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Economy adds 9,500 jobs but mostly election-related
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CTV.ca News Staff
Date: Fri. Nov. 7 2008 8:58 PM ET
Canada's economy defied expectations in October, adding 9,500 jobs, but economists note it was thanks to a one-time hiring boost related to the federal election.
According to a Statistics Canada report released Friday, Canada's jobless rate edged up from September's 6.1 per cent to 6.2 per cent in October.
The jump was driven by an increase in the number of people looking for work, said researchers.
While there was an overall employment gain of 9,500 workers, it was largely the result of the temporary hire of 40,000 public-sector administrative workers -- mostly needed for the fall federal election.
Private-sector jobs actually declined in October by 20,000.
"Things are going to get worse," said Dale Orr, managing director of the Global Insight forecasting firm. "We see no employment growth next year and the unemployment rate going up to seven per cent".
Still, Bank of Montreal economist Douglas Porter said October's report was "surprisingly sturdy."
"Landing deep in the heart of October's financial market turmoil, the stability in Canada's latest jobs survey is impressive, even if the numbers were bolstered by election-related hiring," Porter said in a research note.
"After all, this modest gain follows a record rise in the prior month. If there was any lingering doubt that Canada's economy is faring better than the U.S. -- so far -- this two-month performance should quash it."
Toronto-Dominion Bank economist Charmaine Buskas was less optimistic, saying the temporary election jobs will only delay the inevitable poor figures to come.
"We still expect that the Canadian labour market will be retrenching going forward in response to cooling U.S. demand for Canadian goods and slowing in domestic economic conditions," Buskas said in a research note.
She did say the addition of 47,500 full-time jobs "bodes well for income growth."
Private sector employment, which is viewed as a closer measure of the health of the economy, did fall by more than 20,000 jobs.
"Good-producing jobs fell 27,000 in the month, led by construction and manufacturing, which each lost 9,000 jobs. Within the service-producing component, the weakness was led by a 27,000 drop in employment in accommodation and services," Royal Bank of Canada economist Paul Ferley said in a research note.
He added that the weakness in these sectors "is more consistent with the pressures confronting the Canadian economy, including the high costs of capital that has already likely sent the U.S. economy into a recession."
Friday's report also showed youth employment in October fell by 34,000. However, employment among men aged 25-54 rose by 20,000 while women aged 55 and older saw gains of 25,000.
Provincially, employment increased in Alberta by 15,000 jobs. The province has the lowest unemployment rate in all of Canada at 3.7 per cent.
There was little employment change in other provinces.
Since the beginning of 2008, employment in Canada has increase 1.2 per cent, or 203,000 positions, with gains in both full and part time.
During the same period in 2007, employment rose by 2 per cent, or 338,000 jobs.
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I applaud the budget, even though Health Care and education may stay unscathed. Sadly this cannot last and I worry to later this year where cuts will become enviable. If anything, this provides the Wildrose Alliance plenty of ammo when an election is called.



Comments are now closed for this story
John Mura from Neudorf SK
said
M.C
said
Eric
said
KJ in Kingston Ontario
said
Liberal from montreal
said
lets see what they do now when the price is below 65!!!!
maybe the government can help.............no wait, we have no more money becasue we gave corporate tax cuts
George
said
Sahib Reginawale
said
Paul - Orillia
said
Allan Eizinas
said
Perhaps that then is the answer. If we can get the Liberals, BQ and NDP to co-operate, we can have a federal election every year and keep creating those jobs!
George
said
1. for Sahib: right on they are untouchable
2. for Paul - Orillia: well an election is a make work project and if it required 9500 extras for it to be run then yes jobs were created eventhough only short term; ask the people that had these jobs whether or not they were happy to have them; plus the liberals could take the credit for creating another 9500 jobs should they wish to defest the current government
Ray in Ontario
said
John is right. If we all here in canada become leaders in Green Tec. We all can make more money and have a better economy as well as a better enviornment and world because of it.
We need to create jobs that clean up the air. More solar more wind power, more hybrid vehicles being manufactured, better recycling and composting everything we do to go greener will make more jobs that pay well.
We can do this under a Harper government but we all need to push a little and ask for this type of job creation. NOT Incentives to GM or Ford or Dodge to bail them out. but a push to Have them make the vehicles and parts here in our country, and some incentives to sell the products to Canada, the US and the world. A canadian built product will be regarded as a Quality product around the world.
Lets all be leaders in our world, lets creat the New Solar, Hydro and wind generators, and lets be the world leader of clean energy. It will create Jobs, tax money, healthy canadians, and a better world.
Just my Ideas
Yes, Sahib, government work is steady.
said
dulak
said
Phil
said
I prefer to read those posts that address part of the solution, not those that are part of the problem. Now, if only our opposition parties could be part of the solution when House next sits.
Steve
said
In the year 2008, places like Alberta and Sask. are where the jobs are, and there are thousands (literally) waiting for workers to fill them. Please don't give me the uninformed stereotypes of places like Calgary and Edmonton being the boonies with nothing to do.They are million populations plus with world class amenities.
GHW
said
Ed
said
I am retired, but in over forty years of work in several occupations, I only drew ONE unemployment cheque.
It is at least twice as easy to get work today and with all the social benefits available no one should complain and no one should go hungry in Canada.
