Employment in Canada increased for the second consecutive month, up 31,000 in September, driven by large full-time gains, according to the latest release from Statistics Canada. The unemployment rate fell by 0.3 percentage points to 8.4%, the first monthly decline since the beginning of the labour market downturn in the fall of 2008.
September’s full-time increase of 92,000, the largest since May 2006, was partially offset by part-time losses of 61,000. Despite September’s gains, full-time employment has fallen by 395,000 or 2.8% since the employment peak in October 2008.
British Columbia, New Brunswick and Prince Edward Island were the only provinces with notable employment gains in September. In Ontario, employment rose slightly as large full-time gains were dampened by losses in part time.
Since the peak in October 2008, employment has fallen by 2.1% (-357,000), with the bulk of the decline occurring between October 2008 and March 2009. Since then, the trend in employment has levelled, with the number employed almost the same in September as it was in March.
Construction, manufacturing and educational services saw employment increases in September, while there were declines in transportation and warehousing.
Construction and Manufacturing Employment
Manufacturing employment increased by 26,000 in September, the first notable increase since February 2009. Employment in this industry had the sharpest rate of decline since the start of the labour market downturn in the fall of 2008, down 10.6% (-210,000).
Following an increase the previous month, employment in construction rose again in September (+25,000). Both housing starts and building permits have increased from April to August 2009. Despite these recent increases, employment in this industry has fallen by 6.7% (-84,000) since October 2008.
Employment in transportation and warehousing decreased by 21,000 in September, continuing the downward trend since the fall of 2008. Employment has fallen by 8.4% or 73,000 since October, mostly in truck transportation in Ontario and Quebec.
