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- Articles and reports: 36-28-0001202200900002Description:
Experiencing a permanent layoff—a job loss without returning to the same employer during the same or subsequent year—can have significant and long-lasting impacts. One strategy to cope with job loss is to retrain. However, until recently, data limitations have prevented researchers from observing the detailed training activities of Canadians who have been permanently laid off. This study aims to address this gap by documenting the detailed postsecondary training decisions made by affected workers following job displacement.
Release date: 2022-09-28 - Articles and reports: 36-28-0001202100200002Description:
This Insights article examines the degree to which workers who lost their job in 2009 started a business, changed regions, went back to school or began a registered apprenticeship in 2010, the year following job loss. The analysis combines the 2001 Census of Population with Statistics Canada’s Longitudinal Worker File and Registered Apprenticeship Information System.
Release date: 2021-02-24 - Articles and reports: 11-626-X2020021Description: The last two decades have seen substantial movements in the price of oil and other commodities. Oil prices more than doubled from the early 2000s to 2008, fell during the 2008-2009 recession and dropped sharply after 2014. These price declines have led to increases in permanent layoff rates in the oil and gas industry in Canada, especially in recent years. This Economic Insights article examines how workers displaced from the oil and gas industry in recent years have fared after job loss. The analysis uses Statistics Canada’s Longitudinal Worker File.Release date: 2020-09-22
- Articles and reports: 11-626-X2020022Description: Efforts to make a transition to a low carbon economy have raised concerns that workers displaced from traditional energy-producing sectors might experience substantial earnings declines after job loss. This Economic Insights article examines how workers displaced from coal mining in recent years have fared after job loss. The analysis uses Statistics Canada’s Longitudinal Worker File.Release date: 2020-09-22
- Articles and reports: 11-626-X2020006Description:
The Canadian labour market has seen significant changes since the late 1970s. This article examines the evolution of layoff rates in Canada from 1978 to 2016, the last year for which data on permanent layoffs are currently available. The analysis uses Statistics Canada’s Longitudinal Worker File and focuses on employees aged 25 to 64.
Release date: 2020-06-23 - Stats in brief: 45-28-0001202000100030Description:
It is too early to know how many Canadian workers will lose their job, i.e. will be permanently laid-off, as a result of the COVID-19 pandemic and what will happen to them financially after job loss. Yet a number of stylized facts emerge from the past. While these facts do not necessarily allow accurate predictions of the impact of the pandemic on job displacement, they provide a long-term perspective from which forthcoming labour market developments can be assessed. The goal of this article is to highlight these facts.
Release date: 2020-06-10 - 7. An Investment of a Lifetime? The Long-term Labour Market Premiums Associated with a Postsecondary Education ArchivedArticles and reports: 11F0019M2014359Geography: CanadaDescription:
This paper examines the long-term labour market premiums associated with completing a college certificate and a bachelor's degree, compared to completing a high school diploma. Several labour market outcomes of individuals are examined with longitudinal data over a 20-year period spanning their mid-30s to their mid-50s.
With the creation of a new linked file consisting of the 1991 Census of Population and the Longitudinal Worker File (LWF), it is now possible to follow individuals in the labour market for a longer period of time than is feasible with existing survey data. The purpose of this study is to compare labour market outcomes of individuals with different levels of educational attainment over a 20-year period spanning their mid-30s to their mid-50s. Three levels of education are considered, corresponding to the decisions made by students following high school graduation: a high school diploma, a college certificate, and a bachelor's degree. Longitudinal data are used to track total earnings (wages and salaries plus net self-employment income), coverage in an employer-sponsored pension plan, employment, union membership, and permanent and temporary layoffs over the period 1991 to 2010.
Release date: 2014-02-27 - Articles and reports: 11F0019M2013352Geography: CanadaDescription:
With the leading edge of the baby boom generation now in their mid-sixties, there is considerable interest in how and when these individuals will retire. To help place this issue in a broader context, this paper provides information on the employment histories of individuals who were aged 33 to 38 in 1983 and aged 60 to 65 in 2010.
The longest observed duration of employment is used as an organizing framework, with summary measures presented on indicators such as years of employment, job turnover, annual and cumulative earnings, permanent and temporary layoffs, and years of pensionable service. Cohort members are loosely categorized as 'marginally attached workers', 'mobile workers', or 'long-term-job holders' according to their employment characteristics, with about one-tenth, one-quarter, and two-thirds of cohort members in these groups, respectively.
Release date: 2013-10-02 - 9. Workers Laid-off During the Last Three Recessions: Who Were They, and How Did They Fare? ArchivedArticles and reports: 11F0019M2011337Geography: CanadaDescription:
Over the last three decades, Canada has experienced three recessions: one that started during the early 1980s; a second that began during the early 1990s; and the most recent one, which led to employment declines starting in October 2008. For each recession, this study: a) examines which workers were laid-off; b) quantifies layoff rates; and c) assesses the proportion of workers that found a job shortly after being laid-off. The layoff concept used includes temporary layoffs as well as permanent layoffs.
