Earnings, wages and non-wage benefits

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  • Articles and reports: 15-206-X2005001
    Geography: Canada
    Description:

    This study examines Canadian productivity performance over the period 1961-2004. It investigates labour productivity growth and the sources of improvements therein-multifactor productivity growth, capital intensity, and skill upgrading. It also examines the contribution that productivity growth has made to economic growth, and to improvement on living standards. Finally, this study investigates the share of income going to labour, and the real hourly compensation of workers.

    Release date: 2005-10-26

  • Articles and reports: 11F0019M2005267
    Geography: Canada
    Description:

    We analyze the intergenerational income mobility of Canadians born to immigrants using the 2001 Census. A detailed portrait of the Canadian population is offered as are estimates of the degree of generational mobility among the children of immigrants from 70 countries. The degree of persistence as estimated in regression to the mean models is about the same for immigrants as for the entire population, and there is more generational mobility among immigrants in Canada than in the United States. We also use quantile regressions to distinguish between the role of social capital from other constraints limiting mobility and find that these are present and associated with father's education.

    Release date: 2005-10-25

  • Articles and reports: 75-001-X200510713146
    Geography: Canada
    Description:

    Workers who use computers earn more than those who do not. Is this a productivity effect or merely selection (that is, workers selected to use computers are more productive to begin with). After controlling for selection, the average worker enjoys a wage premium of 3.8% upon adopting a computer. This premium, however, obscures important differences by education and occupation. Long-run returns to computer use are over 5% for most workers. Differences between short-run and long-run returns suggest that workers may share training costs through sacrificed wages.

    Release date: 2005-09-21

  • Articles and reports: 87-004-X20030028446
    Geography: Canada
    Description:

    Using data from the 1996 and 2001 Censuses of Population, this article discusses the employment income in culture occupations and compares it with the employment income of all occupations.

    Release date: 2005-08-23

  • Articles and reports: 75-001-X200510413141
    Geography: Canada
    Description:

    Prolonged periods of low earnings can limit an individual's capacity to cope with income losses or unexpected expenses, and makes economic self-sufficiency difficult. The ability to escape low earnings is linked to a number of factors, including age, firm size, and changing jobs.

    Release date: 2005-06-20

  • Articles and reports: 11F0019M2005248
    Geography: Canada
    Description:

    We examine the evolution of low-paid work and the position of economically vulnerable families in Canada over the last two decades. Despite substantial growth in workers' educational attainment and experience, the proportion of jobs paying less than $10.00 per hour has remained fairly stable since the early 1980s. However, union coverage in low-paid jobs has dropped, especially for males. The risk of job loss has changed little but the proportion of newly hired employees who hold temporary jobs has increased markedly, thereby indicating important changes in the employer-employee relationship. Despite their rising educational attainment, most low earners (except women aged 25 to 29) have not seen their chances of escaping low earnings improved between the 1980s and the 1990s.

    Of all full-time employees, 5% were low-paid and lived in low income families in 1980 and 2000. In 2000, individuals with no high school diploma, recent immigrants, unattached individuals, lone mothers and persons living alone accounted for fully 71% of all full-time workers in low-paid jobs and in low-income, but only 37% of all full-time workers. While members of these five groups account for the majority of low-paid workers in low-income families, two of these groups have seen their economic position declined significantly: low-educated couples and recent immigrants.

    Release date: 2005-04-25

  • Articles and reports: 11F0019M2005249
    Geography: Canada
    Description:

    This article summarizes findings from recent research papers in the Business and Labour Market Analysis Division of Statistics Canada, regarding low-paid work and economically vulnerable families. It begins by focusing on the evolution of wages in Canada between 1981 and 2004, and then turns to a close-hand look at low-paid work over these two decades. Next, it asks to what extent low-paid workers live in low income families, before documenting the deteriorating position in the labour marker of low-educated couples and recent immigrants.

    Release date: 2005-04-25

  • Articles and reports: 75-001-X200510113135
    Geography: Canada
    Description:

    This study looks at the wage gap between temporary and permanent employees over the 1997 to 2003 period. The comparison is made according to type of temporary employment, since the characteristics of employees vary greatly according to whether they are term or contract, seasonal, casual, or from a temporary agency. Also addressed is the economic vulnerability of temporary workers: Does the wage gap persist when hours worked, earnings of other household members, and number of dependants are considered?

