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71-001-XIE
Labour Force Information
July 2003

Commentary

Employment edged down 13,000 in July, all in part-time jobs, and the unemployment rate rose slightly to 7.8% (+0.1 percentage points). Since the start of 2003, employment has increased by only 0.5%, much slower than the 2.3 percent growth observed over the first seven months of 2002. In the United States employment continued to decline in July and is down 0.3% so far in 2003.

Fewer youths working in July

Employment fell by 15,000 among youths as a decline of 31,000 part-time jobs was only partly offset by a gain in full-time. With this decrease, youth employment is down 0.4% since the start of the year. Their unemployment rate edged up 0.2 percentage points in July to 14.1%.

Among 20 to 24 year olds, the summer job market for students was improved from a year earlier, while 15 to 19 year old students had less success in July. (Students are those who had been attending school full-time and who plan on returning in the fall). Compared to a year earlier, the employment rate for 20 to 24 year old students was up 1.3 percentage points to 75.1%. About 51.6% of younger students 15 to 19 were employed in July, down 0.7 points from 12 months earlier.

In July, employment among adult men edged down (-9,000) as a decline of 16,000 full-time jobs was only partly offset by a slight gain in part-time. Since the start of 2003, overall employment among adult men is up only 37,000 (+0.5%). In July, their unemployment edged up 0.2 percentage points to 6.8%.

There was a slight increase (+10,000) in employment among adult women in July, bringing gains so far in 2003 to 43,000 (+0.7%). In July, their unemployment rate dipped 0.1 percentage points to 6.2%.

Slow hiring in the private sector

Despite a small gain in the number of private sector employees in July (+15,000), employment for this group has shown little change over the first seven months of the year (+0.1%).

In July, the number of public sector employees fell by an estimated 25,000 with most of the decline in education services. Despite the decline in July, the number of public sector employees is up 19,000 (+0.6%) since the start of 2003.

Although self-employment was little changed in July, it has grown by 41,000 (+1.7%) so far this year.

Employment declines in educational services

In July, employment fell by an estimated 24,000 in education, mostly at the primary and secondary level in Ontario.

In July, employment decreased in agriculture (-7,000), with half of the decline in Saskatchewan. So far in 2003, farm employment is down 21,000 (-5.9%), continuing a long-term downward trend.

There was also a slight employment decline (-10,000) in accommodation and food services with most of the decrease in Ontario.

Employment increased by 10,000 in construction as well as in finance, insurance, real estate and leasing. Since the start of 2003, job gains total 22,000 (+2.4%) in construction and 27,000 (+3.0%) in finance, insurance, real estate and leasing.

Although employment in manufacturing was little changed in July, it is down 61,000 (-2.6%) over the first seven months of 2003, due primarily to continued weakness in Ontario. In the United States, factory employment is down 2.7% over the same period.

Focus on the provinces

In Nova Scotia, employment decreased by an estimated 5,000, all in full-time work. This leaves overall employment in the province up slightly since the start of the year. The largest loss in July was in the other services sector. The unemployment rate rose 0.4 percentage points to 9.2%.

Employment in Quebec fell slightly (-13,000) in July, offsetting the gain in June. The unemployment rate edged up 0.2 percentage points to 9.1%. So far in 2003, employment in the province is down 20,000 (-0.5%). While the number of factory jobs in Quebec edged up in July, manufacturing employment is down 24,000 (-3.7%) since the start of the year.

Employment in Ontario edged down 8,000 in July, following a gain of 17,000 in June. Despite the slight decline in July, employment in the province is up 53,000 (+0.9%) so far this year due to strength in the first quarter. In July, there were declines in education services (-17,000), mostly primary and secondary education. There were also slight declines in a number of industries including accommodation and food services (-7,000).

Employment in Prince Edward Island declined by 800 in July, partly offsetting a gain of 2,500 in June. This leaves employment in the province 1,600 (+2.4%) above the level of December 2002.

In July, employment in British Columbia edged up by 10,000, bringing total job gains so far this year to 22,000 (+1.1%). The unemployment rate rose by 0.3 percentage points in July to 8.6%, the result of a strong increase in labour force participation.

Employment in New Brunswick edged up 2,000 following an increase of 6,000 in June. These recent gains partly offset losses in April and May, leaving employment in the province down 5,000 (-1.3%) so far in 2003.

There was little employment change in the other provinces in July.

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Date Modified: 2003-08-08 Important Notices