Release date: 2011-09-20 - Articles and reports: 11F0024M20040007458Description:
This paper examines whether permanent layoff rates have increased in Canada between the 1980s and the 1990s, using data from the Longitudinal Worker File - a 10% random sample of all Canadian employees.
Release date: 2004-11-25
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- 11. The Performance of the 1990s Canadian Labour Market ArchivedArticles and reports: 11F0019M2000148Geography: CanadaDescription:
There is a general sense that the 1990s labour market was unique. It has been characterized by notions such as "downsizing", "technological revolution", "the knowledge-based economy", "rising job instability", and so on. This paper provides an extensive overview of the performance of the 1990s labour market, and asks just how different it was from the 1980s. It goes on to ask if the facts are consistent with many common beliefs and explanations. The paper focuses on (a) macro-level labour market outcomes, and (b) distributional outcomes. Macro-level topics include: has the nature of work changed dramatically in the 1990s? has there been a continued ratcheting up of unemployment? have we witnessed rising job instability and increased levels of layoffs? did company downsizing increase in the 1990s? why did per capita income growth stall in the 1990s? for a worker with a given level of human capital, has there been a deterioration in labour market outcomes?
Much of the focus in the labour market over the 1980s and 1990s was on distributional outcomes - who is winning and who is losing. Some of the distributional outcomes of the 1990s labour market addressed in the paper include: outcomes for men and women; changes in the relative wages of the highly educated and earnings inequality; trends in the rate of low-income; the changing outcomes for recent labour market entrants, including young people and immigrants; and the extent to which technological change plays a major role in these outcomes.
The paper concludes with a discussion of the overall performance of the 1990s labour market as compared to the 1980s.
Release date: 2000-05-04 - 12. Are Jobs Less Stable in the Services Sector? ArchivedArticles and reports: 63F0002X1999022Description:
Based on data from the Labour Force Survey and the Longitudinal Worker File, this document examines job stability patterns in Canada, particularly in the services sector. It finds that job stability varies not only between the services and non-services sectors, but also within the services sector. For example, jobs are equally as stable in the business services, distributive services and manufacturing industries, but less stable in the consumer services and primary and construction industries. Job stability is highest in public services.
This document also demonstrates that aggregate job stability is now at historically high levels, partly due to drops in permanent layoff rates and quit rates. Since a rising quit rate usually accompanies a robust economy, the increase in job stability that arises from lower quit rates is not necessarily a positive development. Lower quit rates are found in the business services and public services industries. This contrasts with consumer services where the rise in job stability was caused by a drop in permanent layoff rates.
Release date: 1999-03-01 - 13. Involuntary Job Loss in Canada: Preliminary Results from the Survey of Labour and Income Dynamics ArchivedArticles and reports: 75F0002M1998011Description:
This paper explores the common meanings, adjustment strategies and interpretations of involuntary job loss and try to determine what resources, at the institutional, community and familial levels, allow individuals to maintain a sense of personal worth, hopefulness and attachment during joblessness.
Release date: 1998-12-30 - 14. Are jobs less stable in the services sector? ArchivedArticles and reports: 63-016-X19980024000Geography: CanadaDescription:
It is common knowledge that the services sector has over the past few decades become the largest employer in Canada. From 1976 to 1996, the services industries have grown from 67% to 75% of employment, with most of this growth taking place in consumer and business services.
Release date: 1998-10-15 - Articles and reports: 11F0019M1997106Geography: Canada, Province or territoryDescription:
This paper documents job turnover and labour market adjustment activities in the Ontario economy from 1978 to 1993. The following highlights the major findings. Both the permanent layoff rate and the total permanent separation rate vary substantially from one industry to another. In 1992, the permanent layoff and total permanent separation rates ranged from 27.3% and 34.2% in construction to only 1.4% and 9.3% in public services, respectively. The permanent layoff rate and the total permanent separation rate also differ noticeably by gender, age and firm size - in most industries, the rates are higher among male workers than among females, higher among younger workers, and higher among smaller employers.
While the permanent layoff rate increases during business cycle downturns and decreases during business cycle upswings, the reverse trend is observed with the total permanent separation rate. This is because the quit rate and the other permanent separation rate both decline during downturns and rise during upswings, more than offsetting the opposite trend associated with the permanent layoff rate.
These univariate-tabulation findings are confirmed in the multi-variate logistic regression results on the statistical determinants of permanent layoffs and total permanent separations. In most industries, after controlling for gender, age, firm size and time periods, the estimated likelihood of permanent layoffs is lower among female workers, decreases significantly with age and firm size, increases during recessions and decreases during recovery and expansion in most industries. The patterns of estimated incidence of total permanent separations are very similar to those of permanent layoffs except that total permanent separations decline during business cycle downturns and climb during business cycle upswings.