    Release date: 2005-03-23

  • Articles and reports: 11F0019M2005241
    Geography: Canada
    Description:

    This paper examines the effect of ethnic neighbourhoods on wage growth as well as other labour market outcomes of immigrant men in Canada using the 1981, 1986, 1991 and 1996 Censuses. While the primary measure of affiliation is country of birth, ethnicity, language and visible minority status are also examined to determine the robustness of the findings. Consistent with U.S. findings, ethnic neighbourhoods based on country of birth are found to have a negative impact on the ten-year wage growth of immigrants. Further, the model for wage growth is found to be robust to different lengths of time and different base years as well as the specification of language and ethnicity as the affiliation grouping. Using country of birth as the affiliation index, exposure is also found to have a negative impact on the growth of total and weekly earnings as well as the initial wages of entry cohorts. While little evidence is found on the effects of ethnic neighbourhoods on changes in employment, a negative effect of exposure is found on entry employment rates of the most recent landing cohorts. Although the overall effect of ethnic neighbourhoods on wage growth is negative, ethnic neighbourhoods are found to have a divergent effect on different landing cohorts, having a positive impact on the wage growth of the more recent cohorts and a negative impact on earlier cohorts.

    Release date: 2005-02-25

  • Articles and reports: 11F0019M2005239
    Geography: Canada
    Description:

    Using hourly wage data from the Labour Force Survey as well as previous household surveys covering the 1981-2004 period, we assess whether the relative importance of low-paid jobs and well-paid jobs has changed over the last two decades. Since it is unclear whether trends in wage levels obtained from all the aforementioned surveys are unbiased, we refrain from making definitive statements regarding the evolution of low-paid and well-paid jobs over the 1981-2004 period. When assessing whether well-paid jobs are disappearing in Canada, we focus our attention on recent trends, i.e. on changes in the fraction of jobs falling in certain (real) wage categories during the 1997-2004 period.

    We find little evidence that the relative importance of well-paid jobs - however defined - has fallen over the last two decades or since the second half of the 1990s. We also find little evidence that the relative importance of low-paid jobs, those paying less than $10.00 per hour, has risen during these two periods. We show, along with numerous previous studies, that the wage gap between young workers and their older counterparts has risen substantially over the last two decades but that the wage gap between university graduates and other workers has shown little change. More important, we show that, within age groups, wages of newly hired male and female employees - those with two years of seniority or less - have fallen substantially relative to those of others. Second, in the private sector, the fraction of new employees employed in temporary jobs has risen substantially, increasing from 11% in 1989 to 21% in 2004. Among employees with one year of seniority or less, the incidence of temporary work rose from 14% in 1989 to 25% in 2004. Third, pension coverage has fallen among men of all ages and among females under 45. Taken together, these findings suggest that Canadian firms (existing or newly-born) have responded to growing competition within industries and from abroad by reducing their wage offers for new employees, by offering temporary jobs to a growing proportion of them and by offering less often pension plans that guarantee defined benefits at the time of retirement.

    Release date: 2005-01-26
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  • Surveys and statistical programs – Documentation: 11F0019M2003207
    Geography: Canada
    Description:

    The estimation of intergenerational earnings mobility is rife with measurement problems since the research does not observe permanent, lifetime earnings. Nearly all studies make corrections for mean variation in earnings because of the age differences among respondents. Recent works employ average earnings or instrumental variable methods to address the effects of measurement error as a result of transitory earnings shocks and mis-reporting. However, empirical studies of intergenerational mobility have paid no attention to the changes in earnings variance across the life cycle suggested by economic models of human capital investment.

    Using information from the Intergenerational Income Data from Canada and the National Longitudinal Survey and Panel Study of Income Dynamics from the United States, this study finds a strong association between age at observation and estimated earnings persistence. Part of this age-dependence is related to a general increase in transitory earnings variance during the collection of data. An independent effect of life cycle investment is also identified. These findings are then applied to the variation among intergenerational earnings persistence studies. Among studies with similar methodologies, one-third of the variance in published estimates of earnings persistence is attributable to cross-study differences in the age of responding fathers. Finally, these results call into question tests for the importance of credit constraints based on measures of earnings at different points in the life cycle.

    Release date: 2003-08-05
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