Marie Ottawa
said
Coolman
said
They paid off the debt! All money goes back to provide services and infrastructures - that's where the jobs are.
All other provinces give 30%-40% of their budget to pay debt...that's why there is less job creation. Ontario if pay off their debt, the interest they save would be more than their deflict now.
It's all about diligence.
Niagara George
said
Stephane Dion wanted to head in that direction but too many Canadians could not get past the Conservative story-telling about the Liberal tax grab.
We have had our opportunity. Now we will wait for another election to hear a new proposal. Hopefully, we will be a bit more open-minded to change, by then.
Tom Hawley
said
When these reports are given maybe we should know which province is doing what .
I agree Alberta is a leading province.One thing I notice when Albertans are posting they comment as if they are the reason for that provinces wealth.In part yes.In the big picture it is the resource that is present in that province .Remove it and what are you left with ?
judy
said
Instead of whining, people should position themselves at where the jobs are.
I lived in GTA b4. It's big, well developed. But that's it, not scenic and drive far to do just anything.
CGY/EDM are close to Jasper, Banff, Lake Louise... world class attractions, Olympic class ski hills, world heritage sites. Vancouver with the ocean, Kelowna with winery....are just close by.
Trust me, the snowstorm are not as bad as those in Ontario.
Give up the stereotype, come and see. ESSO moved their HQ to CGY for a very reason.
mark
said
Tell that to the thousands of people who lost their jobs when Mike Harris was elected...
Truth is Gov. jobs are only secure till the next round of budget cuts.
Brian AB
said
You are right but dam it does get really cold north of edmonton :(
And to the people saying when we run out of oil , dont believe what you read about it we have lots and lots of oil here i have been in the industry 30 years now and at 65 /barrel they can still make money THEY just need to quit being so dam greedy ( the oil companies and the goverment with taxes)!!!!
CN *NFD*
said
Doug BC
said
I would suggest that,if the technology existed for the "green cars",either Detroit or someone else would be building them.Of course that is no guarantee they could export them in the face of a global recession.And,the savings to the environment might be less than hoped for if these were not completely "zero emmission" vehicles if you haven's calculated the cost and pollution created by harvesting the resources,building the cars,and disposing of all the older cars.
Government work or bailouts for every industry in the country are not sustainable.To generate the wealth we need to sustain our standard of living,we have to make products that people can afford,and need to buy.Without meeting those criteria,all we have are taxpayer funded welfare programs.We tried using government handouts to support some lumber mills in BC a few years ago.After costing the taxpayers billions of dollars,they finally went under anyway.
This won't be easy.Nor can Canada turn our economy completely around until our export markets are able and willing to resume buying our products.
In the mean time,I think it's best we quit whining about Alberta,or any other natural resource region of Canada,and be thankful that some parts of the economy continue to create a revenue stream.
Unless,of course,you feel that everyone should suffer any time things get tough somewhere else.How humane we are.I'm miserable,so everyone else should be miserable too.
Anne Ottawa
said
Denis
said
I have to agree with many of the comments posted here today.
We are so lucky to live in the best country in the world, I think sometimes we take things for granted. We hit a little hardship and throw in the towel. You simply can't live your life like that. You need to look at it that when one door closes another will open. I for one moved from Montreal to Toronto back in the PQ days and let me tell you so did many others. There were no jobs in that era. Don't get me wrong, I will never diss my French background just some of the policies of those days. Having said that a few years later I moved from Toronto to Prince George for 20 good years. I worked in the forest industry for some of the biggest forestry companies in North America but as many know there was many cutbacks in the industry also for a lot of different reasons such the Nafta aggreement drafted in the 90's. So I decided to get re-educated and earned a good College Diploma in Computer Information Systems and also earned multiple IT certifications , since then I moved in the Vancouver region and been employed now with the same company for over 4 years which is an industry leader and I never looked back. If I can do this from a grade 8 education so can anyone else. By the way Vancouver is just like Edmonton and Calgary, there's so much work here it's not even funny.
My take is that if someone really wants to work they will and they'll do what has to be done to work.
PS: The weather here is the mildest in Canada
nolan moore
said
Alberta was making record surpluses last year when oil was at $60 per barrel. The economy is still diverse, taxes are low and we still have "The Alberta Advantage"
Kowai
said
Canada's economy defied expectations in October, adding 9,500 jobs.
BUT
Economists note the boost was largely supported by election-related hiring.
Four weeks later:
Canada reports 9,500 job loss in November.
BUT
Economists note they were only do to election related hirings.
This is news worthy??????????????????????
Why not just say the economy hasn't changed in the last three months!!!!
If you don't have any news to report then don't report useless news.
It's like saying, the sun went down to day but it will come back up tomorrow.
Oh look Kowai is a news reporter!!!
Give me a brake!!!!!!!
Shane
said
ripped off voter
said
A poor taxpayer in Montreal Quebec Canada
said
How much money was wasted in USA, Canada and now Quebec election?
Instead of using this money to fix our roads, pay the national and provincial debts and help people who really need it!!!
A real shame this is call nothing else!!!!
Watching in BC
said
Talk is cheap
Nova
said
You don't have to move to the west. NFld and NS are booming too. We got ocean too. Just an occasional power outage in Dec or Jan =)