Permanently separated workers have had a much more difficult time in finding employment during the most recent recession than any other time in the past 15 years. Almost 40% of those who lost or left a job in 1989 did not have a job in 1993. This is in marked contrast with the experience of the early 1980s, when 29% of permanently separated workers were jobless 3 years after the separation. A very similar trend is found when the analysis is applied to labour market transitions among permanently laid-off workers.
There is a great deal of out-of-province migration among permanently separated workers who did find a job. Nearly 45% of those who lost or left a job in 1989 and found a job in 1993 were employed outside of Ontario. An identical proportion of permanently laid-off workers is found to be employed in other provinces.
Release date: 1997-10-31 - Articles and reports: 11F0019M1997103Geography: CanadaDescription:
Canadians are increasingly concerned about permanent layoffs, as many feel job instability and the possibility of job loss has increased in the 1990s. Governments, confronted with a large number of permanent layoffs each year, need to know how to respond to improve labour adjustment and the possibility of quickly finding a new job for displaced workers. Within this context, this paper uses a new longitudinal data source on the separations of workers to address three issues. First, has there in fact been an increase in the permanent layoff rate in Canada in the 1990s, as one might anticipate given concerns about rising job instability? Second, what are the underlying causes of most permanent layoffs? The paper explicitly examines the role played by cyclical variation in aggregate demand, variation in industrial demand which is often associated with structural change, and differences in layoff rates by firm size which is in turn associated with the birth and death process of firms.
Third, with this as background, the core of the paper asks a question of concern to policy analysts: are most permanent layoffs rare events for workers, or are they a continuation of a pattern of repeat layoffs? This is important because a worker who is confronted with a layoff which is a rare event will require very different post-displacement adjustment assistance from someone whose history of employment has been marked with frequent layoffs, suggesting an inability to hold a job or demand-side instability in the firm or industry in which the person has worked. The workers' employment history over 10 years is used to explore the relationship between permanent layoff history and the probability of being laid off. Displaced workers are classified "low-risk", "medium-risk" and "high-risk" based on their layoff history, and multinomial logistic analysis is used to distinguish worker and firm characteristics associated with repeat layoffs or layoffs as rare events.
Release date: 1997-09-12 - 17. An overview of permanent layoffs ArchivedArticles and reports: 75-001-X19970033209Geography: CanadaDescription:
Many Canadians believe that job instability and job loss have increased in the 1990s. Using a new longitudinal data source, this article explores the role of the business cycle, changes in industrial demand, and firm size in the growth in permanent layoffs. An overview of the work displacement process is also included. (Adapted from an article in Canadian Economic Observer, February 1997.)
Release date: 1997-09-10 - 18. Unemployment in the Stock and Flow ArchivedArticles and reports: 11F0019M1997097Geography: CanadaDescription:
A framework for the dynamic analysis of unemployment is presented, and applied to Canadian and U.S. data. The focus of the analysis is upon the distinctionbetween being unemployed and becoming unemployed, that is, between the stock and the flow of unemployment. The share of a particular group in the stock ofunemployed will differ from its share in the flow into unemployment to the extent that the average duration of unemployment for the group differs from the economywide average. An analysis of Canadian and U.S. data leads to a series of stylized facts that permit a deeper understanding of unemployment in the two countries, andof the differences between them. Significant differences in the average duration of unemployment imply that stock shares are not good indicators of flow shares,changes in the stock share of some groups are due to changes in the flow share, while for others they are due to changes in the length of unemployment spells.Explanations of the Canada - U.S. unemployment rate gap should try to accommodate at least three facts uncovered by the analysis: (1) that employer initiatedpermanent separations are the primary means of entry into unemployment in Canada, while labour force entry plays a more important role in the US; (2)unemployment spells are significantly longer in Canada than in the U.S. because of longer spells for most groups regardless of reason for unemployment, not becauseof a compositional difference in the make up of the unemployed; and (3) that longer spell duration and a higher incidence of unemployment contribute about equallyto the trend increase in the Canada - U.S. unemployment differential during the 1980s.
Release date: 1996-09-30 - 19. The Duration of Unemployment: A User Guide ArchivedArticles and reports: 11F0019M1995084Geography: CanadaDescription:
The objective of this paper is to introduce in a new measure of the average duration of unemployment spells using Canadian data. The paper summarizes the work of Corak (1993) and Corak and Heisz (1994) on the average complete duration of unemployment in a non-technical way by focusing on the distinction between it and the average incomplete duration of unemployment, which is regularly released by Statistics Canada. It is pointed out that the latter is a lagging cyclical indicator. The average complete duration of unemployment is a more accurate indicator of prevailing labour market conditions, but some assumptions required in its derivation also imply that it lags actual developments.
Release date: 1995-12-30 - 20. Workers on the move: Permanent layoffs ArchivedArticles and reports: 75-001-X199200347Geography: CanadaDescription:
This paper identifies the characteristics of workers affected by permanent layoffs and the types of industries and firms in which they work.
Release date: 1992-09-01
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