimum wage by $2.40 per hour to $14 per hour at the beginning of the year, a move some economists warned could result in mass job losses as employers look to reduce costs. "But the details also looking wonky, with all of the job losses in part-time work". While the unemployment rate in December was 8.6 per cent, month-over-month comparisons are hard to make as data is unadjusted for seasonal differences that can influence each month. The unemployment rate in Alberta also fell by 1.7 percent, to 7.0 percent.

With files from Canadian Press.

The Dow ended with a 330.44 point or 1.38 per cent gain to 24,190.90, in the wake of Thursday's session that ended with a steep drop marking a 10 per cent decline from the market's peak in January.

"This is a mixed bag for the Bank of Canada because we did see a significant rise in wage inflation ... which might counter the disappointment on the headline jobs count", Shenfeld said.

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