July 13, 2009 - Statistics Canada’s Labour Force Survey issued last Friday shows a modest gain in construction employment from May to June 2009, still leaving a 6% year over year decline from June 2008 to June 2009.

For all industries and workers, overall employment was little changed in June, leaving total net losses during the last three months at 13,000, much smaller than the 273,000 decline in the first three months of the year. The unemployment rate edged up 0.2 percentage points to 8.6% in June, as more people looked for work.

 
Full-time employment continued its downward trend in June, offsetting gains in part time. Since employment peaked in October 2008, full-time losses (-454,000) have been only partially offset by part-time gains (+84,000), leaving total employment down by 370,000.

There were gains in information, culture and recreation in June, as well as in finance, insurance, real estate and leasing. Industries with notable declines were manufacturing and business, building and other support services.

Slower pace of decline in last three months
While employment remains well below its October 2008 peak, there was a notable shift in the pace of the downward trend in employment in the last three months. Total net losses were 13,000 for the last three months, much less than the 273,000 decline in the first three months of this year.

During the first three months of 2009, employment fell in almost all industries, especially in manufacturing and construction, whereas over the last three months, employment increased in most service industries, stabilized in construction but continued to decline in manufacturing.

By province, the greatest change in the employment trend occurred in Quebec, British Columbia and Alberta. In the first three months of 2009, employment fell sharply in all three provinces, in contrast to the last three months, when employment rose in Quebec and British Columbia, and held steady in Alberta. In Ontario, employment continued to fall over the last three months, although at a slower pace.

June's employment gains were in information, culture and recreation (+26,000); and finance, insurance, real estate and leasing (+21,000).

Manufacturing continued its downward trend in June (-26,000), with most of the month's declines in Quebec. Nationally, this sector has experienced the sharpest rate of decline of all industries (-10.7%) since October 2008, with losses mainly in Ontario, Alberta and British Columbia.

There were also losses in business, building and other support services in June (-14,000).

Employment little changed in most provinces

Newfoundland and Labrador was the only province with employment gains in June, up 2,500. At the same time, the unemployment rate edged up to 15.6% as there were more people in the labour force.

Full-time losses in Ontario in June (-56,000) were offset by part-time gains (+57,000), leaving total employment unchanged. The unemployment rate edged up to 9.6%, the highest rate in 15 years. Since last October, employment in the province has fallen by 232,000 (-3.5%), with over half of the losses in manufacturing (-126,000).

While employment in Saskatchewan was virtually unchanged in June, this was the only province with an upward trend in employment since October (+1.0%). At 4.6% in June, the unemployment rate in Saskatchewan was the lowest of all provinces.

Employment in Quebec was unchanged in June and the unemployment rate was 8.8%. Since October, employment in Quebec has fallen by only 0.8%, a rate of decrease much lower than the national average (-2.2%).